Donations to Aalto University in 2020
In 2020, Aalto University received €15,6M in donations and donation pledges. The majority of the donations were targeted on research and education.
- Donations item includes all donations for the long-term development of the university.
- Government capitalization was received €492M in the first fundraising campaign 2009–2011 and €24M in the second fundraising campaign 2015–2017. In the fundraising campaigns, the government capitalized universities according to the donations collected. Government capitalization also includes €4M received as a part of the key projects in knowledge and education in 2018. As part of the third fundraising campaign in 2020, a government capitalization of €5M was received on the basis of research impact criteria.
- The Accumulated endowment returns include the accumulated endowment returns fund of €324M and the endowment profit of €41M in 2020. The endowment profit and loss from previous financial year, including change in the fair value of investments, are transferred to the accumulated endowment returns fund, from which funding is transferred to the ordinary operations of the university by the decision of the university board. In the long term, only real return is used to fund university operations, and accumulated inflation adjustment preserves the value of the capital over time.
- Donations from expendable funds are used for the current needs of the university as agreed with the donor.
- Donations from hybrid funds and their returns are used to fund professorships for a long but finite term.
- Donations’ returns from capitalizing funds are used for the university’s long term purposes as agreed with the donor. The value of the donation is preserved over time by using only the real return of the donation. A fixed nominal return based on long-term return expectations approved by the university board is transferred yearly to capitalizing donations. The nominal return is currently 5%, from which 2.5% preserves the value of donated funds over time.