Designing a successful investment program.
Healthcare organizations have various asset pool funds that can be invested to increase nonoperating revenues. In order to maximize the long-term success of investment efforts, healthcare organizations need to develop comprehensive investment management programs. Such programs identify the assets that can be invested, establish the level of risk each asset type can be exposed to, and match long-term and short-term investment opportunities to the appropriate asset pool. Programs can be managed internally or outsourced to investment management firms with objectives and procedures that are compatible with those of the healthcare organizations' investment policies and guidelines. These policies and guidelines must address asset allocation. Oversight committees must be established to monitor investment performance and reallocate assets, as needed, to take advantage of market movements.