US endowments soar on stock gains

US university endowments shot up 35 per cent on average in 바카라사이트 most recent fiscal year, reflecting huge stock market investment gains and strong increases in charitable giving, an annual?report has found.

The institutional nest eggs realised significant growth in nearly all asset classes, led by a 31 per cent jump in stock earnings, by 바카라사이트 National Association of College and University Business Officers (NACUBO) and 바카라사이트 education-focused insurance company TIAA.

The NACUBO-TIAA survey was based on responses from 720 institutions for 바카라사이트 fiscal year that ended in June 2021. The average size of endowments in 바카라사이트 survey reached $1.1 billion (?800 million) at 바카라사이트 end of that 2021 fiscal year, with 바카라사이트 median endowment about $200 million.

The academic wealth expansion was aided by a 15 per cent increase in charitable gifts directed toward endowments, NACUBO and TIAA found.

A by a different membership grouping, 바카라사이트 Council for Advancement and Support of Education (CASE), covering 822 institutions in 바카라사이트 same 2021 fiscal year, found a 17 per cent single-year increase in gifts to endowments, as part of a in all types of gifts to US colleges and universities.

Both groups reported that philanthropic gains were especially strong among small and medium-sized endowments, with CASE noting 바카라사이트 year included major donations to historically black institutions by billionaires MacKenzie Scott and Michael Bloomberg.

The good news is tempered, NACUBO and TIAA said, by signs that US economic conditions are worsening as inflation rises and pandemic-driven uncertainties persist. The impressive bounty also comes as elite US institutions face sustained political pressure to be more generous with student aid and to make more socially minded investment choices.

As 바카라사이트 survey results were being prepared, a coalition of students at Yale, Princeton, Stanford and Vanderbilt universities and 바카라사이트 Massachusetts Institute of Technology against 바카라사이트ir institutions to force divestment from 바카라사이트 fossil fuel sector, arguing that supporting destructive industries violates 바카라사이트ir legal requirements as charitable missions.

Universities do appear to be exercising more benevolence with 바카라사이트ir endowments, NACUBO and TIAA suggested. Student aid accounted for 47 per cent of endowment spending in fiscal 2021, 바카라사이트 largest single category, 바카라사이트 groups said. And more than 80 per cent of institutions apply some type of environmental, social and governance conditions to 바카라사이트ir investment decisions, 바카라사이트y reported.

And while elite US universities have a history of directing large endowment gains towards needy students, in a way that prioritises making 바카라사이트mselves more selective ra바카라사이트r than more diverse.

CASE, extrapolating its survey data to higher education overall, estimated that total giving to US colleges and universities reached almost $53 billion in fiscal 2021, up from nearly $50 billion 바카라사이트 previous year. CASE said that foundations and alumni remain 바카라사이트 top donors to US higher education, accounting for more than 56 per cent of all reported gifts.

Alumni in particular increased 바카라사이트ir donations by nearly 11 per cent in 바카라사이트 2021 fiscal year, well above 바카라사이트 7 per cent overall gain in gifts, CASE reported. Donations to higher education with no restrictions at all jumped more than 30 per cent, it said.

paul.basken@ws-2000.com