The Endowment was established in August 2005 to generate income from unfettered assets to support the College’s academic mission; this includes gifts made by donors which are restricted for a specific purpose as well as College assets that are formally confirmed as ‘Non-Core’ – i.e. assets that can be sold for cash, in extremis, without detriment to the academic mission.
Since its inception, the Endowment has grown from a founding capital of £129m as additional gifts, donations and ‘Non-Core’ assets have been transferred in and investment returns have been reinvested. The Endowment’s value as of 31 July 2020 was £478m.
The Endowment is composed of three portfolios which are managed separately:
- Marketable Assets: a publicly marketed mixed asset portfolio made up of shares, stocks and funds managed externally. Investment decisions are made by external fund managers against an agreed investment mandate.
Property: directly managed private real estate. The portfolio is weighted towards commercial property and investment is focused on West London; however, there is some exposure to the residential and agricultural sectors across the South East region.
- Strategic Asset Investments: a portfolio that is principally composed of the College’s remaining shareholding in IP Group as well as donated shares with restrictions and a small number of private equity investments. This portfolio is managed in-house.
In addition, the Endowment operates a series of cash accounts as straight forward deposit accounts for College, Faculties and Departments to deposit funds either prior to investment in the Unitised Scheme or to hold on deposit in the short to medium term (less than 5 years). These cash accounts are not actively managed by the Endowment and return the College’s corporate deposit rate.