$18.1 Million Endowment Return Tops Totals of Past Five Years

The University received $18.1 million from its endowment funds during the last fiscal year, Paul C. Cabot '21, Treasurer of the College, has reported to the Board of Overseers. This gain represents a 5.3 per cent return on the book value of the endowment, the highest in at least the past five years.

Of this money $16 million is being allocated to meet operating expenses and salaries. Although this allocation has tripled since 1929, Cabot commented that the income from endowment has not kept pace with the costs it must pay.

In this 30-year period, expenses have grown six-fold, from $11.6 million to $66 million. Thus, endowment funds today meet only 24 per cent of the University's costs, a smaller percentage than in previous years.

The market value of the General Investment Fund has grown faster than expenses, from $108 million in 1929 to approximately $595 million by Sept. 30 of this year. In 1958-9 the University received $28,516,505 in gifts for capital and an additional $9,669,260 for current use.

Money from the General Investment Fund, however, is used for a variety of purposes. Thus, the growth of the fund, although considerable, is not enough to both meet University expenses and provide for the pensions, annuities and other reserves to which it is directed.