Endowment

Endowment gifts are distinct. They don't become a part of the physical campus, like a building or statue, yet they are more durable than bricks and mortar and will outlast virtually any other kind of gift. Not only that, but the name given to an endowment will live on at Gonzaga forever and serve as a living testament of individuals that are helping to impact the lives of students, forever.


Examples of endowment funding areas:

  • Scholarships (For a list of named endowed scholarships, visit Names That Live.)
  • Academic and Research Awards
  • Internships
  • Retreats/Christian Life Communities/Service Projects
  • Innovation Funds
  • Facilities Support
What is an endowment?

An endowment is a fund that lives on in perpetuity because only a percentage of the earnings are spent; protecting the corpus, ensuring the original investment will not be lost. Gonzaga's pooled endowment is a collection of named endowed funds that fulfill the mission of the University and support a variety of learning and enrichment opportunities for students. With the expansion of endowment support, more students can be served through scholarships, academics, student life, mission-centric programming, faculty enrichment, and other University operations.

How does Gonzaga's endowment help fulfill the mission?

First and foremost, providing students with an education that transforms them into men and women living for others is an unending endeavor at Gonzaga. In the same way, the endowment is a funding vehicle that supports our capacity to fulfill our mission forever. A strong endowment reduces reliance on tuition revenue and the burden this places on parents and students, while also delivering programmatic funding, professorships and a number of other resources, far into the future - with no end date.

What is Gonzaga's investment philosophy?

Gonzaga University's investment philosophy is to maximize return on assets by exercising an appropriate level of risk; providing income for the benefit of our students and honoring a donor's intent for the gift and growth of their investment into perpetuity.

Will my endowment gift ever deplete?

Each named endowment produces earnings year after year which are spent according to the donor's wishes, such as for scholarships, faculty support, or to build the library collection. Annually, amounts are withdrawn from the pooled endowment to fund the specified purpose. Endowment spending typically ranges from 4.5 percent to 4.75 percent, and is sourced from net realized and unrealized investment gains. The original value of any gift to endowment will never be spent. Should the estimated annual calculated spending exceed the net realized and unrealized investment gains, the spending is funded from University unrestricted funding sources. As a result, the donor specified purpose will always be funded annually, regardless of investment performance.

What are permissible investments for endowment funds?
Permissible Investments*:
  • Equities
    • Common Stock
    • Convertible Preferred Stocks
    • Convertible Bonds
    • Preferred Stocks
    • Foreign Equities Listed as ADR
    • International Equities (including emerging markets)
    • Regulated Mutual Funds (including index funds)
    • Exchange-Traded Funds
  • Fixed Income
    • U.S. Government Securities
    • U.S. Government Agency Securities
    • Corporate Bonds
    • Mortgage Pass-Through Securities
    • Asset-backed Securities
    • Collateralized Mortgage Obligations
    • Bond Mutual Funds
    • International Bonds
    • Exchange Traded Funds
  • Cash Equivalents
    • CD and Bank Repo
    • Commercial Paper
    • Bank Repurchase Agreements
    • U.S. Government Securities
    • U.S. Government Agency Securities
    • Money Market Mutual Funds
Prohibited Investments
  • Direct Real Estate or Mortgages without prior Committee approval
  • Commodities or Commodities Contracts
  • Securities purchased on margin* *
  • Short Sales* *
  • Restricted Stock
  • Options, except covered calls* *
  • Derivatives* *
  • Private Placements or Partnerships without prior Committee approval
  • Any transaction or investment that could be deemed to be a conflict of interest or inappropriate under the Prudent Investor standard

*The Gonzaga University Investment Policy and Guidelines for the Endowment Fund contains additional guidance with respect to permissible investments and other restrictions.

**Permissible when used as part of a regulated mutual fund, a hedge fund, fund-of-funds or multi-asset managed fund.

Scholarships (See a list of named endowed scholarships here.)
UNIVERSITY ADVANCEMENT
Gonzaga University
502 East Boone
Spokane, WA 99258-0098

Contact Us:
(509) 313-5995
(800) 463-6925
osenga@gonzaga.edu