During a recent government meeting, trustees expressed significant concerns regarding the management of investment practices and the need for external expertise. Trustee Strauss emphasized the lack of implementation of best practices among service providers, highlighting the absence of an investment consultant, which he deemed essential for future operations. He pointed out that current trustees lack the necessary financial investment expertise, raising alarms about the fiduciary obligations tied to managing public trust funds.

The discussion revealed that Northern Trust is currently serving as the custodian, while Common Fund is involved in private market distributions. Trustee Strauss questioned the effectiveness of these roles, urging for clarity on whether they are meeting the required standards. He stressed the importance of having a dedicated investment consultant to ensure compliance with fiduciary responsibilities and to avoid potential liabilities.

Trustee Trask echoed these sentiments, clarifying the distinction between an investment consultant and an endowment manager, asserting that the board currently lacks the former. She called for a clear definition of the investment consultant's role, including their obligations to report to the board regularly.

The meeting also touched on previous decisions made by the board regarding the hiring of external consultants, with some members recalling a past intention to bring in an independent investment consultant that was ultimately redirected. CFO Ramona noted that the investment director position had been in a state of flux, with the previous director's appointment suspended for a year and a half before being reinstated.

Overall, the trustees underscored the urgency of addressing these gaps in investment management to uphold their fiduciary duties and ensure the effective oversight of public assets. The conversation highlighted a critical need for clarity and action in the board's approach to investment consulting moving forward.