Investment Mandate
An investment mandate defines the strategic boundaries within which capital may be allocated, including asset class exposure, risk limits, geography, and portfolio role.
Investment Mandate
Definition An investment mandate defines the strategic boundaries within which capital may be allocated, including asset class exposure, geographic focus, risk limits, and portfolio role. Mandates govern behavior even when they are not explicitly disclosed. Allocator Context Institutional mandates are typically formal and policy-driven. Family office mandates are often implicit and shaped by experience rather than documentation. Misinterpreting mandate flexibility is one of the most common causes of fundraising inefficiency. Key Takeaways Mandates constrain behavior more than stated interest Implicit mandates are still binding Alignment outweighs persuasion