University of Virginia Investment Management Co.'s pool of $9.5 billion in endowment assets and other long-term funds returned a gross 11.4% in the fiscal year ended June 30, according to an annual report posted on UVIMCO's website.
The return well exceeds the policy benchmark of 7.6%. For the five, 10 and 20 years ended June 30, the pool returned an annualized gross 9.6%, 7.9% and 10.9%, respectively, above the respective benchmarks of 7.7%, 6% and 6.1%. The pool returned a gross 12.4% for the fiscal year ended June 30, 2017.
The best-performing asset class was private equity, which returned a gross 22.9% for the fiscal year ended June 30, followed by public equities at 13.8%; natural resources, 10.5%; long/short equities, 9.9%; marketable alternatives and credit, 7.1%; real estate, 5.1%; cash and currency, 1.2%; and fixed income, 0.1%.
Policy benchmarks were provided only for broad asset classes. Total equities (public, private, long/short) returned a gross 14.9%, above the 11.3% benchmark; total real assets (real estate, resources) returned 8.6%, above the 5.7% benchmark; and total fixed income, cash, and marketable alternatives and credit returned 4.1%, above the 0.6% benchmark.
As of June 30, the actual allocation was 27.9% public equities, 19.8% long/short equities, 17.7% private equity, 13.1% marketable alternatives and credit, 10.5% fixed income and cash, 6.5% natural resources, and 4.5% real estate.
Targets are 60% equities, 30% fixed income and 10% real assets.
UVIMCO manages the long-term pool on behalf of the Charlottesville-based university and its foundations. UVIMCO officials could not be immediately reached to provide further information.