Colleges $100 million endowment and trying to determine what actions, if any, he and the Investment Committee should take on behalf of the Board.

The Endowment

Current asset allocation 50% treasuries, 50% individual U.S. blue chip stocks.

Investment return over past 1, 3, 5 years: -1%, 7%, 6%

Draw from the endowment in 2019 was $6 million

Some questions you should consider as you put together the investment objectives, recommended portfolio and risk budget for the College.

1) Does the endowment have the appropriate asset allocation? If not, what should they change?

2) How can the College determine whether they have the right spending rate?

4) What other recommendations should you offer the Committee make to the Board?