WSIB to Invest $400m in Menlo Funds

The Workplace Safety and Insurance Board (WSIB) is considering a $400 million commitment to new funds managed by Menlo Advisors. This move would mark a significant investment by the WSIB in alternative assets and is expected to generate returns for the board's pension plan. The WSIB has previously invested in alternative assets to diversify its portfolio and reduce risk.

The Workplace Safety and Insurance Board (WSIB) is considering a significant commitment of $400 million to new funds managed by Menlo Advisors. This move represents a substantial investment in alternative assets and is expected to generate returns for the WSIB's pension plan. The WSIB has previously diversified its portfolio by investing in alternative assets to reduce risk.

Goldman Sachs recently announced a strategic pivot into alternative assets and blockchain technology, which could serve as a model for the WSIB's investment. Goldman Sachs shares rose by 2.51% on a trading volume of $1.32 billion as the bank announced a $1 billion investment in T. Rowe Price to expand private market access for retirement and wealth clients [1].

The bank is also spinning off its crypto platform into a blockchain-focused entity, partnering with Tradeweb Markets to develop security-oriented tokenized debt solutions for institutions. These strategic moves include entering the $2.4 billion tokenized Treasury debt markets and restructuring digital assets divisions to align with low-risk alternative investment trends.

Backtests project 18-month gains from these initiatives, positioning Goldman Sachs to capitalize on regulatory shifts and blockchain adoption in institutional finance. The WSIB's investment in Menlo Advisors, if approved, could similarly benefit from these trends, potentially generating significant returns for the pension plan.

The WSIB's consideration of this investment aligns with its strategy to diversify its portfolio and reduce risk through alternative assets. By leveraging the expertise of Menlo Advisors, the WSIB aims to navigate the complexities of alternative investments and potentially achieve higher returns.

References:
[1] https://www.ainvest.com/news/goldman-sachs-strategic-pivot-alternative-assets-blockchain-drives-51st-ranked-1-32-billion-trading-volume-1-billion-rowe-price-investment-crypto-spin-2509/