An interview with Steven Rubenstein, CFA, Investment Committee Member, Morgan State University Foundation.

Q: How do you see the current inflation and interest rate environment reshaping the way institutional investors think about risk?

Steven Rubenstein: In the current environment, we’ve seen a significant rotation toward debt, especially in bridge loans and preferred equity. These shorter-term strategies are viewed as more resilient in periods of elevated inflation and rising interest rates.

Not long ago, many investors dismissed credit because they perceived the upside as limited compared to equity. There was a fear of missing out on higher returns their peers were capturing. Today, that mindset has reversed—capital preservation is paramount. Investors are less focused on chasing equity-like upside and far more concerned with avoiding losses.

Q: In navigating market volatility, what unconventional strategies or frameworks have caught your attention?

Steven Rubenstein: Frankly, none. Wall Street and asset managers often promote diversification products, negative correlation plays, or tail-risk hedges as if they’re novel. In reality, most are simply rebranded versions of existing strategies.

The real challenge is that many of these products are packaged in unnecessarily complex and high-fee structures. While not inherently flawed, they rarely align with our fiduciary duty. Our responsibility is to cut through the marketing and determine whether the net value proposition justifies the allocation. Too often, the answer is no.

Q: How do you balance the need for liquidity with the pressure to pursue long-term growth?

Steven Rubenstein: Liquidity discipline is essential. We adhere strictly to spending targets and liquidity needs first, and only then allocate to illiquid assets where the compensation for lockup risk is clear and compelling.

Illiquidity can work in our favor—but only if we’re adequately compensated. Otherwise, it’s just unnecessary risk.

Q: Beyond your role at the Foundation, what trends or innovations in real estate investing are you most excited—or cautious—about?

Steven Rubenstein: I’m particularly encouraged by emerging technologies that improve building operations. We’re seeing solutions that reduce operating costs, enhance management efficiency, and deliver meaningful gains in energy efficiency.

These advancements aren’t just about compliance with sustainability standards—they’re about unlocking long-term value. Institutions that adopt them early will gain a competitive advantage.

Q: Why participate in iGlobal Forum? What significance does this event hold for you?

Steven Rubenstein: iGlobal Forum creates a unique space for senior leaders to exchange ideas, challenge assumptions, and share best practices. The opportunity to engage with peers who are confronting similar issues—albeit from different perspectives—is invaluable.

For me, it’s about stepping back from the noise of day-to-day markets and focusing on the structural forces shaping the future. That dialogue is what makes these forums so important.

Steven will be speaking on October 16th at the Global Leaders in Real Estate Summit, at a keynote interview on “Conviction Under Pressure: Rethinking Risk and Allocation in 2025.” Don’t miss this chance to hear directly from Steven. Complimentary access is available for qualified attendees — apply now before spaces fill up.