Yale Case - 15625 Words

9-812-062 OCTOBER 18, 2011 JOSH LERNER ANN LEAMON Yale University Investments Office: February 2011 â€Å"†¦anointing winners and losers on the basis of 12 months’ worth of performance is silly in the context of portfolios that are being managed with incredibly long time horizons.† — David F. Swensen, Chief Investment Officer, Yale University1 On a February afternoon in 2011, David Swensen, Chief Investment Officer of Yale University, stared out his window at the snow blanketing the city of New Haven. He was considering the roster for the Investments Office’s 2011 softball team, which would be defending its first-ever Yale University championship. It was nice to imagine the warmth of summer. Swensen and the Investments Office had†¦show more content†¦The creation of a formal endowment for Yale was triggered by the 1818 disestablishment of Congregationalism as Connecticut’s state religion. Students and alumni alike demanded that the school respond by establishing a divinity school to offer theological instruction. To fund this effort, numerous alumni made large gifts, the first in a series of successful fund drives. While Yale used many of these donations to buy land and construct buildings, other funds were invested in corporate and railroad bonds, as well as equities. By the century’s end, th e endowment had reached $5 million. The growth of the endowment accelerated during the first three decades of the twentieth century, due both to several enormous bequests and to aggressive investments in equities, which represented well over half the endowment’s portfolio during the Roaring Twenties. In 1930, equities were 42% of the Yale endowment; the average university had only 11.5%.3 Yale avoided severe erosion of its endowment during the Great Depression in the 1930s, however, because many recent bequests were kept in cash or Treasuries rather than being invested in equities. In the late 1930s, Treasurer Laurence Tighe decided that the share of equities in Yale’s portfolio should be dramatically reduced. Tighe argued that higher taxes were likely to expropriate any corporate profits that equity holders would otherwise receive even if a recovery did occur. He concluded that bonds wouldShow MoreRelatedYale Case1752 Words   |  8 Pagespartners of the universitys group. Yale sought for compensation to be as linked as possible with investment performance rather than based in high fixed fees. With this strategy they intended for private equity funds managers to be more motivated and to align its objectives with theirs. On the other side equity firms were given a considerable amount of flexibility on their investment decisions. The control was done mainly in the selection stage where Yale guaranteed that its and the firms objectivesRead MoreYale Case Solution - Investment Management1027 Words   |  5 Pagesdiversification to reduce risk by limiting exposure to any single class. This is reflected in their asset allocation over the years. In Exhibit 1, Yale has been consistently investing in 6 asset classes: domestic equity, foreign equity, bonds, cash, real assets, private equity, and absolute return. While the weight of these asset class changes over time, Yale maintain their philosophy and still invest in all of these class. They change the weight i n a particular class if they feel that market misvaluedRead MoreSolution to Case on Yale Model - Investment Management Class1036 Words   |  5 Pagesdiversification to reduce risk by limiting exposure to any single class. This is reflected in their asset allocation over the years. In Exhibit 1, Yale has been consistently investing in 6 asset classes: domestic equity, foreign equity, bonds, cash, real assets, private equity, and absolute return. While the weight of these asset class changes over time, Yale maintain their philosophy and still invest in all of these class. They change the weight in a particular class if they feel that market misvaluedRead MoreCase Study : Yale Universitys Ranking National University759 Words   |  4 PagesYale University is also a non-governmental institution supported in 1701. this can be a full underground enrollment of five, 532, its institution may be a town, and thus the dimensions of the realm is 343 acres. It uses a semester-based tutorial c alendar, Yale Universitys Ranking National University, inside the 2017 edition of Best colleges, 3. Its teaching and fee unit $ forty nine,480 (2016-17). Yale University, established in Urban Centers, Connecticut, is assumed to possess its own superb dramaRead MoreEssay about London: A Cultural City1248 Words   |  5 Pagesand Johann Peter Salomon. Even Wolfgang Amadeus Mozart performed in the city. The culture of the city became the partner of its commerce. Crown and Parliament did very little, by contrast, to promote Londons public culture and intellect, and the case of painting is one instance. Public commercial galleries opened in Georgian London, but there was no comparison with those in Italy and France, for this reason the capital had to wait until the nineteenth century for the National Gallery. Museums hadRead More Presidential Campaigns From George Washington to George Bush by Paul F. Boller Jr. 586 Words   |  3 PagesGeorge Bush Author: Paul F. Boller Jr. Publisher: Oxford University Press Date: 2004 Pages: 479 The Author Paul F. Boller, Jr. was born on December 31, 1916 in Spring Lake, New Jersey. He received a B.A. degree in 1939 and a Ph.D. in 1947, both from Yale University. He served as a Japanese translator for the U.S. Navy from 1942 through 1946 and then as a civilian analyst for the Office of Naval Intelligence in Washington, D.C. He taught history as a professor at several universities, including SouthernRead MoreObject Analysis - Corsets2737 Words   |  11 Pagesand did not require such extreme methods to gain the silhouette the new fashion called for. Couturiers like Paul Poiret, moved towards a corsetless figure, and were pleaded by leaders in the corset trade not to ruin their trade. Yet this was not the case, as it only called for new types of corsets to be produced, those that were far more flexible, and showed a much more slender physique. Instead of enhancing the hips, the new corsets were to designed to pull in the hips: meaning the corsets wereRead MoreAcademic Education And Academic Schools2036 Words   |  9 PagesBut if they enroll at Harvard or Yale, then they would most likely be in the middle of the pack or even at the bottom due to competition. Yes, employers look at the college that they attended, but they can also see their class ranking and if they thrived as a student and impacted their school. As a result, Gladwell is assuming that students at public schools have as much of a chance to land a job as Ivy league graduates. Moreover, Gladwell reported many cases where high school students, who lovedRead MorePresidential Election : Presidential Candidates1410 Words   |  6 Pagesand Dutch descent. She attended Yale Law School, where she served on the editorial board of the Yale Review of Law and Social Action. During her sophomore year ( second year of yale), she worked at the Yale Child Study Center, where she was learning about new research on early childhood brain development and she started working as a research assistant on the seminal work, Beyond the Best Interests of the Child (1973). She also took on some cases of child abuse at Yale–New Haven Hospital and volunteeredRead MoreArrested Development Essay1054 Words   |  5 Pagesby James Forman Jr. , is an article that looks at the issue of racial profiling. III. ------------------------------------------------- James Forman Jr. is a Professor of Law at Yale Law School. He is a graduate of Brown University and Yale law school * ------------------------------------------------- Yale faculty biographies ------------------------------------------------- IV. ------------------------------------------------- Forman aims this article towards conservatives which