Kerusso Capital Management has crossed $280 million in assets under management following an allocation from Health Forward Foundation, with advisory involvement from Cambridge Associates.
The firm’s growth from an initial $4 million capital base to over $280 million reflects how managers move into institutional allocation frameworks over time.
How the Allocation Came Together
The allocation was driven by alignment between the allocator, the advisor, and a manager who had already been under observation.
Institutional capital at this stage is not introduced through discovery. It follows sustained visibility across performance, asset growth, and relationship continuity.
As Randell Cain noted, “We were a known entity to both institutions through long-term relationship-building. Performance and asset growth were consistent, but timing was outside our control.”
The relationship extended across both the allocator and the advisor layer. Health Forward Foundation and Cambridge Associates had visibility into the firm’s development well before the allocation decision was made.
What Mattered in the Evaluation
Institutional allocation decisions are built on performance, asset growth, and consistent communication with both allocators and consultants over time.
“We had been diligent in keeping both groups updated on portfolio performance and asset growth. The combination made us a credible allocation at the institutional level.”
This process allows managers to be evaluated within an existing allocation framework rather than requiring a new one to be built.
Growth as a Signal
Asset growth functions as both an outcome and a signal within institutional allocation frameworks. It reflects the ability to attract and retain capital over time while maintaining performance discipline.
“Our assets had grown from $4 million to nearly $230 million by the time the allocation was made.”
That progression reflects how managers move from early capital formation into a stage where institutions can underwrite them within an established process.
What This Signals
Institutional capital follows managers it already knows. Relationships, advisor validation, and timing within an allocation cycle determine allocations.
Performance and asset growth position the manager, but the allocation occurs when capital is ready to move.
Shoppe Black is building a curated directory of businesses and operators across the industries documented on this platform.
Businesses can fill out a short form here.
