Corporate News

In October of 2024, Michigan State University’s (MSU) $4.4 billion endowment stunned the investment world by announcing a 15.1% return for the fiscal year ending June 2024, outperforming every Ivy League and other elite endowments tracked by the MPI Transparency Lab. By comparison, the top-performing Ivies, Columbia and Brown, reported returns of 11.5% and 11.3%, respectively, for the 2024 fiscal year, while the 70/30 Global Benchmark returned 14.2%.

In its published research, MPI research team uses MPI Stylus Pro analytics to uncover major sources of the MSU endowment’s exceptional performance and attributes the success of the top-performing team to its higher-than-average exposure to technology stocks and risk.

Coverage on Risk.net and FundFire

MPI announced the addition of tax-adjusted asset allocation simulations for financial advisors, wealth management firms and investment professionals working with taxable accounts. MPI also announced the addition of portfolio fee-adjustment capabilities so that wealth and investment management organizations can adhere to the new “Marketing Rule” directives. This enhancement will help MPI clients deliver compliant presentation of gross and net performance returns in published materials.

Exposure to stocks again seen driving public pension returns in FY2024. Georgia and Kentucky Teachers projected at top of league tables again. Public-private markets divergence continues—systems with higher equity exposure expected to fare better than those with elevated allocations to privates.

These widely cited projections come from MPI’s Transparency Lab, which provides unique insights into the styles, risks, and performance of traditionally opaque pensions and endowments.

MPI released five-year performance data for the MPI BEST20 Tracker Index, an investible benchmark showing that it is possible to capture diversification and risk-mitigation benefits of some of the most sophisticated systematic trading strategies.

This new offering gives advisors who serve the 401(k) and defined contribution market flexible analytics and reporting that help differentiate their practices to win and retain plan sponsors.

One-of-a-kind offering provides unique insights into some of the largest and most opaque funds so all stakeholders can better understand their performance and potential risks.

MPI today released eight-year performance data for its MPI Eurekahedge 50 Tracker Index that indicate its basket of liquid, retail exchange-traded funds can deliver the performance of a diversified portfolio of institutional-quality hedge funds.

MPI Research team projected Ivies to have an average loss of -2.9%, with Yale potentially gaining 2.4%. Larger endowments ($1B or more) expected to lose 5.4%, while smaller endowments’ ($500M-$1B and $100M-$500M) losses will be higher at -7.2% and -7.4% respectively. These projections represent a valuable data point for CIOs looking for peer comparisons while valuing their portfolios. Read the entire report below:

The Summer of Their Discontent: FY2022 Endowment Performance Projections | Markov Processes International

MPI’s September 2021 analysis of the Structured Alpha fund has again been at the forefront of investment reporting this week after Allianz’s recent admission of fraud and the sale of its U.S. asset management business to Voya. Illuminated sources of risk and alpha for investors.