University of Kansas misses benchmark with 0.4% return

University of Kansas' $1.6 billion endowment returned a net 0.4% for the fiscal year ended June 30, below its benchmark return of 2%.

For the three, five and 10 years ended June 30, the Lawrence-based endowment returned an annualized net 5.4%, 5.4% and 7.4%, respectively, compared to the respective benchmarks of 6.1%, 5.8% and 7.4%, according to a performance report on the endowment's website.

The endowment returned a net 5.6% for the fiscal year ended June 30, 2019.

Individual asset class return and benchmark information was not provided in the report.

As of June 30, the endowment's actual allocation was 22.5% private investments; 17% marketable alternatives (hedge funds); 14.8% international equities; 13.8% real assets; 11.5% domestic equities; 7.7% fixed income; 6.7% emerging markets equities; 5.1% opportunistic strategies; and the rest in cash equivalents.

The target allocation is 21% real assets; 15% marketable alternatives (hedge funds); 14.5% international equities; 13% domestic equities; 12% private investments; 8.5% emerging markets equities; 8% fixed income; 7% opportunistic strategies; and 1% cash equivalents.

James G. Clarke, senior vice president of investments and treasurer at KU Endowment, could not be immediately reached for further information.