Utimco Since 1996
Balancing Needs
Investment Returns
Distributions (Spending)
Expenses
Endowment Funds Under Management
Conclusion
Factors Affecting Purchasing Power
Inflation

Inflation erodes the economic value of an endowment fund by reducing the endowment's purchasing power over time. Since UTIMCO has no control over the rate of inflation, UTIMCO must invest the endowment assets so as to maximize the risk adjusted return after inflation. The long-term expected rate of inflation is 3.0%.