University of Alberta, Edmonton, is searching for an investment consultant to perform an asset allocation review for its C$825 million (US$826 million) unitized endowment pool, according to an RFP on the Alberta Purchasing Connection, a provincial procurement website.
This will be the university's second consultant working on the review; Commonfund is also conducting an asset allocation review. The selected firm will conduct a review simultaneously with Commonfund so endowment executives can compare and contrast recommendations.
The university is looking for a firm to “advise and comment on the appropriateness of the investment structure” of the pool, “its spending level and asset mix given capital market expectations, risk/return objectives, performance benchmarks, and investment manager structure,” according to the RFP.
The investment policy targets an annual 7.25% return, but the university is looking to potentially find ways to increase its rate to 7.6%. It has a target asset allocation of 40% foreign equity and 20% each fixed income, Canadian equity and alternatives.
The RFP is available online. Proposals are due at 2 p.m. MDT Aug. 17. A hiring decision could be made Aug. 24.