Managing alpha and beta exposures require operational fee management. The difference between paying 1.5% points vs .5% (1/2%) on $10 million over 20 years is in excess of $4.5 million.
Houston, TX (PRWEB) March 06, 2014
The Ivy Family Office Network hosted its March 2014 Family Office Outlook Forum in Houston, TX on March 4th. Mary Kathryn Campion, Ph.D., CFA, AIFA, President & Portfolio Manager of Champion Capital Research, led a panel discussion on “Asset Allocation.”
Campion commented, “There is a bit of complexity in handling multi generational portfolios. We build the family’s portfolio from the bottom up. Each entity (Trust, IRA, etc.) will have a unique investment policy statement (IPS). Each IPS outlines the plan for allocation, re-balancing, hire/fire procedures, manager and monitoring guidelines. Polices are reviewed periodically as implementation and monitoring reports are reviewed.”
“Moreover, managing alpha and beta exposures require operational fee management. The difference between paying 1.5% points vs .5% (1/2%) on $10 million over 20 years is in excess of $4.5 million. As a result, we use index products for efficient space exposure - domestic large equities - and spend higher fees for private equity investments. Our policy is to keep overall management fees under 1/2%. With respect to more potentially volatile investments, families must remain vigilant regarding asset placement. Ask the questions: Which portfolio should bear the brunt of emerging market exposure? Should one re-balance to policy now?"
Other speakers on the panel included Guillermo DeLeon of Blue Line Investment Group, Robert Gauntt of Avalon Advisors, Eric Greschner of Regatta Research & Money Management, LLC and David Hanson of James E. Bashaw & Co.
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Dr. Campion is in charge of the firm’s econometric analyses that generate ideas for asset allocation and tactical investment strategies. She has over twenty years of experience in the investment industry as a portfolio strategist and financial economist.
She is widely considered expert in designing asset allocation strategies. Her professional experience includes advising insurance companies, retirement plans and pension funds regarding strategic and tactical asset allocation, due diligence and security selection, fixed income immunization, and global and emerging equity strategy implementation. The firm’s proprietary econometric analyses are used to develop expected equity and fixed income returns and volatilities. These estimates influence tactical and strategic decisions made by Champion Capital Research.
Campion is published in academic and professional journals including The Pension Observer, Bank Asset/Liability Management, The North America Journal of Economics & Finance and The World Economy: The America’s. Mary Kathryn holds a B.A. from Rice University and an M.A. and Ph.D. in Economics from the University of Houston. She is a Chartered Financial Analyst (CFA), and an Accredited Investment Fiduciary Auditor (AIFA™).
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Champion Capital Research, Inc, founded in 2003, is an employee-owned investment management firm. Their experienced professionals offer high-quality independent research and diversified investment services to high net worth and institutional investors. Champion Capital Research is headquartered in Houston, Texas.
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About The Ivy Family Office Network Forum
The Ivy Family Office Network Forum, IvyFON, provides an ongoing dialogue for family offices to support high-value education and information on trends for family office investing, structure and operational excellence. Attendees gain practical strategies and solutions to achieve both short and long-term objectives. The program features off-the-record, peer-to-peer discussions in a non-commercial setting, in-depth and highly interactive sessions.
IvyFON, is a leading peer to peer global family office network with several hundred family offices attending events around The Americas every year. Some of the more than 2,000 past speakers include most of the top 10 largest asset allocating consultancies, pre-eminent alternative investment funds, leading institutional investors, best-in-class asset management professionals, family office subject matter experts and world-class family offices.
Forum sessions are multi-format and cross-disciplinary covering a range of family office centric topics.
IvyFON originates from one of the United States’ oldest and largest alternative investment networks, the IvyPlus network. IvyPlus originated as a peer to peer private equity, real estate and hedge fund network consisting of Ivy League and comparable school alumni as well as meritorious participants in the program. The group includes New York City and Los Angeles deal networks across multiple disciplines including private equity, health care and real estate. More than 14,000 investment, family office and institutional investment professionals have attended forums globally.
For more information on Champion Capital Research, contact Mary Kathryn Campion at campion(at)championcr(dot)com or at PH 713.974.8883 x101. For more information on the Ivy Family Office Network, contact us at 646-290-8114 or at ivyfon.com/contact.html.