University of Washington basks in 35.1% fiscal-year return

University of Washington's consolidated endowment fund returned a net 35.1% for the fiscal year ended June 30.

The $4.7 billion endowment fund's return exceeded its 26% policy benchmark for the period, according to an investment report included with the Seattle-based university's board of regents for its meeting Thursday.

For the three, five and 10 years ended June 30, the endowment fund returned an annualized 13.1%, 12.5% and 9.4%, respectively, above their respective benchmarks of 11.7%, 11% and 7.8%.

The endowment fund returned a net 1.1% for the fiscal year ended June 30, 2020.

Among asset classes reporting for the most recent fiscal year, emerging markets equities led with a net return of 46.9%, followed by developed markets equities at a net 41% and opportunistic credit at a net 28.2%.

Developed markets equities, emerging markets equities and opportunistic credit share a common capital appreciation benchmark, which was 39.3%.

Also for the fiscal year ended June 30, absolute return had a net 14.9% (above its 14.7% benchmark) and fixed income returned 1.1% (above its -1.1% benchmark).

Private equity and real assets return data lagged by one quarter.

As of June 30, the consolidated endowment fund's actual allocation was 35% developed markets equities, 18% each emerging markets equities and private equity, 15% absolute return, 9% fixed income, 4% real assets and the rest in opportunistic credit.