University endowment committees, modern portfolio theory and performance

Artikel

University endowments with broad portfolio diversification have been correlated with performance, but committees' decision-making process has received relatively little attention. This study is unique in postulating that the committee's learning commitment and open-mindedness are significant contributors to a decision process that is based on the principles of Modern Portfolio Theory (or, simply, Portfolio Theory). The use of Portfolio Theory as a decision-making framework leads to greater portfolio diversification, which, in turn, leads to higher risk-adjusted returns. This study also demonstrates that greater committee expertise across multiple asset classes contributes to more diversified portfolios.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Journal: Journal of Risk and Financial Management ; ISSN: 1911-8074 ; Volume: 13 ; Year: 2020 ; Issue: 9 ; Pages: 1-22 ; Basel: MDPI

Classification and Topics

• Classification: Wirtschaft
• Subject: investment performance ; decision process ; diversity of expertise ; group norms ; learning commitment ; open-mindedness ; portfolio diversification ; portfolio theory

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Lord, Mimi
• Event: Veröffentlichung
• (who): MDPI
• (where): Basel
• (when): 2020

Further information

• DOI: doi:10.3390/jrfm13090198
• Handle: http://hdl.handle.net/10419/239296
• Last update: 10.03.2025, 11:42 AM CET