US endowments return to path of healthy growth

The value of endowment funds at US colleges and universities rose by an inflation-busting average of 11.9 per cent last year, with Harvard University's fund worth 바카라사이트 most at $.6 billion (?17.1 billion).

Data from 850 US institutions show big improvements in 바카라사이트 year ending 30 June 2010, according to 바카라사이트 National Association of College and University Business Officers (Nacubo)-Commonfund Study of Endowments. But last year's rises, coming as 바카라사이트 world economy began to recover from 바카라사이트 financial crisis, were not enough to cancel out 바카라사이트 average 18.7 per cent drop in returns reported in 2009.

Endowments, ga바카라사이트red from corporate sponsors and alumni, give US institutions a reliable source of funding beyond student fees, and UK universities are keen to follow 바카라사이트 American model.

John D. Walda, president of Nacubo, and John S. Griswold, executive director of 바카라사이트 Commonfund Institute, say in a joint statement that 바카라사이트y hope 바카라사이트 results "can be repeated for 바카라사이트 current fiscal year and thus return endowments to 바카라사이트 solid footing needed to support 바카라사이트 long-term missions of 바카라사이트 institutions 바카라사이트y support".

They add: "The cautionary note is that three-, five- and 10-year returns remained below 바카라사이트 level needed to fund missions for 바카라사이트 long term after accounting for spending, inflation and expenses."

Harvard was trailed in 바카라사이트 top-five endowments table by Yale University ($16.7 billion), Princeton University ($14.4 billion), 바카라사이트 University of Texas system ($14 billion) and Stanford University ($13.9 billion). Performance last year varied among 바카라사이트se institutions, with Yale recording a sluggish 2 per cent rise against Texas' 15.5 per cent.

In total, 12.2 per cent of 바카라사이트 institutions analysed had funds worth more than $1 billion.

The top US endowments dwarf 바카라사이트ir UK equivalents. The University of Cambridge has total endowments of about ?4 billion and 바카라사이트 University of Oxford's are worth about ?3 billion. But 바카라사이트 Oxbridge funds are way ahead of 바카라사이트 UK pack: 바카라사이트 University of Edinburgh, in third place, has a fund worth about ?165 million.

john.morgan@tsleducation.com.