The Cervasio family\u2019s wealth was generated by their consulting business, which is now operated by the third generation. Today, an established family office oversees the wealth in accordance with strategic objectives set by the family board.<\/p>\n
CLIENT BRIEF<\/strong><\/p>\n Through the family\u2019s standing in the industry and regional community of business owners, the Cervasio\u2019s family office (FO) began making direct investments years earlier, primarily in their home markets. Their approach emphasized relationship-driven dealmaking and a willingness to commit long-term capital to attractive growth opportunities. The family\u2019s portfolio focused mainly on these direct investments\u2014specifically those with a minority stake. They also maintained a small portfolio of private investment funds. While their primary interest remained in direct opportunities, they knew a more diversified fund portfolio could potentially provide more attractive returns and exposure to underrepresented sectors and geographies, and help them expand their connections to a broader set of general partners (GPs).<\/p>\n CLIENT NEEDS<\/strong><\/p>\n The family and the FO wished to expand their private investment portfolio to include a fund allocation that would complement their direct investments and globalize their investment exposure, beginning with the US. They knew they would need the help of a private investment firm with US expertise to augment their in-house resources, arrange fund manager introductions, advise on portfolio construction, and make manager recommendations. Another Cambridge Associates (CA) client recommended CA upon learning the Cervasio FO was seeking an investment firm with:<\/p>\n OUR SOLUTION<\/strong><\/p>\n As a non-discretionary advisor, our ability to add value to the investment team overseeing the entire portfolio was as important as the fund-specific strategy we would build. Lucas, a Managing Director with CA, took lead responsibility for the relationship, overseeing a dedicated CA team that worked to support the goals of the family and its FO.<\/p>\n We understood the client had two objectives for the US funds portfolio: to complement the objectives set for their direct portfolio and to maximize returns. With that in mind, we proposed an initial US allocation with a growth equity tilt, as well as some venture capital and buyout strategies. To build out the portfolio, we recommended specific managers based on rigorous research and due diligence. Lucas then facilitated meetings between recommended managers and the client. As the client approved the managers and committed to funds, the family\u2019s US portfolio began to take shape.<\/p>\n\n
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