As fall semesters start at colleges and universities around the country, students will embark on a journey towards obtaining an advanced degree with the hope of securing their financial and professional future. However, one of the many hurdles students have to clear on the path towards the coveted degree is the cost of college.
For many, scholarships make the college dream possible. College and university endowments across the country provide billions of dollars in scholarships to students in need. To ensure schools can continue to provide financial aid year after year, these endowments depend on the reliable returns from their investments in hedge funds.
More than 300 colleges and universities in the United States invest $159 billion in hedge funds to provide aspiring students with scholarships and keep tuition costs lower. Hedge funds provide endowments with reliable, risk-adjusted returns that ensure students can access scholarships regardless of how the stock market is doing. This means that students, especially those from disadvantaged backgrounds who may not otherwise go to college, can afford to pursue a college education.
Both public and private colleges and universities across the country rely on these returns.
- In the Bluegrass State, the University of Kentucky endowment invests $310 million in hedge funds to hold down tuition costs and fund educational opportunities for its more than 33,000 students.
- The University of Utah Endowment invests $222 million in hedge funds to support its 34,900 students and professors.
- The endowment for South Carolina’s Furman University invests $125 million in hedge funds to support its operations and 2,460 students.
These investments enable students across the county to focus on their studies instead of the high cost of a college degree. Interested in learning more about how investments in hedge funds support students throughout all 50 states? Visit https://investinginopportunity.org/colleges-and-universities/.
