Strategic Investment Group facts for kids

Strategic Investment Group, also called Strategic Investment Partners, Inc. or SIP, is a company in the United States. It helps manage money for other groups and people. They look after about 38 billion US dollars. This company is famous for creating a special way to invest called "fund of funds." SIP was started in 1987 by six people who used to work for the World Bank.

What Does Strategic Investment Group Do?

Strategic Investment Group is an investment manager. This means they help big groups, like pension funds or universities, decide where to put their money. Their goal is to help this money grow over time. They do this by choosing different places to invest, like in stocks or other companies.

How Did Strategic Investment Group Start?

The company began in 1987. It was founded by six people. These people used to work for the World Bank. The World Bank is a big international organization. It helps countries around the world with money and development. These founders worked in the World Bank's group that managed money for pensions. Pensions are savings for people's retirement.

What is a Fund of Funds?

Strategic Investment Group is known for starting the "fund of funds" idea. Imagine you have a big basket of different kinds of fruit. A "fund" is like one type of fruit, for example, a basket of apples. A "fund of funds" is like a giant basket that holds many different smaller baskets of fruit.

In the world of money, a "fund" is a collection of investments. It might hold stocks from many companies. A "fund of funds" invests in many different funds. This helps spread out the risk. If one fund doesn't do well, the others might still do great. It's a way to diversify investments.