2012’s Top HBCU Endowments
This past year was a tough year for HBCU endowments. The top ten HBCU endowments saw a combined decline of $100 million dollars this past year while their top ten HWCU competitors saw an increase of $100 million. The $100 million comprises 0.07 percent of top ten HWCU endowments but comprises a staggering 7.0 percent of top ten HBCU endowments.
There were some shakeups in the top ten HBCU endowments with Meharry Medical College leaping over Florida A&M University for the number four spot in the top ten. Virginia State University becomes the new kid on the block entering the top ten at the number ten spot knocking Winston-Salem State University out of the position from last year. Virginia State University takes the leap into the top ten thanks to having the strongest return on investment of all top ten HBCU endowments with a solid 10.3 percent return on investment in an extremely rough economic climate for America’s college and university endowments in general. The Trojans were the only HBCU in the top ten to return double digits on its endowment last year. Texas College, although not making the top ten had the best return on investment of HBCUs reporting with 12.8 percent. Overall, only three out of the ten top HBCU endowments saw a positive return on investments. The MEAC holds four of the top ten spots and North Carolina A&T State University sits just outside of the top ten at number eleven. Howard University saw the most significant decline losing 12.0 percent and raising some real questions about whether it will come far enough back into the pack to allow Spelman College and Hampton University to make a run at becoming the first HBCU to the coveted one billion dollar mark.
As always if you do not see your HBCU in the top 10 – DONATE!
Endowment in millions (Investment Return)
$460 712 (-12.0%)
$309 139 (-5.4%)
$232 551 (-3.1%)
$112 455 (4.6%)
$107 743 (-3.4%)
$66 925 (-8.2%)
$41 818 (-1.6%)
$37 962 (4.9%)
$37 987 (-0.6%)
$33 290 (10.3%)
Take a look at how an endowment works. Not only scholarships to reduce the student debt burden but research, recruiting talented faculty & students, faculty salaries, and a host of other things can be paid for through a strong endowment. It ultimately is the lifeblood of a college or university to ensure its success generation after generation.
NACUBO Average Endowment – $491, 637 (-0.7%)
NACUBO Median Endowment – $90,051 (-1.8%)
Top 10 HWCU Endowments combined – $142.2 billion
Top 10 HBCU Endowments combined – $1.4 billion
Source: National Association of College & University Business Officers