University of Minnesota Foundation posts 13.4% return for fiscal year

University of Minnesota Foundation's $3.7 billion endowment portfolio returned 13.4% for the fiscal year ended June 30.

The foundation's return fell just short of the policy benchmark return of 14.1% for the period, an endowment update on the Minneapolis-based university's website showed.

For the five and 10 years ended June 30, the endowment portfolio returned an annualized 10% and 8.4%, respectively, above their respective benchmarks of 7.8% and 6.9%.

The endowment portfolio had returned 7% for the fiscal year ended June 30, 2023.

The foundation's endowment update did not say whether the returns were gross or net of fees and did not provide returns by asset class.

The endowment portfolio’s return for the most recent fiscal year is the highest yet recorded among the 11 college and university endowments whose latest fiscal-year returns have been tracked by Pensions & Investments as of Sept. 26. The median return is currently 10.8%.

The endowment portfolio's target allocation is 56% global equity, 20% private equity, 16% credit and reinsurance, and 8% Treasury bonds.

Endowment assets are managed by University of Minnesota Foundation Investment Advisors, a nonprofit subsidiary of the foundation.