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Seems like that might be close to 25% of their alt investments. This sounds rather serious. > the endowment’s value increased to $41.4 billion on June 30, 2024
by k-i-r-t-h-i 2y ago
Seems like that might be close to 25% of their alt investments. This sounds rather serious.
> the endowment’s value increased to $41.4 billion on June 30, 2024, up from $40.7 billion on June 30, 2023
https://news.yale.edu/2024/10/25/yale-reports-investment-return-fiscal-2024 https://news.yale.edu/2024/10/25/yale-reports-investment-ret...
> Yale’s investment strategy depends heavily on alternative investments. As of 2019, they made up about 60 percent of Yale’s portfolio.
https://yaledailynews.com/blog/2022/10/24/yales-endowment-explained/ https://yaledailynews.com/blog/2022/10/24/yales-endowment-ex...
- toomuchtodo 2y agoProbably for the best, it’s a mediocre asset class considering the risk adjusted returns and illiquidity. https://cepr.net/publications/private-equity-university-endowments/ https://cepr.net/publications/private-equity-university-endo... https://pitchbook.com/news/articles/pitchbooks-university-endowment-return-tracker https://pitchbook.com/news/articles/pitchbooks-university-en... > So, how did the endowments fare? Pitchbook reports that the 50 largest university endowments saw an annual return of 8.3 percent over the past 10 years. And how did a plain vanilla 60-40 Vanguard mutual fund (60 percent stocks, 40 percent bonds) do? It returned 8.38 percent over the same period without the added risk of speculative investments in risky private assets. > Let that sink in. Endowment funds got no extra payoff for investing in private equity funds or other private assets. > The lesson? US endowment funds could have made the same return by joining with millions of ordinary people and investing in a plain vanilla mutual fund.
- readthenotes1 2y agoThat 8.3% return on the 60/40 includes a ludicrous investment in 0% bonds....