SC Connecticut News

Yale University announced a 5.7% investment return on its endowment for the fiscal year ending June 30, 2024. This performance translated into $2.3 billion in investment gains. After distributing $2 billion to the operating budget and receiving $231 million in gifts, the endowment's total value rose to $41.4 billion from $40.7 billion at the same time last year.

Matt Mendelsohn, Yale's chief investment officer, commented on the performance: “Given our significant allocation to private assets, we expect to lag during periods of strong public market performance, particularly when exit markets for private assets are depressed.” He added that they remain focused on long-term investment success despite potential short-term underperformance.

Over the past decade ending June 30, 2024, Yale’s endowment returned an average of 9.5% annually, surpassing the median return for college and university endowments by about 2.4%. Over a span of two decades, it achieved an annual return of 10.3%, exceeding peers by approximately 3%.

In this period, Yale spent $14.3 billion from its endowment supporting various initiatives including research acceleration and maintaining a global need-blind admissions policy. The strength of the endowment also allows Yale to make substantial voluntary financial contributions to New Haven.

The university emphasizes that its endowment is structured for perpetual support across generations of scholars through a diversified investment strategy across multiple asset classes.