WatersEdge Foundation, Oklahoma City, hired Veriti Management to run a $120 million passive global equity portfolio, but with some companies screened out for ESG issues.
The foundation hired Veriti to run its direct indexing strategy in a customized long-only equities separate account, which matches the MSCI World index after screening to eliminate companies offensive to the foundation's beliefs and values, David Depuy, chief investment officer confirmed.
Veriti manages the portfolio for the foundation's main pool of endowment assets, which has about $500 million in assets.
Funding comes from the termination of Parametric Portfolio Associates, which ran three equity portfolios: defensive, passive domestic and passive international. Mr. Depuy said the foundation decided to move on from defensive equities and ultimately decided to go to a single manager for an MSCI World index strategy.
Investment consultant LCG Associates assisted.