How do market fluctuations affect Georgetown’s endowment and the individuals and programs it supports?
As with any investment portfolio, the value of Georgetown’s endowment rises and falls with the market. In response to market fluctuations, the university assesses and rebalances the portfolio’s asset allocation to ensure sufficient liquidity to meet its operating needs, including the payout of income from endowed funds. The endowment is managed carefully to ensure that payout of income remains relatively stable. Georgetown’s policy is to apply the payout rate based upon a five-year moving average of the market value of the entire pooled endowment. This smoothes the effect of the market on the programs and people who benefit from endowment income.
Related Questions
- How do I apply for multiple programs in the Government Deparment or a joint-degree program between the Government Department and another Center or Department at Georgetown?
- How does the NLC affect individuals participating in alternative programs?
- How does market volatility affect UNC Charlottes endowment payout?
