The St. Edward's University endowment pools together donors' and institutional investments. The invested amount, called a corpus, is never expended so that the endowment will remain in perpetuity — and the university's fiscally responsible spending policy helps to ensure that market gains continue to significantly impact students' educational experiences.
Why support the endowment?
As St. Edward's reputation increases, we increasingly compete with universities that have significantly larger endowments, which allow them to offer more generous financial aid packages for the most sought-after students, more professional development programs that attract talented faculty, and more innovative programming. A larger endowment will provide a long-term source of funding so that we may continue to provide competitive services for talented students. Benefactors who support the endowment help today's Hilltoppers while also sustaining the hallmarks of our Holy Cross educational tradition for future generations: personalized attention, values-based learning opportunities, and global awareness.
How does the endowment's spending allowance benefit students?
We primarily seek to build the endowment so that it provides faculty development initiatives, signature programming such as the burgeoning Center for Religion and Culture, and student scholarships. Scholarships can even be created for students participating in study abroad or international education initiatives, such as those offered through the School of Management and Business. Click here for more information about how students benefit from international education endowment funds. Or, for more information about the School's international education programs, visit this section of the St. Edward's University Think pages.
What endowment funds exist?
Endowment funds exist for scholarships, faculty development, study abroad opportunities, community service initiatives, and more. Since 1999, generous donors have established 73 new endowment funds — providing long-term benefits for the university community while also diversifying the resources available for today's students and faculty. With the creation of these funds, donors have committed $33.5 million for the endowment. Click here for a complete list of endowment fund names and descriptions.
What is the university's endowment fund spending policy?
Each year, the endowment's investment is analyzed and assigned a market value. The market value reveals any return on the investment of the corpus — for example, if an endowment fund's corpus is $100,000, and its market value is $125,000, then this fund has gained $25,000. The university calculates each endowment fund's three-year market average, and spends 5% of that average. The amount we spend is called the endowment fund's spending allowance. Any unspent funds are carried over to the next academic year's spending allowance. Because an endowment fund's corpus never diminishes, and we expend just a portion of its market value, it is an excellent investment in the future of St. Edward's University.
How does a donor establish a new endowment fund?
When a donor establishes a new endowment fund at the university, we work together to determine an effective way to ensure the returns are expended according to the donors' preference. An endowment agreement is created, signed and added to the university's records. Every year, university staff prepare an activity report for a fund's major donor to highlight the student, program, or faculty member who has been impacted by the fund's support. The university's gift acceptance policy establishes a $100,000 minimum to create an endowed scholarship fund at St. Edward's University. If you are interested in establishing an endowment fund at St. Edward's University or contributing to an existing fund, contact Joe DeMedeiros, Associate Vice President of Development, at 512-233-1443 or firstname.lastname@example.org.