Weiner heads up the team that puts together the list of managers, which is then used to populate the clients’ customized portfolios. The firm has between 50 and 60 managers across various strategies.
Cohen is currently searching for a global listed infrastructure manager to add to that roster. This fits with the team’s general approach: using passives for mainstream markets and active managers for less efficient asset classes and niche strategies. To this end, the team has just hired an international equities long/short manager with a particular focus on Europe.
Cohen and Weiner said they were also looking at environmental, social and governance (ESG) strategies to prepare for the next generation of wealth.
Raupp and Magnotta head up an investment team of 13, with responsibility for the management and oversight of the firm’s 10 Destination portfolios, which have a total of
$8.5 billion in assets under management.
These portfolios invest in Destination funds – a series of multi-manager funds with 20 third-party subadvisors across 28 strategies, all selected by Raupp and Magnotta. The portfolios used to invest directly in third-party mutual funds, but shifted to a subadvised model in April to reduce costs.
For the end of the year, the investment team is looking to add another subadvisor to the Destinations Large Cap Equity fund. Raupp and Magnotta are also looking for a quantitative analyst to boost Brinker’s asset allocation and manager research teams, so anyone in the Pennsylvania area who’s interested should definitely reach out!
Mook is the director of manager research on the equity side of the firm, while Carr primarily covers domestic small- and mid-cap strategies. The manager research team at SEI has approximately 20 members, covering US and international equity and fixed income, specialty equity and multi-asset investments. The team is headed up by Stephen Beinhacker, who you may remember as another former cover star.
SEI uses approximately 135 external managers across 365 strategies on its manager research platform, which has $130 billion in assets under management.
Mook is currently considering some changes to an existing large-cap quant manager’s mandate. The team is also in the process of recommending an active commodities manager, as well as revisiting its approach to emerging market debt, which could result in some new picks.
Mook also said that the firm's allocations have shifted slightly from domestic to international equities and that managed-volatility and factor-based funds continued to be popular.
After a quick pic with Carr and Mook in a shark tank (below), I was off to my last meeting of the day with Scott Lavelle, the director of investment advisor research at PNC and yet another former cover star (I swear we don’t favor Philadelphia due diligence teams).
Lavelle and his team of 24 analysts select strategies for the firm's platform, which is used by family office Hawthorn, PNC Wealth Management, PNC Institutional Asset Management and PNC Retirement Services. PNC has $140 billion in assets under management, and its platform has 230 active strategies and 130 exchange-traded funds. There are 140 different third-party managers on offer.
Lavelle (above) recently added five ESG strategies to the firm's platform, of which three are run by San Francisco-based shop Parnassus Investments. The team is still actively searching for hedge fund and liquid alt strategies to add to the line-up before the end of the year.
The next day I started downtown, meeting with the team at Abbot Downing, the multi-family office arm of Wells Fargo. Abbot Downing manages approximately $42 billion in assets for more than 600 clients.
I met with Doug Getty, regional chief investment officer for the Philadelphia area, Ron Noble and Thomas Raymond (below), who are both directors of asset management at the firm. Noble and Raymond construct portfolios for ultra-high-net-worth families, foundations and endowments, while Getty sets overall investment strategy for the region.
The team touched on some recent asset allocation shifts in its portfolios. ‘Over the past few years, we have materially increased our target allocations to private capital,’ Getty said. ‘We emphasize niche, under-the-radar strategies that are either non-correlated to other asset classes, relatively inefficient or difficult to access. Some recent examples include reinsurance, timber, European non-performing loans, capital relief transactions, international healthcare and top-tier venture funds.’
Noble and Raymond said international equity exposure continued to make sense as foreign stocks remain at more attractive valuations than domestic ones and could still benefit from fiscal stimulus as the US has.
All that remains is to wish you a great holiday. And don’t worry – I’ll be back in January to continue my travels!
Next stop Washington, D.C.