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Mendillo partly attributed the endowment’s underperformance to “complications?? within the portfolio existing before the financial crisis, including “recent over-sized commitments to illiquid asset classes; within asset classes, a larger proportion of strategies with long holding periods; [and] a lack of ready liquidity in the portfolio to meet our obligations along with the needs of the University.” For years, Harvard has been the subject of scrutiny—and idolatry—as its endowment consistently generated double-digit yearly investment returns, largely...

Author: By Peter F. Zhu, CRIMSON STAFF WRITER | Title: Harvard Endowment, Largest in Higher Education, Plummets by 27% | 9/10/2009 | See Source »

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