University of Texas System
EndowmentTexas · as of FY2024 · UTIMCO; includes Permanent University Fund
AUM
$48B
Held in U.S. securities
$18B
38% of AUM
Return target
CPI + 5.1% (long-term real return target)
Asset allocation policy
Target weights set by the investment committee in the plan's Investment Policy Statement.
| Asset class | Target | $ value |
|---|---|---|
| Public equity | 40% | $19B |
| Stable value | 18% | $9B |
| Private equity | 14% | $7B |
| Real estate | 12% | $6B |
| Natural resources | 8% | $4B |
| Hedge funds | 8% | $4B |
Holdings overview
PUF receives ongoing oil & gas royalties from constitutionally-allocated state lands; this gives UTIMCO an unusual structural natural-resources tilt versus other endowments. Public equity sleeve mostly externally managed.
Board mandates
- UTIMCO manages the Permanent University Fund (PUF), General Endowment Fund, Permanent Health Fund, and other UT- and Texas A&M-related pools.
- PUF is constitutionally restricted: corpus invested, distributions split two-thirds to UT and one-third to Texas A&M.
- Royalty income from West Texas land (~2.1M acres) flows directly into the PUF.
- Strong natural-resources exposure tied to PUF's land legacy.
Spending rule
Permanent University Fund: distribution governed by Texas Constitution; PUF distributes a stated rate of LTF's market value annually.
Source: www.utimco.org