Investment committee approves manager changes as university fund rises to $31.9 million

The University of Guam’s investment committee voted June 3 to approve recommended changes to selected equity managers and adjustments to the university investment portfolio following a presentation by Raymond James.

Raymond James representatives Jason Mach and Amanda Gibba reviewed markets and portfolio performance, reporting a market value of about $31.914 million for the university investment fund as of the end of May and a roughly $2.14 million increase since March. The advisers recommended replacing several underperforming active equity managers—citing Aristotle Capital Management as an example—by moving to lower‑cost ETFs or to alternative managers that better matched the committee’s objectives.

"These two active managers have been underperforming for a while now and we want to make some recommendations to change that," Amanda Gibba said, summarizing the rationale for manager reallocation. Raymond James presented performance comparisons (including up‑capture and down‑capture ratios) and noted that switching some large‑cap growth allocations to lower‑cost options would reduce fees and may improve net performance over time.

Committee members clarified that about 90% of the funds are restricted (for example, land‑grant related restrictions) and that a separate private‑equity matter was tabled for a future meeting. The committee approved the three manager changes before it by voice vote; the private‑equity recommendation was deferred.

The committee will implement the manager changes as presented and continue to monitor performance and fees across the fund.