Report of the Treasurer
Fiscal year 2018 was a financially strong year for Princeton University, with respect to both investment and operating performance, as well as the growth of its financial resources. Net assets for the year ended June 30, 2018 increased by $2.6 billion, or 10.5 percent, primarily due to strong investment and operating results. The return of 14.2 percent from the managed investment portfolio maintains Princeton’s ranking in the highest-performing tier of large university endowments over the long term. The University increased its endowment spending rate to 5.6 percent in 2018, in accordance with its board-approved spending framework, to fund new strategic initiatives. An operating surplus of $294 million, or 14.6 percent of total operating revenues, was achieved primarily through the increased endowment payout combined with the prudent management of operating expenses and stewardship of financial resources.