It is recognized that the achievement of a long-term, real return to both support current spending needs and maintain the purchasing power of the endowment will require a significant allocation to higher returning asset classes. To help moderate the volatility of the portfolio, the USD Endowment seeks to achieve diversification both within and across asset classes. In addition, the endowment includes significant allocations to asset classes that would provide a meaningful hedge against deflation and inflation. The target asset allocation for the USD Endowment is shown below.
Actual Asset Allocation Over Time
The actual asset allocation for the USD Endowment over the ten-year period ending June 30, 2012, is shown below.