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To support the University of South Alabama, balancing current spending with future growth.
The Foundation will have contributed $4,328,665 to the University of South Alabama during the period from July 1, 2009 through June 30, 2010. The Foundation’s net assets at March 31, 2010, were $269,803,000. The Foundation was established in 1968 as a tax-exempt corporation to support the University of South Alabama. Since 1990, the Foundation has contributed more than $120 Million to the University of South Alabama.
Philosophy of Endowment Foundations
The central philosophy of endowment foundations is to assure the purchasing power over the long run of the endowment assets, while supporting the current operating needs of an institution. As David F. Swensen, Chief Investment Officer, Yale University, in Pioneering Portfolio Management states:
“Successfully managed endowments retain forever the ability to provide a particular level of institutional support, justifying the classification of endowment funds as permanent assets. Pursuit of long-term asset preservation requires seeking high returns, accepting the accompanying fundamental risk and associated market volatility.”
An endowment foundation balances these two divergent requirements. Over the years, the Board of Directors of the Foundation has evaluated these two forces of driving endowment accumulation while providing an incremental source of funds that will allow the University to be a truly superior one, and has acted in a prudent manner to meet both objectives. |
