Identify the new investment approach proposed by Zang for managing the Fund.

Justify your response.

Bern Zang is the recently hired chief investment officer of the Janson University Endowment Investment Office. The Janson University Endowment Fund (the Fund) is based in the United States and has current assets under management of $12 billion. It has a long-term investment horizon and relatively low liquidity needs. The Fund is overseen by an Investment Committee consisting of board members for the Fund. The Investment Office is responsible for implementing the investment policy set by the Fund’s Investment Committee.
The Fund’s current investment approach includes an internally managed fund that holds mostly equities and fixed-income securities. It is largely passively managed with tight tracking error limits. The target asset allocation is 55% equities, 40% fixed income, and 5%
alternatives. The Fund currently holds private real estate investments to meet its alternative investment allocation.

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Identify the new investment approach proposed by Zang for managing the Fund. (circle one) Norway Model Endowment Model Justify your response. Canadian Model LDI Model