OCIO Services

LCG began offering Outsourced Chief Investment Officer (“OCIO”) services to accommodate clients seeking a more streamlined, dynamic investment process and program. LCG offers a fully-customized, open architecture approach to OCIO services. We believe this is the most effective method for adding value via manager selection and facilitating a process that works best for clients. Structuring OCIO relationships in this manner also ensures LCG’s interests are aligned with our clients’. We also believe this provides a more flexible and tailored solution as opposed to a turnkey approach that focuses on asset gathering. The scope of services LCG offers to OCIO clients may include, but is not limited to:

  • Governance and investment policy design recommendations
  • Asset allocation advice and portfolio implementation
  • On-going portfolio positioning and rebalancing
  • Investment manager due diligence, search, selection, and implementation
  • Investment manager fee analysis and negotiation
  • On-going risk management and portfolio monitoring
  • Custodian analysis, search, and recommendations

Below is how LCG’s OCIO services compare to non-discretionary services:

Type of Consulting Relationship

LCG’s Services Provided

Discretionary

Non-Discretionary

Serves as a fiduciary
Portfolio construction advice
Provide advice / recommendations
Provide advice on rebalancing

Provide advice on manager hire/fire decisions

Implement advice / recommendations

Authority to hire/fire investment managers

Authority to rebalance portfolio

Authority to instruct custodian to execute changes

Authority to execute contracts
✓/-

On-going monitoring
Client’s Role:

Delegate control Sets investment guidelines, restrictions

Retain control Sets & executes investment guidelines, etc.

LCG’s Role:

Support Investment Committee / Staff Execute on Staff’s behalf

Support Investment Committee / Staff