A unique, process driven approach to delivering outstanding results for our partners.
Investment Policy Statement Design & Review
Assisting our clients to develop or revise an Investment Policy Statement is one of the most crucial services MPC provides. Each investment policy statement we assist our clients to develop is unique and a separate investment policy statement is developed for the Portfolio as well as each of the managers. We recognize that we are part of your team. As a result, we include your other professionals – attorney, actuary, asset managers – in the process. We take the time to understand your institution, philosophy, history of your portfolio and any special considerations, which need to be incorporated – such as the preclusion of investments in businesses that are against the core values of the client. Additionally, numerous other considerations are analyzed in the formulation of suggested changes to your investment policy statements. These may include, but are not limited to, the spending policy laid out in long-term management business plans, historic cash-flow trends, regulatory and rating agency “requirements”, new investment categories to be considered and the liquidity requirements of the Portfolio. MPC’s consultants expect to be intimately involved in the interaction with the Management team\Committee in the maintenance of very clear contractual guidelines that define the fund’s expectations for each investment manager, as well as remedies for non-compliance.
Asset Allocation & Portfolio Structuring
It is widely accepted that approximately 90 percent of the variability of future investment return is determined by asset allocation. MPC Capital Advisors models and develops various asset allocations to conform to our clients risk and objectives. Achieving an allocation commensurate with our clients objectives is the cornerstone of our consulting services. Correctly exploring asset allocation Models should provide spending policies, liability assumptions and investment objectives with the necessary framework from within to succeed.
Manager Research & Selection
As an independent firm, MPC has the liberty to search and work with any investment manager. MPC maintains an extensive list of both "Active" and "Passive" money managers that we routinely reviews and monitors. We often add managers that clients are interested in. Clients have access to our manager research providing a valuable service to the process of selecting the proper investment management of their portfolios.
Investment Performance Measurement & Reporting
We track our clients’ investments diligently, from the asset holdings and money manager to the total plan level. Our clients are always notified of incidents related to their investments and in the event of an investment manager delivering poor performance or making questionable decisions, we demand an honest explanation. MPC provides comprehensive reports that are concise and allow our clients to make highly informed strategic decisions. The portfolio's security positions, prices, transactions and other cash flows are scrutinized so that MPC can: • Calculate the individual money managers’ return • The Composite return of the portfolio • Compare and rank the results to peer groups, market indices and other benchmarks • Provide "Absolute" and "Relative" returns and risk analysis • Calculate "Attribution" determining manager skills and risk adjusted returns.
Portfolio Evaluation & Rebalancing
MPC continuously reviews and evaluates all client portfolios to include evaluating the relationship of a portfolios target asset allocation to that of its current allocation to determine if the target portfolio has a plurality of assets beyond what is specified in the Investment Policy Statement. We then assist in efficiently rebalancing the percentages to the target.
Portfolio Evaluation & Liquidity Management
MPC continuously reviews and evaluates all client portfolios to asses if the current asset allocation is in line with the strategy specified in the Investment Policy Statement and more importantly, determine if the portfolio is properly positioned to achieve the client’s goal. Monitoring the total risk of the portfolio as well as the level of risk assumed by the individual money managers is an integral component in our process driven approach. We assist in efficiently rebalancing the asset allocation percentages to their targets when necessary while supporting the client’s need to manage cash flow and liquidity requirements.
As a full service investment consulting firm, among the many important functions we provide is serving as the client’s expert resource in the investment management and asset/liability field, to call upon for advice and education. We understand our clients have important tasks to deal with and we strive to do all we can to help our clients make highly informed decisions; allowing them to focus their time and effort on their own expertise.