Brown University, Cornell University, Harvard University and Massachusetts Institute of Technology all informed of Thursday, with strong returns for his endowment fund in the fiscal year ending June with Leading with 55.5% return, followed by brown at 51.5%, cornell 41.9% and . Feather Harvard at 33.6%.
Buoyed by strong pandemic surge in stocks and venture capital the profitThe one-year performance of the Cornell Endowment Fund was the best in more than 35 years while that of MIT was the best in more than 20 years.
Profits exceed the previously reported 27% average annual return for all US college endowments Businesshala.
His fellow elite private universities are Duke University, the University of Pennsylvania, Vanderbilt and Washington University in St. Louis. announced last month’s settlement the profit Between 41% and 65%.
College endowments typically cover about a quarter of the university’s budget, mainly funding Financial aid and educational programs.
A huge increase in college endowments will allow universities to spend more, but don’t expect schools to go on bender. according to a Study From the American Council on Education, the average spending rate for endowments from 2011 to 2020 was 4.6%, and universities with an endowment of $1 billion spent an average of 4.5% in 2020. a large part of the endowment Determined For specific purposes from donors and cannot be spent independently. Still, Harvard swore off to increase its annual distribution from 1% to 2.5% of its endowments due to its strong investment performance, while MIT plans Thank you for increasing endowment spending to $286 million in the next fiscal year.