The Harvard Management Company, which oversees the investment of Harvard University’s $29.2-billion endowment, this week released the compensation figures for its five highest-paid money managers in the 2006 fiscal year.
At first glance, it seems the salary and benefits were drastically lower than in previous years, when the high compensation spurred controversy among alumni and others. However, because Jack R. Meyer, the former president and chief executive officer, and other managers left the company during the past fiscal year, the salaries of the new president and CEO and the other new managers do not reflect compensation for a full year.
Harvard has also turned over big portions of its portfolio to outside management firms. For example, its $6-billion bond portfolio, about 20 percent of the endowment, was managed by Convexity during the transition between senior officers of the company, according to today’s Boston Globe.
Andy Wiltshire, who manages the timber portfolio, was the highest-paid manager, with salary and benefits that totaled $2.9-million. Mohamed A. El-Erian, the new president and CEO, earned $2.3-million. Last year, Mr. Meyer earned $6-million.
Combined, the six highest-paid Harvard Management Company employees earned $13.3-million, compared with a year ago, when they earned a total of $56.8-million.