Endowments Make The Grade

[GreenLantern]

Informative article in this week’s Barron’s regarding university endowments. In the current fiscal year:

• MIT’s endowment increased $9 billion to $27.4 billion
• Northwestern rose by 42.2%
• Washington U in St. Louis increased by 65% ($5 billion)
• Vanderbilt up 57% ($4 billion)
• Duke up 55.9% to $12.7 billion
• Harvard increased to a total of $53 billion

According to Barron’s, these increases follow the Yale model which favors more illiquid assets instead of publicly traded stocks. (For LSU grads, that means they invested in natural resources, private equity, venture capital and real estate.) BTW, Yale increased $12.1 billion to a total of $42.3 billion. That’s real money, boys.

College endowments of all sizes gained a median of 33%. The one we’re most interested in (Tulane) reported a 35.8% return. Since they had a reported endowment of $1.45 billion as of fiscal year ending 2020, you can do the math for approximate current numbers.

The person who gets all of the credit (or blame) for Tulane’s endowment is our current CIO, Richard Chau. Richard has an MBA from Columbia and undergrad work including degrees in economics and Chinese. He was also an all-American performer in the discus and hammer throw.

[anEngineer]

Informative article in this week’s Barron’s regarding university endowments. In the current fiscal year:

• MIT’s endowment increased $9 billion to $27.4 billion
• Northwestern rose by 42.2%
• Washington U in St. Louis increased by 65% ($5 billion)
• Vanderbilt up 57% ($4 billion)
• Duke up 55.9% to $12.7 billion
• Harvard increased to a total of $53 billion

According to Barron’s, these increases follow the Yale model which favors more illiquid assets instead of publicly traded stocks. (For LSU grads, that means they invested in natural resources, private equity, venture capital and real estate.) BTW, Yale increased $12.1 billion to a total of $42.3 billion. That’s real money, boys.

College endowments of all sizes gained a median of 33%. The one we’re most interested in (Tulane) reported a 35.8% return. Since they had a reported endowment of $1.45 billion as of fiscal year ending 2020, you can do the math for approximate current numbers.

The person who gets all of the credit (or blame) for Tulane’s endowment is our current CIO, Richard Chau. Richard has an MBA from Columbia and undergrad work including degrees in economics and Chinese. He was also an all-American performer in the discus and hammer throw.

Do we know if this includes new gifts or just asset growth due to investment?

[GreenLantern]

Do we know if this includes new gifts or just asset growth due to investment?

According to Barron's reporting, these percentages are ROI numbers.

[tpstulane]

Informative article in this week’s Barron’s regarding university endowments. In the current fiscal year:

• MIT’s endowment increased $9 billion to $27.4 billion
• Northwestern rose by 42.2%
• Washington U in St. Louis increased by 65% ($5 billion)
• Vanderbilt up 57% ($4 billion)
• Duke up 55.9% to $12.7 billion
• Harvard increased to a total of $53 billion

According to Barron’s, these increases follow the Yale model which favors more illiquid assets instead of publicly traded stocks. (For LSU grads, that means they invested in natural resources, private equity, venture capital and real estate.) BTW, Yale increased $12.1 billion to a total of $42.3 billion. That’s real money, boys.

College endowments of all sizes gained a median of 33%. The one we’re most interested in (Tulane) reported a 35.8% return. Since they had a reported endowment of $1.45 billion as of fiscal year ending 2020, you can do the math for approximate current numbers.

The person who gets all of the credit (or blame) for Tulane’s endowment is our current CIO, Richard Chau. Richard has an MBA from Columbia and undergrad work including degrees in economics and Chinese. He was also an all-American performer in the discus and hammer throw.

Unfortunately 35% return last year was avg at best. Not going to move the bar when compared to the leaders.
I know many that invested at the least doubled their money in stocks last year. Was an extremely easy year. Just look at Duke and Vandy with over 50% returns.

[Bicoastalwave]

Yeah elsewhere they said our endowment was now $1.9b

[austxwave]

If you go to the university website you can see a lot of information about our endowment. The 1.4b number was unrestricted and the 1.9 was total endowment.

[DfromCT]

And when Cowen became President of Tulane it was right at $1 Billion. Growth hasn't paced any serious measure over the last 20-30 years.

[tpstulane]

And when Cowen became President of Tulane it was right at $1 Billion. Growth hasn't paced any serious measure over the last 20-30 years.

Exactly

[1989alum]

And when Cowen became President of Tulane it was right at $1 Billion. Growth hasn't paced any serious measure over the last 20-30 years.

Exactly

You fucks are so full of shit. Cowen became president of Tulane in 1998. At that point the total endowment was less $600 million. Get your facts straight before you run your mouth.

[1989alum]

FY 1998 Tulane endowment was $503 million, ranked #76 in the country.

[tpstulane]

FY 1998 Tulane endowment was $503 million, ranked #76 in the country.

Now we’re ranked in the 100’s what does that say?

https://www.reachhighscholars.org/colle ... ments.html
Sources: 2020 NACUBO Endowment Study; 2020 NTSE Endowment Market Values;

[mbawavefan12]

FY 1998 Tulane endowment was $503 million, ranked #76 in the country.

Now we’re ranked in the 100’s what does that say?

https://www.reachhighscholars.org/colle ... ments.html
Sources: 2020 NACUBO Endowment Study; 2020 NTSE Endowment Market Values;

Wait, what?

[ajcalhoun]

https://www.reachhighscholars.org/colle ... ments.html
Sources: 2020 NACUBO Endowment Study; 2020 NTSE Endowment Market Values;

Is this some kind of sabermetrics? What do we learn from knowing the endowment-per-student ratio other than ours is very low compared to almost every one else?

[tpstulane]

https://www.reachhighscholars.org/colle ... ments.html
Sources: 2020 NACUBO Endowment Study; 2020 NTSE Endowment Market Values;

Is this some kind of sabermetrics? What do we learn from knowing the endowment-per-student ratio other than ours is very low compared to almost every one else?

Means we are failing that’s what.
Small enrollment makes it that much more disappointing. You’d think it would be much higher using that metric.

[Aberzombie1892]

For the fiscal year 2020 - which is obviously already outdated due to the gains between 2020 and 2021 - Tulane's endowment was ranked 76th* overall, and this rank placed it immediately below the University of Delaware and Rutgers and immediately above Alabama and NC State.

For reference:
Duke was 14
Washington University in St. Louis was 15
Emory was 17
Vanderbilt was 20
Rice was 22
The University of Richmond was 45
Virginia Commonwealth University was 56
Georgetown was 60
George Washington was 64
TCU was 69
SMU was 70
Washington and Lee was 71

*Note that the rankings are the NTSE Endowment Market Values Revised, and they included Canadian schools.

[McWave]

The person who gets all of the credit (or blame) for Tulane’s endowment is our current CIO, Richard Chau. Richard has an MBA from Columbia and undergrad work including degrees in economics and Chinese. He was also an all-American performer in the discus and hammer throw.

Blame or credit is not on Mr Chau. He just was elevated to CIO. Million dollar plus annual salary Jeremy Crigler was the CIO. He is a Tulane and Duke grad.
I think he took over in 2006 or 2007. He may have been the highest paid Tulane employee in some years given the bonus structure.

It is interesting that Fitts has brought in a Penn Graduate to head development a few years back and just elevated Mr. Chen as well. Not sure why Fitts couldn’t find a qualified TU grad to run the investments. That’s how most endowments fill these positions.

Tulane is a slush fund for friends and family of the Administration. You want to wast your money, give it to the Tulane admin to manage.

Scott Cowen had his wife on the payroll as a consultant earning $100k plus per year. Take a look at the IRS nonprofit 990 discloses forms. They’re online. Interesting read. Top ten compensated staff plus notes to financials (ie Ms Cowen).

$2 billion endowment is a joke. It’s on the past and current administration. There is no fundraising happening at Tulane. Which I assume reflects donors lack of confidence in the leadership.

[Bigschtick]

And when Cowen became President of Tulane it was right at $1 Billion. Growth hasn't paced any serious measure over the last 20-30 years.

Exactly

You fucks are so full of shit. Cowen became president of Tulane in 1998. At that point the total endowment was less $600 million. Get your facts straight before you run your mouth.

Inappropriate comment and use of totally unacceptable swear words. Ban this poster!

[Aberzombie1892]

The person who gets all of the credit (or blame) for Tulane’s endowment is our current CIO, Richard Chau. Richard has an MBA from Columbia and undergrad work including degrees in economics and Chinese. He was also an all-American performer in the discus and hammer throw.

Blame or credit is not on Mr Chau. He just was elevated to CIO. Million dollar plus annual salary Jeremy Crigler was the CIO. He is a Tulane and Duke grad.
I think he took over in 2006 or 2007. He may have been the highest paid Tulane employee in some years given the bonus structure.

It is interesting that Fitts has brought in a Penn Graduate to head development a few years back and just elevated Mr. Chen as well. Not sure why Fitts couldn’t find a qualified TU grad to run the investments. That’s how most endowments fill these positions.

Tulane is a slush fund for friends and family of the Administration. You want to wast your money, give it to the Tulane admin to manage.

Scott Cowan had his wife on the payroll as a consultant earning $100k plus per year. Take a look at the IRS nonprofit 990 discloses forms. They’re online. Interesting read. Top ten compensated staff plus notes to financials (ie Ms Cowen).

$2 billion endowment is a joke. It’s on the past and current administration. There is no fundraising happening at Tulane. Which I assume reflects donors lack of confidence in the leadership.

Tulane's endowment was ranked in the 70s in 1995, so, depending on how that is interpreted, Tulane isn't necessarily losing ground - it's just not gaining it. Winwave and I actually discussed this heavily in the past, and Tulane's problems originated prior to 1980 in that its endowment was not super competitive at that time and it has remained that way since.

Interestingly enough, the 1996 book "A Century of Mathematical Meetings" has a snippet* in regard to Tulane's endowment that was interesting. Basically, Tulane's endowment was not incoming producing, so a professor left to go to "a better financed university" and ended up at the University of Virginia as public institutions could maintain large endowments, state subsidies, and buildings paid for by the state and that that those items together gave them a significant advantage over private institutions.

*https://books.google.com/books?id=UnkYq ... ia&f=false

[tpstulane]

The person who gets all of the credit (or blame) for Tulane’s endowment is our current CIO, Richard Chau. Richard has an MBA from Columbia and undergrad work including degrees in economics and Chinese. He was also an all-American performer in the discus and hammer throw.

Blame or credit is not on Mr Chau. He just was elevated to CIO. Million dollar plus annual salary Jeremy Crigler was the CIO. He is a Tulane and Duke grad.
I think he took over in 2006 or 2007. He may have been the highest paid Tulane employee in some years given the bonus structure.

It is interesting that Fitts has brought in a Penn Graduate to head development a few years back and just elevated Mr. Chen as well. Not sure why Fitts couldn’t find a qualified TU grad to run the investments. That’s how most endowments fill these positions.

Tulane is a slush fund for friends and family of the Administration. You want to wast your money, give it to the Tulane admin to manage.

Scott Cowen had his wife on the payroll as a consultant earning $100k plus per year. Take a look at the IRS nonprofit 990 discloses forms. They’re online. Interesting read. Top ten compensated staff plus notes to financials (ie Ms Cowen).

$2 billion endowment is a joke. It’s on the past and current administration. There is no fundraising happening at Tulane. Which I assume reflects donors lack of confidence in the leadership.

Excellent post Mc. I couldn’t have said it any better. In summary it’s a slush fund with poor performance just like everything else we get lately from Tulane. Not interested in excelling only interested with just getting by.

[ajcalhoun]

Inappropriate comment and use of totally unacceptable swear words. Ban this poster!

If we're banning posters for foul language I guess I am totally fucked.

[NOLABigSteve]

Inappropriate comment and use of totally unacceptable swear words. Ban this poster!

If we're banning posters for foul language I guess I am totally fucked.

[Aberzombie1892]

More positive (sarcasm) references to Tulane - this time, on the MBA side.

https://www.wsj.com/amp/articles/elite- ... 1635270641

[ajcalhoun]

Not all of us are WSJ subscribers. How 'bout a recap?

[HoustonWave]

That list above shows each school’s endowment per student. What position would we be at if it listed the school endowments per administrative leech?

[Aberzombie1892]

Not all of us are WSJ subscribers. How 'bout a recap?

The relevant part:


‘Not everybody who attends a well-known school catapults into a new income bracket. Bradley Hoefer, 31, borrowed about $110,000 to get his M.B.A. from Tulane University’s Freeman School of Business in 2020; he already had about $85,000 in loans for his undergraduate degree. He estimates it could take him 20 years to pay down the debt.
Mr. Hoefer had hoped his M.B.A. would help him leave banking, the sector where he worked for five years, and enter the videogame industry. After a year of job hunting and working part-time to make ends meet, he recently took a full-time job at Citigroup Inc. in Buffalo, N.Y., with a remote start from Ormond Beach, Fla., where he currently resides. His salary of $60,000 a year is a modest increase over the salary he drew before graduate school.
“It was worth it for the experience,” Mr. Hoefer said. “I think there is a little false advertising with respect to some M.B.A.s. People expect to increase their salaries from $60,000 to $120,000.”

Paulo Goes, dean of Tulane’s business school, said the class of 2020 has had a particularly tough time because many companies stopped recruiting M.B.A. job seekers during the pandemic, which is reflected in graduates’ placement and salary.’