SSMU Sustainability Case Competition:Oxcel Endowment Julie Skarha

Béatrice St-Jean Maria Wang

Agenda• Key Issue• Current Situation • Decision Criteria• Alternatives• Recommendations• Key Takeaways

Key IssueNeed to invest a portion of the Oxcel College

endowment in a socially responsible investment fund

Current Situation • Current economy in recession• Poor performance of endowment • Questionable management• Increased concern of sustainable practices

o Push from alumni

Options• Socially responsible investing needed

o Original SRI fundso Green fundso Sustainable funds

Decision Criteria • Social responsibility

o Environmental o Social o Corporate governance

• Financial Feasibilityo Large fund size o Low turnover; low fees and expenses

• Manager Tenure

Alternatives 1. Abbe SRI Fund2. Winslow Green Growth Fund3. Calvert Social Investment Equity

Fund

Fund Name

Inception Date

Manager Name

Avg. Manager Tenure (Years)

Fund Size (in millions)

Total Expense Ratio

Advisory Fee

Turnover Rate

Abbe SRI Fund

Jun 06 Jonathan Abbe

3.30 $17.2 1.25% 1.05% 252%

Winslow Green Growth Fund

Jun 06 Jackson RobinsonMarilyn Irvin

8.58 $267.3 1.20% 0.90% 113%

Calvert Social Investment Equity Fund

Nov 99 Richard EnglandWilliam Hackney III

8.56 $1114,9

0.67% 0.60% 51%

Financial Feasibility

Social Responsibility

Manager Tenure

Abbe SRI Fund

- + ---

Winslow Green Growth

+ + ++

Calvert Social Investment Equity

+++ ++ ++

Social ResponsibilityAbbe• Avoidant • Limited criteria

Winslow• Any industry

sector • Narrowly

focused on environment

Calvert• Broad definition

of sustainabilityo Socialo Environmenta

lo Corporate

governance• Financially stable

Recommendation Invest the 30% in Calvert Social Investment Equity• Financial stability • Overarching sustainable principles• Average longer manager tenure

Invest in Cascades Inc.

Key Takeaways Strongest financially Most socially responsible Cascades = mid-cap investment

Questions?