Endowment Model of Investing

The Endowment Model of investing is a strategy used by institutions like universities to grow their assets over the long term. It emphasizes diversifying investments across a wide range of assets, including private equity, real estate, and hedge funds, alongside traditional stocks and bonds. This approach aims for higherreturns with acceptable risk, leveraging alternative investments to reduce reliance on traditional markets. The goal is to generate steady income and capital growth to support the organization’s mission, ensuring financial stability and capacity for future needs.