Discretionary Portfolios

Trust Advisory Group (TAG)

As Callan's asset management division, the Trust Advisory Group (TAG) specializes in the design, implementation, and ongoing management of multi-manager portfolios. All of TAG’s efforts are an extension of our traditional consulting work as part of the firm's Fund Sponsor Consulting group.

Utilizing Callan’s scale, experience, and resources, TAG applies a process-driven approach to building and maintaining efficient, low-cost multi-manager portfolios on behalf of institutional investors. All portfolios managed by TAG have three common attributes we believe are critical to the success of any multi-manager portfolio: top-down design, robust process, and operational efficiency.

Our mandates include:

  • The Callan GlidePath® Funds target date funds
  • The Callan MultiManager℠ Core Funds
  • The KP Retirement Path target date funds

Read our announcement about Callan's GlidePath Funds® and the COVID-19 market impact.

Callan GlidePath® Funds

The Callan GlidePath Funds are a series of diversified investment funds or target maturity/target date funds, designed as a “single-investment” solution for participants of defined contribution plans. By automatically adjusting their asset allocation to become more conservative over time, these funds are designed to achieve the appropriate level of risk for each stage of a participant's life.

GlidePath Objectives:

  • Provide investors with efficient, diversified exposure to the key asset classes employed by large retirement plans
  • Automatically adjust the asset allocation of each fund to achieve an appropriate level of risk for each stage of a participant's life
  • Build a high-caliber team of institutional portfolio managers with a diverse set of views and a broad range of perspectives on the markets
  • Focus on fees and costs, employing a sensible blend of active and passive strategies, while working to keep fund expenses as low as possible

$2.1 billion: Total assets in the Callan GlidePath Funds*

Discretionary Services

Callan's full-service discretionary model was developed for clients who wish to partially or fully delegate their investment functions. Under this model, an institution can shift varying degrees of discretionary authority to Callan to manage investment or operational functions traditionally performed by an investment committee or investment staff. Callan's discretionary model is a natural extension of our traditional consulting practice, and has the same emphasis on a customized, long-term strategic approach. Callan can take discretion over the entire portfolio (what is referred to as the outsourced CIO or OCIO approach), or we can focus on just a portion of the portfolio. Our consulting team works with each client to find the right blend of services to best meet their long-term investment needs.

$23 billion: Total discretionary assets*

Callan MultiManager℠ Core Funds

The Callan MultiManager℠ Core Funds are built to provide participants in defined contribution plans with diversified exposure to major asset classes including large cap U.S. equity, small cap U.S. equity, non-U.S. equity, fixed-income, real assets, emerging market equities, and high yield fixed income.

Each fund is designed with a top-down perspective and has a clearly articulated return and risk objective. Underneath the hood, each fund utilizes a diversified mix of experienced investment managers (sub-advisors). These sub-advisors are selected based on their experience and expertise in managing a specific strategy. When combined into a multi-manager fund, these strategies are complementary and result in a well-diversified asset class portfolio.

This approach, using a variety of different firms to manage a single fund, is known as “open architecture.” It allows for the selection of best-in-class investment firms, and creates the flexibility to replace managers should circumstances change. It is the approach employed by most large institutional investors, and we have implemented in all of the Callan MultiManager℠ Core Funds.

*Data as of 3/31/20.

Looking for more information? Contact Mark Andersen at [email protected]