On June 30, Davidson College concluded its most aspirational campaign in college history.
Sustained Excellence: The Endowment
The endowment is a diversified portfolio of investments, resulting from historic gifts, new gifts and capital appreciation over time. A percentage of the endowment value is withdrawn annually to support scholarships, endowed faculty, operations and other initiatives. The “draw” is equivalent to five percent of the five-year rolling average of the market value.
Endowment gifts extend your philanthropic partnership with Davidson sustain your annual support in perpetuity. They can also provide a lasting tribute honoring family members and friends. Davidson needs to increase the size of its endowment if it wishes to stay competitive, provide new offerings and strengthen its position as a leader in higher education. A larger endowment would reduce the college’s dependence on current-use gifts and tuition, providing more financial stability each year.
The Davidson College endowment fuels competitive scholarship program and our ability to recruit the most talented student to campus, regardless of their ability to pay.
- Compared to other endowments, Davidson’s returns have consistently been much better (i.e. top decile) with much less risk (in the bottom quartile).
- Davidson’s endowment ranks 18th in size among the college’s official peer set of 21 schools and ranks 141st in size among all U.S. colleges and universities.
- Due to strong investment performance and successful fundraising, the value of Davidson’s endowment has grown at a higher rate than many other colleges and universities.
- A dedicated, in-house professional investment staff manages the endowment. They spend much of their time evaluating and monitoring top-tier investment managers across a wide variety of public and private strategies. The end result is a diversified portfolio with better return potential and a lower risk profile than a traditional mix of stocks and bonds.