Institutional Allocators for Diversity, Equity, & Inclusion (IADEI)

Our co-founder Bhakti Mirchandani's details two ways to continue to pursue diversity in institutional investment portfolios with lower risk of being construed as engaging in discrimination. Thank you W.K. Kellogg Foundation and to our founding Steering Committee Member Reginald Sanders, CFA, CAIA for your trailblazing approach and to our technology partners Jan Oliver Koelble and Luis Mejia at Clade for widening the range of facets of diversity in our database. This should provide limited partners with more ways and reduces the likelihood that pursuing diversity can be construed as discriminatory https://lnkd.in/eKDE7ryR

Our pro bono counsel Simpson Thacher & Bartlett LLP published an insightful summary of the key highlights of the Fearless Fund case and why they matter: https://lnkd.in/e7KcdFzn. 1. SCOPE: This decision significantly extends the concepts established in Students for Fair Admission v. Harvard from college admissions to the activity of private firms and private transactions. 2. ANONYMITY: While similar previous lawsuits were dismissed because the plaintiffs were anonymous, in the Fearless Fund decision, the court ruled that anonymous plaintiffs had standing.  This may mean more leeway for groups to file anonymous lawsuits with standing. 3. CONTRACTS VS. GRANTS: The court decided that the grant at issue was a “contract” in part because the Fearless Fund described it as a contract in the initial version of the application. Word choice matters!  Within charitable giving, programs adhering more closely to “grants,” may be more likely to escape similar scrutiny. 4. ABSOLUTE BARS TO ENTRY: The court held that the program does not meet the test for exception for “remedial programs” that address racial imbalances because it creates an absolute bar to entry (only Black women may apply for grants under the program). Absolute bars to entry are legally risky. 5. LIMITATIONS OF THE FIRST AMENDMENT: While First Amendment protections may cover certain speech that entails discriminatory statements, they do not cover engaging in discrimination itself, and the court found the Fearless Fund to be engaging in discrimination.

Thank you, W.K. Kellogg Foundation Managing Director and Institutional Allocators for Diversity, Equity, & Inclusion (IADEI) Steering Committee Member Reginald Sanders, CFA, CAIA, Milken Institute Senior Director Blair C. Smith, and Trinity Church Wall Street Managing Director and IADEI Co-Founder Bhakti Mirchandani for sharing the details of W.K. Kellogg Foundation's trailblazing approach to building 20 dimensions of cognitive diversity into its investment portfolio. https://lnkd.in/eirXGT3K

Thank you, W.K. Kellogg Foundation Managing Director Reginald Sanders, CFA, CAIA and Trinity Church Wall Street Managing Director Bhakti Mirchandani for highlighting the key elements of W.K. Kellogg Foundation's trailblazing approach to Sustaining and Balancing the Path to Inclusive Capitalism. https://lnkd.in/eRJQA2bs 

Institutional Allocators for Diversity, Equity, & Inclusion (IADEI) Fellow and Doris Duke Foundation CIO Leena Bhutta writes that organizations with multidecade time horizons and timeless values that are central to their purpose can’t fall prey to the news cycle and provides practical advice on how. Congratulations, Leena! https://lnkd.in/eMA-KZvC

In the first video of the Institutional Allocators for Diversity, Equity, & Inclusion (IADEI) Sustaining and Balancing the Path to Inclusive Capitalism Series, John Bennett, Simpson Thacher & Bartlett LLP Senior Counsel, and Christopher Rowe, Church Pension Group Managing Director, discuss how to navigate the legal and regulatory risks associated with diverse manager strategies: https://lnkd.in/e8BQDgkx

Congratulations to our co-founder Bhakti Mirchandani for receiving the Intentional Endowments Network JEDI (Justice, Equity, Diversity, and Inclusion) Investing award. Congratulations to also to Pedro Henriques da Silva and Bob Litterman for their awards in General Sustainable Investing and Climate Investing Leadership categories. "Thank you for the honor and for IEN's leadership," Mirchandani said. "Together, with our 800+ LP members at Institutional Allocators for Diversity, Equity, & Inclusion (IADEI) and our cousins like IEN and Milken Institute, we have developed tools and guides for sourcing diverse talent, underwriting equitably, and equitable monitoring and engagement that are available on our website." https://lnkd.in/en5AG8aH

Congratulations to our co-founder Sophia Tsai for receiving the Changemaker award at the AAAIM 2024 Lunar New Year Gala. "Thank you for the recognition and for AAAIM's leadership," Tsai shared. "Together, with our 800+ LP members at IADEI, we believe we have driven better performance through broader representation within our investment portfolios and teams."

Thank you to The James Irvine Foundation Managing Director Jesús Argüelles for sharing best practices for building a portfolio of diverse emerging managers outside of a formal program, aligning teams, and identifying and rooting out biases from investment processes (https://lnkd.in/diSj23eY) during Session 6 of Institutional Allocators for Diversity, Equity, & Inclusion (IADEI) Fellows and Forum. Your approach is an inspiration!  Thank you also to our fellows for their leadership in their organizations and for sharing their insights during the session: Leena Bhutta, Laurie Bonello, CFA, Adri Chaikin, Brian Chen, Kristi Craig, CFA, Nicola da Roza, CFA, CAIA, Ashley Dennig, Mark Doherty, Greg Francis, James Glenn, Geetanjali Gupta, Tracy S. Harris, Rudy Hobson, Kai Hong, CFA, Yana Watson Kakar, Yup S. Kim, Benjamin Liou, Karen Mercer, Mallika Nair, CAIA, Casey Plante, CFA, Dimple Sahni, Brian Scharf, Sharcus Steen, CAIA, Ryan Sullivan, CFA, Muneeb Syed, CFA

Thank you to The James Irvine Foundation Managing Director Jesús Argüelles for sharing best practices for building a portfolio of diverse emerging managers outside of a formal program, aligning teams, and identifying and rooting out biases from investment processes (https://lnkd.in/diSj23eY) during Session 6 of Institutional Allocators for Diversity, Equity, & Inclusion (IADEI) Fellows and Forum. Your approach is an inspiration!  Thank you also to our fellows for their leadership in their organizations and for sharing their insights during the session: Leena Bhutta, Laurie Bonello, CFA, Adri Chaikin, Brian Chen, Kristi Craig, CFA, Nicola da Roza, CFA, CAIA, Ashley Dennig, Mark Doherty, Greg Francis, James Glenn, Geetanjali Gupta, Tracy S. Harris, Rudy Hobson, Kai Hong, CFA, Yana Watson Kakar, Yup S. Kim, Benjamin Liou, Karen Mercer, Mallika Nair, CAIA, Casey Plante, CFA, Dimple Sahni, Brian Scharf, Sharcus Steen, CAIA, Ryan Sullivan, CFA, Muneeb Syed, CFA