11-14-2023, 03:01 PM
(11-14-2023, 02:32 PM)needle Wrote:(11-14-2023, 01:20 PM)oldalum Wrote: one year is too short a period to evaluate any longterm investment strategy.
Look at the data below. I'd be willing to bet that more years than not, the Stanford university endowment underperforms index funds.
The chart linked below shows the average 10-year, 5-year, 3-year and 1-year return on investment for endowments over $1 billion (top line).
For the 3-year, 5-year and 10-year periods, the returns for endowments are below the ROI for the S&P 500 (see the Relative Indices section toward the bottom of the page).
https://imgur.com/a/5f158Q1
https://imgur.com/m5YGgRA
True, Stanford's endowment is much greater than $1 billion, so I can't say for sure whether Stanford's approach is substantively different than what's true of this aggregated data. But I just don't have confidence in any one institution to consistently outperform its peers when it comes to this kind of thing.
the Daily article has a chart with the last 17 years performance here
https://stanforddaily.com/2023/11/13/sta...e-returns/
Eric
"the older we get the better we were"
