University of Notre Dame Endowment, South Bend, Ind., returned 11.8% for the 12 months ended June 30, vs. 9% for its custom benchmark, according to Scott Malpass, vice president and chief investment officer for the university.
The endowment had total assets of $8.3 billion, up 12.2% from June 30, 2012. For the 20 years ended June 30, the endowment has had an annualized return of 12% vs. its custom benchmark's 8%.
“We had outperformance in very major asset class vs. benchmarks,” Mr. Malpass said, “more important given our strategy to always emphasize the longer-term results given our time horizon as an endowment … and asset allocation which has long-term commitments in private markets.”
The endowment's current target asset allocation is 32.5% public equities; 27.5% private equity; 17.5% real assets; 15% marketable alternatives, including credit, distressed investments and multistrategy hedge funds; and 7.5% fixed income, Mr. Malpass said.