Asset owners share real-world lessons on embedding TPA and navigating new governance and cultural shifts
When investors move beyond traditional strategic asset allocation, they encounter the realities of the Total Portfolio Approach (TPA)—a shift that demands new thinking in governance, culture, and operational execution.
A new report from the Chartered Alternative Investment Analyst (CAIA) Association, developed in collaboration with WTW’s Thinking Ahead Institute (TAI), examines how asset owners are making this transition.
“From Vision to Execution: How Investors are Operationalizing the Total Portfolio Approach” draws on 18 months of conversations with chief investment officers, portfolio strategists, and board members from more than a dozen institutions.
The report provides a practical blueprint for organizations considering or undertaking the move to TPA, regardless of size or resource constraints.
The publication organizes its findings into three sections: mapping the transition, revealing portfolio impacts, and embedding the TPA mindset.
It highlights that the success of TPA depends less on organizational design and more on the “invisible” drivers of transformation—cultural norms and governance processes.
The report discusses practical approaches to change management and shares what has worked, what has not, and what is required to begin the journey.
Roger Urwin, co-founder of the TAI, describes the Total Portfolio Approach as “governance reimagined through a systems-lens.”
He notes that while Strategic Asset Allocation (SAA) provides comfortable governance but cumbersome portfolio management, TPA “brings efficiency to portfolio design but requires a stretch in governance.”
The report challenges the notion that TPA is only achievable for large institutional investors. Stories from a range of organizations demonstrate that adaptability, rather than scale, enables the transition.
The findings reflect a collective effort, shaped by the contributions of more than a dozen CIOs who shared their time and insights.
This publication builds on CAIA Association’s 2024 paper, "Innovation Unleashed: The Rise of Total Portfolio Approach," which defined the core dimensions of TPA and initiated global discussion.
The new report moves beyond commentary, providing case-based examples of TPA execution in real portfolios.
Aaron Filbeck, managing director, Content and Community Strategy at CAIA Association, says, “The response to our first TPA report surprised even us.”
He explains that what started as a conceptual framework soon became a catalyst for global conversation.
Filbeck observes that investors now show “not just interest in the idea, but a sense of urgency around putting it into practice,” and notes that CAIA has been at the forefront of this discussion.
Jayne Bok, head of Investments, Asia, WTW and Chair of CAIA Association’s Board, says, “TPA is not a destination, it’s a spectrum.”
She notes that even the most advanced funds see themselves as evolving.
Bok also highlights her enthusiasm for contributing to the sequel report, which draws on experience working directly with asset owners as they navigate the transition from SAA to TPA.
As private and public markets converge and institutional investors face increasing pressures, the focus has shifted from “What is TPA?” to “How do we begin?”
