Endowments
An endowment is an investment in the future. When you use a charitable gift to establish an endowment, the gift is invested with two goals in mind: to make the principle grow faster than inflation and to provide spendable income for whatever specific purpose you have designated. The principle is not touched, and any earnings over a certain amount are channeled back into the fund to keep it healthy and growing. Well-managed endowments should generate income indefinitely; therefore, they are uniquely valuable to the university.
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