
This graph shows how UVIMCO divvies up its $14.5 billion endowment from an investment perspective.
by James A. Bacon
The University of Virginia endowment racked up a breathtaking 49% investment return in the year ending June 30, 2021, bringing the total value of the university’s investments to $14.5 billion, reports the University of Virginia Investment Management Company (UVIMCO) in its 2020-21 annual report.
I’m not sure that’s a good thing.
On the one hand, powerful investment returns supports initiatives such as the recently announced allocation of $50 million dollars for merit-based scholarships and aid to needy undergraduate students. On the other hand, such spectacular financial performance — almost $5 billion in a single year — makes the university leadership less accountable to tuition-paying students and parents, to the Commonwealth of Virginia which funds millions in state support, and to alumni whose individual donations are paltry by comparison.
Come to think of it, I’m even agnostic on whether the $50 million in new scholarship money is a good thing or not. Continue reading →