Preliminary Data Show Educational Endowments’ Investment Returns Averaged 15.8 Percent in FY2014

Increased Allocations to Alternatives

Among additional findings, preliminary study data indicate that colleges and universities are continuing to increase allocations to alternative strategies (which include marketable alternatives, private equity, venture capital, natural resources, distressed debt and private equity real estate). The allocation to alternative strategies grew to an average of 58 percent among the early reporting institutions and to 65 percent among institutions with assets over $1 billion. Last year, alternative strategies accounted for an average of 53 percent of endowment portfolios, a one percentage point decline from the previous year.