Members(as of July 1, 2017)
End of Term
|Mr. Ram Panda, Chair, Board of Governors, ex officio|
|Prof. Suzanne Fortier, Principal and Vice-Chancellor, ex officio|
|Mr. Joel Raby, Chair||[06/30/2019]|
|Mr. Sam Altman||[06/30/2018]|
|Ms. Kathy Fazel||[06/30/2018]|
|Ms. Anik Lanthier||[06/30/2019]|
|Dr. Robert Rabinovitch||[06/30/2020]|
|Mr. Gerald Sheff||[06/30/2020]|
|Mr. Stuart Cobbett||[06/30/2021]|
|Mr. Marc Trottier||[06/30/2020]|
Prof. Yves Beauchamp, Vice-Principal (Administration and Finance)
Mr. Marc Weinstein, Vice-Principal (University Advancement)
Terms of Reference of Investment Committee
The Investment Committee (“Committee”) is established under the authority of, and is accountable to, the Board of Governors (the “Board”) of McGill University (the “University”). It shall function as stipulated in these terms of reference and in the Regulations of the Committees of the Board of Governors of McGill University (the “Regulations”). In accordance with the Regulations, meetings of Board Committees shall be held in closed session unless the Committee resolves to carry out a meeting or part of a meeting in open session.
a. Other than ex-officio members, appointments to the Committee are approved by the Board, normally on the recommendation of the Nominating, Governance and Ethics Committee.
i. The Committee shall consist of three to eight members, selected, as indicated below, from among the following membership categories:
- Members of the general public (at least one);
- At-Large members of the Board (at least one);
- Alumni Association members of the Board;
- Governors Emeriti.
c. The Chair of the Board and the Principal shall serve as ex officio members of the Committee.
d. The Chair of the Committee shall be appointed by the Board, normally on the recommendation of the Nominating, Governance and Ethics Committee.
e. The Committee may recommend the appointment of a Vice-Chair of the Committee, who shall be appointed by the Board on the recommendation of the Nominating, Governance and Ethics Committee.
f. The Vice-Principal, Administration and Finance, shall serve as the Senior Steward to the Committee.
g. The Vice-Principal, University Advancement, shall serve as special advisor to the Committee.
h. The Secretary-General or delegate shall serve as Secretary and governance advisor to the Committee.
i. Where necessary or appropriate to facilitate and support the business of the Committee, the Senior Steward or Secretary may invite University staff to serve as resource persons for particular items of business.
2. Mandate of the Committee
The Committee, subject to the Regulations Relating to the Approval of Contracts and Signing Authority, assists the Board in fulfilling its governance responsibilities with respect to the University’s investments.
The Committee has a Subcommittee composed of the Chair of the Committee, a member of the Investment Committee, selected by the Committee, the Senior Steward of the Committee, and the Chief Investment Officer (resource person). The Subcommittee’s terms of reference are below.
Investments include all funds (whether endowed or non-endowed, externally or internally restricted) invested in accordance with University policy or as may be designated for Investment Committee oversight from time to time, exclusive of University pension plan funds.
Endowed funds are primarily invested through the McGill Investment Pool (“MIP”) and are composed of: (i) bequests and donations received by the University, for the most part externally restricted, and generally to be held in perpetuity (ii) those assets of entities affiliated to McGill which have been invested in the MIP as an investment vehicle (iii) such other assets as may be designated by the Board to be endowed or invested.
The Committee may consider other matters delegated to it by the Board, the Principal or the Vice-Principal, Administration and Finance.
Without limiting the generality of the foregoing, the Committee shall:
2.1 Functions delegated by the Board of Governors
a. approve the appointment and termination of investment managers and advisors;
b. review and approve investment manager mandates;
c. approve the appointment and termination of the University's investment custodians and other providers of investment related services, or delegate such approval as appropriate;
d. review, on a quarterly basis, all matters related to the investment of the MIP and other investments;
e. review, at least annually, the Statement of Investment Policy, and monitor compliance with this policy;
f. review, at least annually, the performance of each fund manager and providers of investment-related services;
g. implement investment matters as provided for in the Statement of Investment Policy, including but not limited to currency hedging and portfolio rebalancing;
h. monitor, as required, staff's compliance with guidelines and processes for the selection of investment managers, including compliance with the University’s conflict of interest policies;
i. approve the management fee on the MIP and any modifications thereto;
2.2 Functions subject to the authority of the Board of Governors
a. recommend to the Board the approval of all investment policies, including the Statement of Investment Policy, and any modifications thereto;
b. recommend the approval of the annual distribution rate for the income from the University’s endowment;
3. General provisions
a. The Committee shall meet at least four times during the year. The Committee shall have a calendar of business, maintained by the Secretary-General or delegate, for the purpose of ensuring that each meeting agenda addresses responsibilities as outlined in these terms of reference.
b. The Committee shall report to the Board on a regular basis, and within a reasonable time following each Committee meeting.
c. The Committee shall review its terms of reference at least once every five years and recommend any changes to the Board’s Nominating, Governance and Ethics Committee.
Board of Governors: April 21, 2016
Executive Committee: September 24, 2007
Executive Committee: January 25, 2010
Board of Governors: September 27, 2012
Executive Committee: November 27, 2012
Terms of Reference of the Investment Subcommittee
In accordance with section 39 of the Regulations of the Committees of the Board of Governors of McGill University (the “Regulations”), the Investment Committee (“Committee”) may establish a Subcommittee of the Investment Committee (“Subcommittee”).
a. The Subcommittee shall be composed as follows:
· the Chair of the Committee;
· a member of the Investment Committee, selected by the Committee;
· the Senior Steward of the Committee; and
· the Chief Investment Officer (resource person).
2. Mandate of the Committee
The Subcommittee shall operate within the parameters established by the Statement of Investment Policy.
The Subcommittee shall have the authority to act on behalf of the Investment Committee between regular meetings of the Committee.
2.1 Without limiting the generality of the foregoing, the Subcommittee may:
a. meet on the call of the Chair;
b. consider and take action on any matter or Investment Committee decision as authorized by the Committee;
c. initiate,on behalf of the Investment Committee, decisions and/or actions as may, in the opinion of the Subcommittee, be necessary to ensure compliance with the Statement of Investment Policy.
d. initiate, on behalf of the Investment Committee, adjustments to the ongoing management of endowment assets as may, in the opinion of the Subcommittee, be required on an urgent basis to enhance investment performance or to protect the endowment assets, subject to maintaining overall Investment Committee policy direction, and provided that normally such adjustments will not exceed 2% of the value of the MIP assets; (such adjustments may include revisions to the mandate of an external fund manager, and minor changes in bond duration, quality mix, asset class rebalancing and sub-asset class transfer)
e. request a special meeting or electronic vote of the Investment Committee to deal with any matter.
2.2 The Subcommittee shall report to each regular meeting of Investment Committee on all matters with which it has dealt since the previous regular meeting of the Investment Committee.
Investment Committee June 12, 2014