State Endowment Fund

A State Endowment Fund is a financial reserve established by a government to support ongoing public programs and services. It is typically created by investing surplus revenues, such as from natural resources like oil or minerals, and the investment earnings are used to fund important needs like education, healthcare, or infrastructure. Think of it as a savings account that generates income over time, ensuring steady funding for the state's priorities without relying solely on annual taxes or budgets. The goal is to preserve wealth for future generations while providing current benefits.