Keep pulling the thread on Bruce MacDonald.
India's economy is currently at risk from both the rise of AI threatening its IT services sector and its dependence on Middle Eastern energy amid the conflict with Iran.
Bruce MacDonald is concerned that the ongoing conflict involving Iran could increase the likelihood of China invading Taiwan.
A Chinese invasion of Taiwan would severely impact the entire investment portfolio due to the public and private markets' deep linkage to the AI buildout, which is dependent on Taiwanese semiconductors.
The Virginia Commonwealth University Investment Management Company (VCUIMCO) strategically excludes private credit, China, Latin America, and Africa from its investment focus.
The Virginia Commonwealth University Investment Management Company (VCUIMCO) manages a $2.5 billion portfolio for VCU's endowment and health system.
Since Bruce MacDonald's promotion to CIO in 2022, the Virginia Commonwealth University endowment has been a top-decile performer.
Virginia Commonwealth University's investment strategy is built around secular tailwinds including India, Vietnam, gold, and artificial intelligence.
Upon its establishment in 2015, VCUIMCO sold its entire inherited investment portfolio to start fresh, a decision made easier by the portfolio's lack of private equity holdings.
VCUIMCO's portfolio maintains a low allocation to illiquid assets, with only 20% to 25% invested in private markets.
Bruce MacDonald believes the intense focus on private assets by endowments over the last 10-15 years has diminished their ability to invest counter-cyclically.
Since 2018, India has been VCUIMCO's largest single country or regional overseas allocation.
The venture capital ecosystem in India has matured to a point where domestic LPs now constitute 60% of the capital for many funds.