News

Aalto University endowment portfolio returned 3.4% in 2015

The aim of the Aalto University endowment is to generate additional funding for top quality research and education.

The Aalto University endowment portfolio total return net of fees was 3.4% in 2015 (7.2% in 2014). The average return since inception has been 4.9% per annum. At the end of the year, the market value of the endowment portfolio was EUR 901 million.  

During the year a liquidity portfolio was separated from the endowment portfolio. At the end of 2015 the market value of the liquidity portfolio was EUR 74 million. Liquidity portfolio yielded 0.5%. The market value of the university’s total portfolio was EUR 976 million (EUR 996 million in 2014).

The financial markets had a strong start for the year, initiated by the policy actions of the ECB in January. All asset classes in the university portfolio posted strong returns in the first four months. However, worries over global growth started to emerge during the spring, with Greece, China and commodity prices in the headlines. In addition, anticipation of the first rate hike by the FED caused nervousness in the markets. Market volatility increased significantly from the low levels seen in previous years and returns on the most risky assets remained weak in the second half of the year.

At the end of 2015, 50% of the endowment portfolio was invested in equities and 50% in fixed income and money market investments. Allocation to equities was increased by ca. 4% during the year. Return from equity investments was 8.0% and from fixed income and money market investments -0.8%.

The endowment provides the university with greater financial independence and enhances its ability to direct resources to strategic focus areas. The returns from the endowment are expected to cover ca. 5% of the university annual operative budget in the coming years.

Additional information:
Head of Investment Kati Eriksson
Aalto University
+358 40 563 6110
[email protected]

  • Published:
  • Updated:

Read more news

The Visentools objects enable people to tell stories with visual metaphors. From left: Thomas Tuominen, Janina Saarnio, Robin Gustafsson, Mikko Illi and Shena Saj. Photo: Susanna Oksanen.
Press releases Published:

A new visual teamwork tool based on metaphors

A typical problem in teamwork is an imbalance in participation – a few team members are active but not everyone's voice is heard. The Visentools project uses visual tools and haptic feedback to make workshops and team meetings more participatory and meaningful. The project is funded by Business Finland and has been piloted since May.
3 students walking and 2 sitting on couches at Dipoli
Press releases, University Published:

Technology Industries of Finland Centennial Foundation donates EUR 3.2 million to Aalto to create the House of AI

Donation will be used to establish a multidisciplinary AI research cluster at Aalto University.
Jukka Luoma
Press releases Published:

How to harness artificial intelligence for business? Researchers join forces with eight international companies

Generative AIs like ChatGPT will revolutionise the business world, but so far no one knows how – new research project explores best practices and seeks solutions to pitfalls
UniPID and TENK Release Ethical Guidelines for Global South Academic Partnerships
Press releases, University Published:

UniPID and TENK Release Ethical Guidelines for Global South Academic Partnerships

As academic partnerships with the Global South continue to gain popularity, issues related to resource distribution, power dynamics, and whose voices are heard and valued often arise.