College Endowments Post Strongest Performance Since 1986

The transcript discusses the financial performance of endowments in fiscal 2021, highlighting gains from stock market investments. It covers asset reallocation strategies and their impact on yields. The conversation shifts to the challenges colleges faced during COVID-19, including decreased enrollments and revenue losses. Finally, it addresses the return of students to campuses, the incentives offered by colleges, and the challenges faced by international students.

What was the performance of larger endowments in fiscal 2021?

• 34%

• 36%

• 27%

• 4%

How do colleges typically determine their spending?

• By reallocating all gains immediately

• By increasing allocations to hedge funds

• On an average of three to five years

• Based on a single outstanding year

What is a major concern for colleges as students return to campus?

• Increased tuition fees

• Potential housing shortages

• Lack of online learning options

• Decreased faculty availability

What challenges are international students facing in returning to campus?

• Higher tuition fees

• Limited course availability

• Visa issues and decreased flights

• Lack of interest in studying abroad

What financial impact might the return of students have on colleges?

• Increased revenue from full-price international students

• Decreased operational costs

• Higher investment in online infrastructure

• Reduced need for campus facilities