Very interesting piece in the March 21 Chronicle of Higher Education on “How Endowment Hoarding Hurts Universities.”
This makes sense to me. From my vantage point (perhaps not the best), it seems that institutions that hoard cash in anticipation of what they think may be some crisis in higher education run the risk of coming out on the other side of the crisis with a pile of cash and no worthy programming, institutional identity, or brand. Their strategy to avoid failing in bad times risks floundering in good times.
It would be interesting to read about the different short- and long-term outcomes of different strategies of endowment spending/hoarding. I’d bet many institutions have a lot to learn from Jeffrey Brown’s research.