Scholarships, fellowships, faculty and academic programs need continued support to maintain the margin of excellence that distinguishes Binghamton University as one of the nation’s top-ranked public universities. Creating an endowment preserves capital, overcomes inflation and provides long-term, reliable income to the University. A gift designated as an endowment is invested by the Binghamton University Foundation, and a portion of the earnings is then used to fund the scholarship or program for which it is designated. An endowment continues to grow over time, supporting the scholarship or program for as long as the University exists. Support for scholarships, study abroad, laboratory and multimedia equipment, and athletic grantsin-aid help to open the doors of discovery for thousands of deserving students.
The Binghamton University Foundation is a not-for-profit corporation established to raise funds that further the purpose and mission of Binghamton University. Volunteers and staff members, working on behalf of the Foundation, foster and maintain partnerships with alumni, parents, friends and members of the University community. The Foundation also educates others about charitable giving, matches institutional fund-raising priorities with donors’ charitable intentions and provides stewardship of all assets held in trust for the benefit of Binghamton University. Like all public universities, Binghamton University builds its budget from five income streams: tuition and fees, sponsored funding, internal reallocations, state funding, and private giving. Since the 1980s, state support has accounted for a steadily decreasing percentage of the overall budget. This trend makes private gifts even more critical for Binghamton’s ongoing excellence. The Foundation contributes funding for student support, faculty hiring and retention, research support, academic programs, awards and grants, career networking and job placement assistance, admissions and alumni programs, general support, and the flexibility for Binghamton University to meet a variety of ongoing and critical needs.
The investment objective for the endowment, special purpose and operating funds is to provide current income to support the programs of the Foundation and the University and to achieve growth of principal and income over time that will preserve or increase the purchasing power of the fund.
Return on investments .................18.75%
Statement of Investment Philosophy
Contributions to the Binghamton University Foundation are given to support and strengthen the academic mission of the University and its service to students. Providing immediate income to fulfill each donor’s intentions, preserving capital and investing for long-term growth are the guiding principles for investment. Therefore, funds will be invested to maximize Foundation income, under the proviso that the investments are sufficiently diversified to ensure long-term growth of principal in restricted endowed and special purpose funds. To achieve these objectives and ensure the proper level of diversification, the funds will be allocated among a number of asset classes. The majority of the Foundation’s portfolio was managed by The Commonfund of Westport, Conn., during FY2010-11.
The endowment’s spending plan protects and enhances the long-term growth of endowed funds. Using the investment earnings from each account, a pre-determined percentage (as approved by the Foundation Board of Directors) is designated as expendable, while earnings in excess of this fixed rate are returned to the principal of the fund. The Spending Plan achieves a balance between providing support for the University’s current programs while supporting the perpetual nature of the endowment.
- About 80 percent of Binghamton’s student population qualifies for need-based financial aid.
- Our freshmen boast the highest average SAT scores of any SUNY university center.
- The Foundation administers 306 named scholarships, 132 named awards and 42 other student aid, including fellowships, assistantships and research grants.
- Combined with internships, graduatetravel support and emergency loans, the Foundation provided $1,937,925 in aid to deserving Binghamton students in FY2010-11.
Gifts of endowments offer many benefits, both to the University and to donors. Endowments increase Binghamton’s institutional autonomy and provide it with the resources it needs to stay at the cutting edge. Endowment donors have the opportunity to have a lasting influence on the University’s character and to honor or memorialize loved ones, friends, colleagues, teachers or other individuals.