Venture Capital and Technology-Focused Equity Investments Will Define 2023 Fiscal Year Ivy League Endowment Results, According to MPI
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Ivy League university endowments rebounded from their losses in FY2022, but their significant exposure to venture capital meant that every major endowment likely underperformed traditional 60/40 and 70/30 global equity/bond portfolios, according to projections from Markov Processes International, Inc. (MPI), a leading independent FinTech provider of software and services for analyzing investment performance and risk.
The projections come from MPIs Transparency Lab, which tracks the performance of opaque pensions and endowments.
For fiscal year 2023, MPI projects that the Ivy League endowments tracked by the Transparency Lab had an average return of 7.13%, a reversal from the negative return of -2.39% for the group in fiscal year 2022. But that performance is expected to lag b...