Our experienced team of investment professionals offers discretionary services to institutions, family offices and other investors.
Under a discretionary model (known as “implemented consulting” or Outsourced CIO):
- Pavilion will act as an extension of the client’s staff, overseeing the management of the assets in an investment portfolio rather than merely providing recommendations.
- Clients delegate specific investment responsibilities to Pavilion, including the authority to retain and terminate investment managers as necessary and implement an asset allocation strategy based on the client’s defined parameters.
- The amount of discretion will be determined by the client based on available resources, governance requirements and so on.
Why implemented consulting?
There are various reasons why an organization may want to outsource the investment decision-making process. There may be:
- a frustration with the existing process that may be cumbersome, time consuming or inefficient;
- a desire to reduce or limit fiduciary responsibility;
- a goal of introducing a more tactical investment approach;
- a need to focus on the organization’s strategic business; or
- a lack of internal investment expertise or resources.
Regardless of the reason, should an organization wish to implement an OCIO program, one of the primary decisions is selecting the level of discretion to grant an investment consultant. There are a range of services that can be delegated to the advisor leading to a relationship where, at one extreme, the advisor has complete discretion or, at the other extreme, minimal discretion.
What sets us apart
What sets Pavilion’s discretionary consulting service apart from many competitors is that it is not a canned, pre-set product, but rather a service that is fully customizable to each client’s unique circumstances. We can offer services tailored to smaller or larger organizations. Of importance is that the client’s Investment Committee can select the level of discretion that it wants: we can expand or narrow our services based on client needs, and handle all or part of the portfolio. We also have an experienced operations and back office team dedicated to OCIO/discretionary service, using sophisticated portfolio management systems and reporting to the client.