February 1, 2008
Endowments Savor Big Gains but Lower Their Sights
Colleges earned an average of 17.2 percent on their endowments in the 2007 fiscal year, impressive returns that could prove to be an important financial cushion against a possible recession.
But the financial success also increased political pressure on colleges to spend more of their riches to reduce tuition and other college costs.
The overall return for the fiscal year that ended June 30 was the highest in nearly a decade, according to the annual report released last week by