Yale University, which has the second largest
endowment behind Harvard and is the top performing endowment in the
U.S., has increased
its allocation to private equity, including venture capital,
according to a report released yesterday. The endowment is boosting its
private-equity allocation from 21 percent to 26 percent, despite having
lost 26% of the value of its private-equity investments in 2009.
The decision, made at a June 2009 committee meeting, is a pleasant surprise for venture capital firms. The consensus in the industry has been that pullback from endowments, pension funds, and other big institutions that keep funds flowing to the global Silicon Valley will leave the venture industry at half its size within five years. But those were the optimistic folks. Others argued that poor returns in the VC industry was the main reason the for the pullback, and that as a result, the VC industry could be cut even further – or possibly
even go away.
To read the full, original article click on this link: VatorNews - Yale boosting venture capital coffers
Author: Matt Bowman
