Endowment Earnings Strong for Most Recent Fiscal Year
MIDDLEBURY, Vt. – Strong returns in venture capital investments and private equities and public equity markets helped generate a strong investment return of 9.7 percent for Middlebury’s endowment in the fiscal year ending June 30, 2018. Thanks to the solid return and to gifts received during the year, the value of Middlebury’s endowment ended the year at $1.124 billion—an increase of $50 million.
Last year’s performance boosted the endowment’s 3-year annualized return to 6.0 percent, the 5-year return to 8.2 percent, and the 10-year return to 7.4 percent.
The annual and 10-year returns both surpassed Middlebury’s own benchmark (75 percent global equity/25 percent Treasury securities) of 7.6 percent for the year, 7.7 percent for five years, and 5.7 percent over 10 years.
Middlebury’s endowment is managed by Investure, a firm based in Charlottesville, Virginia, that manages the endowments of colleges, universities, and foundations with a total value of more than $13 billion. Investure began managing the Middlebury endowment on May 31, 2005.
The Middlebury endowment supports all of Middlebury’s schools, including the undergraduate College, Middlebury Institute of International Studies at Monterey, Middlebury Language Schools, Schools Abroad, Bread Loaf School of English, Bread Loaf Writers’ Conferences, and School of the Environment. Last year Middlebury drew $66.8 million from its endowment to support its operations.
“The strong return for the year and the growth in value of Middlebury’s endowment only strengthen the financial foundation of the institution,” said David Provost, executive vice president for finance and administration. “Once again, Investure outperformed our key benchmarks and we are confident with how the firm continues to align its overall strategy with the ever-changing dynamics of the market.”
“We also want to acknowledge the importance of the support Middlebury receives from our alumni, parents, and friends. Their contributions have helped to build the endowment that is the foundation for the educational experience Middlebury provides to its students.”