Overview of Asset Allocation

Question 1

Investment Governance

Answer 1

• structure that is expected to ensure that assets are invested to achieve asset owner’s investment objectives within risk tolerances and constraints (and in compliance with all applicable laws and regulations)

Question 2

Three Level of Governance Structure

Answer 2

a) Governing Investment Committee - BoD members or staff
b) Investment staff - large or small in house staff
c) Third-party resources - investment managers, consultants, custodial, actuaries