Asset Allocation

Investing across multiple asset classes is key to growing the endowment and managing risks appropriately. The Portfolio Asset Allocation charts illustrate the asset classes in which the Fund invests.

The Investment Committee of the University's Board of Trustees establishes an asset allocation policy for the Fund. This policy includes assigning target weights (in percentages) to various asset classes. A target composite benchmark is derived from this asset allocation policy to measure the performance of the Fund. As the secondary investment objective, the Fund seeks to outperform this composite benchmark over longer periods of time.

2013 AA Chart
Asset Class Description of Asset Class
US Equity US equity securities, primarily invested in active strategies, across all sectors and market capitalizations as defined by the Russell 3000 index.
International Equity Global investments in foreign equity securities in active strategies across developed and emerging market countries.
Fixed Income Diversified portfolio of global fixed income investments, including both sovereign and corporate bonds. 
High Yield Credit Invested in various credit markets, including distressed debt and other credit instruments with fixed-income characteristics. 
Absolute Return Portfolio of long-short equity, event-driven and uncorrelated strategies, which aims to provide equity-like returns with a low correlation to global equities.
Private Investments Investments in global buyout funds as well as venture capital.
Real Assets Investments in energy, timber, real estate, and commodity funds.
Composite benchmark Computed by multyplying the target weights of each asset class by the respective benchmark.