Jan 27, 2017
Once upon a time, the so-called Endowment Model of investing--mimicking the endowment funds of Harvard, Yale, and other Ivy League schools regularly outperformed the indexes. Things have changed: according to data from Harvard, which tracks 812 schools, the average endowment earned only 6.3% a year over the last 10 years before fees, compared with 6.8% for a passive 60%/40% blend of U.S. stocks and bonds. Steve and Sinclair examine the Wall Street Journal report.