The Politics of Public Fund Investing is an invaluable guide for the public fund manager and elected official whose time, resources and opportunities for training are limited. This book effectively explains the uniqueness of public funds as it brings to light the subtle issues applicable to their stewardship. By clearly illustrating specific techniques, standards and procedures, it educates readers as to how to optimize and measure performance. This book provides an in-depth look at how politically acceptable portfolios should be constructed, managed and reported.
“I highly recommend his book for its clarity and depth of coverage: It is unlike any resource out there”, Felicia Landerman, Cash and Investment Manager, Palm Beach County Clerk and Comptroller’s Office.
Politics of Public Fund Investing is meant to help public fund managers direct fixed-income portfolios while simultaneously balancing politics, or the need to preserve principal, with economics, or the need to optimize income. The Politics of Public Fund Investing approaches public fund management from the lay perspective, providing much-needed guidance to modify Wall Street strategies to serve the needs of Main Street
If you manage a public fund, if you are an elected official, or if you oversee a portfolio for a foundation or an endowment, you know the traditional money management strategy used every day on Wall Street doesn't necessarily apply to your situation. For you, investing isn't simply about economics. Wall Street strategies do not take into account election cycles, political risk factors, or the unique performance assessments public funds must undergo. When Wall Street builds a portfolio, it doesn't need to consider the opinions and desires of a wide variety of constituents, and the management of the portfolio's performance doesn't carry the same level of career risk.
Incorporating the insights gained from conversations and experiences with clients and workshop participants over the years, Mr. Finkelstein has written a valuable book on how to modify Wall Street methods to fit the Main Street way of investing.
The Politics of Public Fund Investing shows readers how to evaluate and measure their funds' performance through specific techniques, standards, and procedures. It begins by addressing the key differences between Wall Street and Main Street, explaining which methods of Wall Street are unsuited to public fund management and why. The book provides a framework for moving from a static investment policy to a dynamic investment plan, making the important distinction between what is "legal" in terms of policy and what is "suitable" in terms of the objectives of the stakeholders. The book goes on to propose exceptional and beneficial insights into appraising a fund's performance along with providing a four-step process to build a politically correct portfolio. Finally, it shows how to be safe and optimize income within the constraints of acceptable risk.
"Ben has created a tremendous resource for all of us who are public fund managers. I think his book should be required reading for all council members and city managers. I plan to order copies for all our council members for their reference."
-Robert W Woolley, CPFO, Finance Director/Treasurer, City of Clovis , CA
"Like our investment policy, The Politics of Public Fund Investing, is now required reading to do business with the City of Seattle. It is the way we do business!"
-Rod Rich, Director of Investments and Kellie Craine, Assistant Director of Investments, City of Seattle, WA
"A fresh and thought-provoking look at public sector investment strategies"
-Kent Rock, Treasurer, City of Boise, ID
"The Politics of Public Fund Investing offers a model framework for public finance officials to follow in managing assets. The book is grounded in the realities of public funds- not based on the theories of Wall Street."
-Craig Husting, CFA, Chief Investment Officer, Missouri Teachers Retirement Systems
