HEALTH CARE FOUNDATION OCIO SEARCH

Background

North Pier was engaged to assist the trustees of a regional hospital review of the historical investment performance of their traditionally advised trustee directed investment program and educate the trustees on merits of transitioning to an OCIO manager.

Challenges

- Source high quality OCIO managers who understand the economics of the health care and hospital industry
- Find an OCIO manager that could gain the trust of the investment committee, easing the transition to OCIO
- Identify an OCIO with a sound plan for addressing under-performing illiquid legacy investments

Process

- Sourced data and administered a Request for Information from over 45 qualified investment managers
- Administered an RFP and performed detailed due diligence
- Reviewed performance track records and performed in-depth investment analysis on six superior OCIO candidates
- Assisted in the selection of three finalists and moderated finalist presentations and selection conference
- Negotiated and reviewed fees and contracts
- Provided oversight during asset transition

Outcome

The transition from traditional advisor to OCIO resulted in over 50% reduction in fees as well as access to a lower cost portfolio

- Committee selected an OCIO manager and was able to comfortably transition investment responsibilities.
- The foundation experienced enhanced services, a significant reduction in fees and access to a lower cost portfolio
- The transition to the new OCIO fund manager was seamless.