Yale Case Study Questionsx-1

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Study Questions For Week 1: Yale University Investments Office August 2006.

Read Chapter 9: Risk and Return of Leamon, Lerner, Hardymon in the course packet + the Yale case.

Prepare a memo for the Yale case with your group. You can use the study questions below as a guideline.

1. What do you think of Swensens overall investment philosophy? How has the strategy performed?

2. How has the Investment Office selected, compensated, and controlled private equity fund managers? What explains the differences between their strategy in private equity with that in other asset classes (e.g., real estate)?

3. How has the Investment Office decided when to make private equity investments? What explains the differences between their strategy in private equity with that in other asset classes (e.g., real estate)?

4. How has the Investment Office made international private equity investments? What explains the differences between the performance of their international and domestic private equity investments?

5. How is the private equity industry changing? How could Swensens private equity strategy go wrong?

6. Should David Swensen have shifted his private equity strategy in 2006? How would you recommend that he change it now?

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