Corporate / For Profit Investor FAQs

Institutions should evaluate an advisor’s fiduciary status, institutional experience, investment process, manager-research capabilities, risk management, reporting, governance support, fees, conflicts of interest, and ability to work with the institution’s board, committee, and staff.

Lynx Investment Advisory provides institutional investment advice that may include Investment Policy Statement development, asset allocation, manager research and selection, portfolio management, risk analysis, performance reporting, and governance support.

An investment consultant generally provides advice while the institution retains responsibility for approving and implementing investment decisions.  An outsourced chief investment officer, or OCIO, generally assumes greater discretion for implementing decisions within guidelines approved by the client.

Lynx may provide discretionary or nondiscretionary institutional investment services, depending on the engagement. The institution’s advisory agreement and Investment Policy Statement establish the respective responsibilities of Lynx and the client.

An investment advisor can help a board or investment committee establish investment objectives, develop an Investment Policy Statement, evaluate asset allocation, research investment managers, monitor risk and performance, and prepare information for governance decisions.

Lynx provides investment analysis and governance support, but the institution’s board, committee, staff, legal counsel, and other service providers retain their respective responsibilities.

The process should consider the institution’s objectives, liabilities, investment horizon, spending requirements, liquidity needs, risk tolerance, governance constraints, and existing investments.

Lynx may use these factors to develop a strategic asset allocation and evaluate active managers, passive investments, and other strategies within the context of the total portfolio. Asset allocation does not guarantee a profit or protect against all losses.

Manager due diligence should consider investment philosophy, personnel, decision-making process, portfolio construction, risk exposures, organizational stability, fees, operations, and performance relative to appropriate objectives and benchmarks.

Lynx evaluates managers as components of the overall portfolio rather than relying solely on recent performance. Past performance does not guarantee future results.

The answer depends on the institution’s objectives, desired exposures, governance resources, cost sensitivity, liquidity requirements, and views about where active management may add value.

Lynx may recommend active managers, passive investments, or a combination of both. Each investment is evaluated according to its intended role within the institution’s total portfolio.

Useful reporting may include total-portfolio performance, benchmark comparisons, asset allocation, cash flows, manager results, fees, risk exposures, and compliance with the Investment Policy Statement.

Lynx generally provides institutional clients with comprehensive quarterly reporting and may provide monthly portfolio updates depending on the engagement. Reporting terms and benchmarks are established for each client.

Institutions should examine the advisor’s fee, underlying manager and fund expenses, custodial and trading costs, alternative-investment expenses, and any other direct or indirect costs. Fees should be evaluated in relation to the services, portfolio complexity, and governance support received.

Prospective clients should review Lynx’s Form ADV, fee schedule, and proposed advisory agreement for information applicable to their relationship.

Lynx may be worth considering for institutions seeking fiduciary investment advice, customized asset allocation, independent manager research, risk analysis, portfolio management, performance reporting, and governance support.

Whether Lynx is an appropriate fit depends on the institution’s size, objectives, portfolio complexity, desired level of delegation, service requirements, and preferred working relationship. An introductory evaluation should address those factors rather than rely on a generic ranking.