Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Investments Performance topic
No spam. Unsubscribe anytime.
Kellen LLC reports strong January returns; trustees discuss benchmarks and private equity effects
Summary
Kellen LLC presenter Alex Browning said net investment income for January was about $85 million, reported asset-class and manager updates, and explained a shift to the Cambridge private equity benchmark; trustees asked about attribution, peer comparisons and allocation effects.
Alex Browning of Kellen LLC gave the investment performance presentation for the quarter ended Dec. 2025 and the flash for January 2026, telling trustees the trust's net investment income for January came in at about $85,000,000 and that the flash showed returns ahead of cumulative monthly targets.
"Net investment income came in at 85,000,000 as of the month of January," Browning said, and described a cumulative target rate of return set at 3.02% versus an actual figure presented as 7.74% (annualized-equivalent presentation on the slides). He reviewed macro signals (unemployment, inflation), asset-class returns and manager-level notes, including the termination of AllianceBernstein (liquidated proceeds used to rebalance SMID/large-cap targets) and personnel changes at TA Realty and UBS.
Browning said the investment committee adopted a more representative private-equity benchmark (Cambridge Global Private Equity & Venture Capital Index) to better match the trust's private-market exposures. He explained that secondaries and primaries are being measured as a composite (50% secondaries, 50% primaries) and warned that private-markets benchmarks can distort short-term comparisons.
Trustees asked detailed questions about the attribution tables, peer-group comparisons and whether the asset-allocation comparisons represent averages or medians of the peer sample. Browning described the 'triangle' on the slide as the blended index asset-allocation target, the 'dot' as the portfolio and the bar as the peer-range of returns, and said that rebalancing and cash flows contribute to small asset-allocation effects.
No formal action was taken; the board accepted the performance report and moved to the next agenda item.
