Endowment returns improve: after a three-year downturn, returns are up once again.IHEs experienced an 8 percent increase in endowment A transfer, generally as a gift, of money or property to an institution for a particular purpose. The bestowal of money as a permanent fund, the income of which is to be used for the benefit of a charity, college, or other institution. returns in the 2003-2004 academic year, up from 3 percent the year before, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. the new Commonfund Benchmarks Study (www.commonfund.org See .org. (networking) org - The top-level domain for organisations or individuals that don't fit any other top-level domain (national, com, edu, or gov). Though many have .org domains, it was never intended to be limited to non-profit organisations. RFC 1591. ). While larger institutions reported higher returns and in creased gifts, smaller institutions more often reported reductions in their levels of debt. But rising interest Fates mean institutions will expect lower returns next year, says John Griswold, executive director of the Commonfund Group. "The average expectation is around 7 to 8 percent for stocks and a bit lower for bonds," he says. "As for hedgefunds, it's hard to tell. They have disappointed in the past year." The benchmark leaders, known for their diversification Diversification A risk management technique that mixes a wide variety of investments within a portfolio. It is designed to minimize the impact of any one security on overall portfolio performance. Notes: Diversification is possibly the greatest way to reduce the risk. and ability to explore alternative strategies, include Harvard and Yale, the University of Michigan (body, education) University of Michigan - A large cosmopolitan university in the Midwest USA. Over 50000 students are enrolled at the University of Michigan's three campuses. The students come from 50 states and over 100 foreign countries. and the University of Texas.
Many Happy Returns
2001 2002 2003 2004
All Survey Participants -3 2.1 -14.8 -45.5
Dow Jones Ind. -6 -10 -18 -32.3
S&P 500 3.1 -2.8 -1.5 10.9
Nasdaq Comp. 14.7 18.6 19.1 26.8
Source: Commonfund Group
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