Duke University’s Endowment Sees Record 56% Gain in Latest Year
Duke University’s Endowment Sees Record 56% Gain in Latest Year
(Bloomberg) -- Duke University’s endowment returned 56% in fiscal 2021, the latest U.S. college to post eye-catching gains thanks to soaring public markets and investments in private assets.
The performance boosted Duke’s endowment to a record $12.7 billion for the year ended June 30, a $4.2 billion increase, the Durham, North Carolina-based school said in a statement Saturday.
Higher education institutions are on track for their best returns since 1986, according to data from Wilshire Trust Universe Comparison Service. Earlier this week, Washington University in St. Louis reported a 65% return, while Vanderbilt University posted gains of 57%. Washington University’s global equity portfolio rose 71.5% and its buyout, venture capital, distressed debt and growth equity investments gained 82%.
Each year, the university aims to spend between 4.5% and 5.5% of the average value of endowment funds over the three previous calendar years to finance academic initiatives like student financial assistance and faculty salaries. For the fiscal 2021, endowment and other investment income provided $656 million, or 23%, of the university’s operating budget.
Neal Triplett, chief executive officer of Duke University Management Co., has run the school’s endowment since 2007.
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