December 16, 2008
Posted by Sam Jackson
E-mail we received this afternoon enclosed below. The bloodletting at Yale looks like it will really not be so bad; while market declines were comparable to Harvard, they were looking to freeze things more aggressively, while Yale is forging ahead (relatively speaking). We all knew that the downturn would affect Yale, the question was by how much. The answer: So far, about 25% of the market value of the endowment has gone down with the markets. This means there is a fairly significant budget shortfall next year, growing again the year after. But, relax - the endowment is now in the same place it was in 2006, and long-term, everything will be peachy. Right, President Levin? "17 billion is still a very large endowment."