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They haven't lost $250 million as they haven't sold their holdings. For what it's worth, UT has the second largest US educational endowment now, only second to
by nostromo 11y ago
They haven't lost $250 million as they haven't sold their holdings.
For what it's worth, UT has the second largest US educational endowment now, only second to Harvard. On the whole, they've done very, very well. It doesn't surprise me that some of their investments are currently underperforming, as that's a hallmark of a diverse portfolio.
- cnst 11y agoFair point; however, if the price was increased 10 fold, would they still be saying that they're moving 1 billion dollars in gold, and not 10?
- mikeyouse 11y agoPaper losses are still losses.. If your holdings decrease in value by 25%, they need to increase by 33% to recover their previous price. Another way to think of it; You can borrow against assets using the gold as collateral. Texas's borrowing ability is much smaller today than it was when the gold was worth $1B. It's clear that they've lost some tangible value.
- blatherard 11y agoThat's why I refuse to sell my Beanie Babies.