The University Record, March 18, 1998

Endowment Fund Report

Endowment Chart

The University Endowment Fund is an investment pool for hundreds of endowment funds and funds functioning as endowment. As with a mutual fund, purchase, redemptions and distributions are all calculated based on a participant¼s share holdings. The fund is valued at $2.2 billion. It is invested in a highly diversified portfolio of stocks, bonds, mortgages, real estate, oil and gas, reorganization investments, venture capital and cash instruments.

The Shareholders' Report

This brief report is to inform University Endowment Fund participants of the market value of their shares and their distributions per share. It also provides information on the investment performance of the fund. The investment results shown represent total return, which includes both ordinary income and capital gains (losses).

Distributions represent a portion of return to participants. Distributions are made at 5 percent (annual rate) of the 12-quarter average share value. The other component of returnćreinvested capital gains and to the extent available, reinvested incomećis essential to protecting endowment gifts and endowment distributions against inflation. It is reflected in the value of endowment shares.

For further information about the endowment investment program, contact the Treasurer¼s Office, 763-1299.

Investment Managers

Publicly Traded Equities: Benson Associates; Capital Growth Management; City of London; Grantham, Mayo, Van Otterloo & Co.; Marathon Asset Management, Ltd.; Marvin & Palmer Associates, Inc.; Skyline Asset Management; and Trinity Investment Management Corp. Tactical Asset Allocation Manager: First Quadrant.

Fixed Income Managers: Tattersall Advisory Group; Rogge Global Partners; and STW Fixed Income Management, Inc.

Investment Management Consultant: Cambridge Associates, Inc.

Market value per share
March 31, 1997$5.2201402
June 30, 19975.5823603
September 30, 19976.0044529
December 31, 19975.8706322
Distribution per share
June 30, 1997$0.058
September 30, 19970.059
December 31, 19970.061
March 31, 19980.063