Harvard University
EndowmentMassachusetts · as of FY2024
AUM
$52B
Held in U.S. securities
$8B
16% of AUM
Return target
~8% nominal long-run; preserve real value plus 5%+ distribution
Asset allocation policy
Target weights set by the investment committee in the plan's Investment Policy Statement; performance is measured against the listed benchmarks.
| Asset class | Target | Benchmark | $ value |
|---|---|---|---|
| Private equity (incl. venture) | 39% | Cambridge Associates blended PE/VC | $20B |
| Hedge funds | 32% | HFRI Fund Weighted Composite | $17B |
| Public equity | 14% | MSCI ACWI IMI | $7B |
| Real estate | 5% | NCREIF Property Index | $3B |
| Bonds / TIPS | 5% | Bloomberg U.S. Treasury / TIPS blend | $3B |
| Cash & other | 4% | — | $2B |
| Natural resources | 1% | — | $1B |
Holdings overview
Roughly 80% allocated through external managers across hedge funds and private equity. Limited direct equity book. Private equity sleeve emphasizes top-quartile mega-buyout and venture funds.
Board mandates
- Distribute roughly $2.4B per year to Harvard's operating budget — about a third of the university's revenue.
- HMC restructured 2017–2020: most internal portfolios spun out, generalist external-manager model now dominant.
- Required to honor donor-restricted designations across thousands of sub-funds within the unitized pool.
- No fossil-fuel divestment as of FY2024 in name, but stopped making new investments in fossil fuels (2021).
Spending rule
~5% of trailing market value, smoothed over multiple years
Source: www.hmc.harvard.edu