Stanford Management Company invests the Merged Pool with carefully chosen external partners. This approach allows Stanford to benefit from specialized knowledge in asset classes that reward superior active management.
Our partners are characterized by exceptional investment judgment, thorough processes, sound ethics, and a strong alignment of interests with the University. They appreciate the importance of Stanford’s mission, demonstrate a clear fiduciary mindset, and exercise consideration for human and environmental welfare.
Stanford’s investment managers share a common belief in fundamental investment. Their rigorous and repeatable processes incorporate exhaustive quantitative and qualitative research on specific and analyzable opportunities. This discipline fosters a value-sensitive and often contrarian approach, which aligns well with Stanford’s long-term focus.
Building long-term partnerships with our managers is a key element of Stanford’s investment strategy. Many of Stanford’s partners have worked with the University for well more than a decade, and we undertake each new investment with that time horizon in mind. We invest through cycles and seek to support our partners, particularly at times of greatest market uncertainty. We measure results over multi-year time horizons. Our partners take great pride in having contributed substantial investment gains in excess of passive alternatives to support Stanford’s education and research mission.
We bring a collaborative approach to our partnerships. We spend the time to understand our partners’ work in depth. This understanding fosters trust that allows us to invest with conviction and contrarianism. In turn, we enjoy serving as a thought partner for investment managers at all stages of their development, from the formative steps of a new investment firm to the refinement of investment programs at mature organizations. We believe that continuously learning and improving builds the best investment organizations.
Read more about SMC’s approach to investment responsibility and diversity.