Dartmouth’s endowment generated an investment return of 12.2 percent for the fiscal year ending June 30, 2018, resulting in an all-time high endowment value of $5.5 billion.
The endowment, which provides financial support to the entire institution, earned $591 million in net investment gains, with gifts and other net transfers adding $183 million. The spending distribution from the endowment was $237 million, which is approximately 25 percent of total net operating revenues for the fiscal year.
“We are pleased with Dartmouth’s returns for fiscal year 2018,” says Alice Ruth ’83, Dartmouth’s chief investment officer. “Portfolio gains were driven by robust U.S. equity markets combined with strong venture capital and private equity returns. Dartmouth’s endowment is fortunate to partner with a roster of top-tier investment managers who add tremendous value.”
“The continued success of the endowment’s investment strategy is evidenced by exceptional long-term results,” says Trustee Rick Kimball ’78, chair of the board’s investment committee. “Annualized returns of 10.6 percent, 7.6 percent, and 9.8 percent over 5, 10, and 20 years, respectively, reflect the sound, stable, and enduring investment strategy of the portfolio.”
Fiscal Year Annualized Returns | |||
1-Yr | 5-Yr | 10-Yr | 20-Yr |
12.2% | 10.6% | 7.6% | 9.8% |
Dartmouth’s endowment provides operating support to the institution over the long term. The investment objective of the endowment is to generate inflation-adjusted investment returns in excess of distributions to the College to support Dartmouth’s mandate of teaching and research excellence.
“Dartmouth’s long-term investment performance provides a foundation for a successful future and reason for great optimism,” says President Philip J. Hanlon ’77. “The strength of our endowment, along with the generous support we are experiencing in the Call to Lead comprehensive campaign, will fund such priorities as increased need-blind financial aid, additional support of our graduate and professional schools, and innovative programs that will produce the kind of leaders our world needs.”
Susan J. Boutwell can be reached at susan.j.boutwell@dartmouth.edu.
