University of North Carolina endowment returns 12.1% for fiscal year

Morehead-Patterson Bell Tower UNC
Morehead-Patterson Bell Tower on the campus of the University of North Carolina at Chapel Hill

University of North Carolina at Chapel Hill Endowment Fund returned 12.1% for its fiscal year ended June 30, according to a report from the board of trustees' finance and infrastructure committee. The $1.1 billion endowment fund gained $124.6 million from investment returns and $27.3 million in gifts and bequests.

The strongest performer in the endowment's portfolio was public equity strategies, which returned 18.2%, above the fund's 14.2% benchmark. Non-equity strategies returned 6.3%, compared to a benchmark of 4.5%. Private partnerships returned 12.1%, compared to a benchmark of 7.8%.

As of June 30, the fund's allocation was 29.5% long equities, 18.3% long-short equities, 18.1% private equity, 10.6% diversifying strategies, 8.3% fixed income, 7.5% real estate, 7% energy and natural resources, and the rest in cash and other holdings.

The fund distributed 5.7% of its beginning market value for program spending in fiscal 2013. The endowment board authorized a 1.8% spending increase in fiscal 2014, according to the committee report.