Endowment and investment strategy
The endowment supports the sustainable funding of 911±¬ÁÏÍø’s operations, research, education and innovation.
911±¬ÁÏÍø endowment provides EUR 42 million for education and research this year
The endowment investments returned 1.7% during first half of 2025
The endowment will provide an estimated EUR 42 million of funding to the university activities in 2025. Spending from the endowment is guided by the spending policy (see attachment below) set by the University Board, and the level of annual spending is based on the long term expected return of the endowment portfolio. This funding continues to secure high-quality education and research activities in a stable and predictable manner through economic cycles and compensates for the long-term erosion of the university public funding base.
The endowment investment portfolio return in the first half of 2025 was 1.7%. The market value of the endowment was EUR 1515 million, comprising of EUR 1495 million endowment investment portfolio and EUR 20 million in expendable funds. Over the last three and five years, the annual return was 7.6% and 8.9% respectively. The return since inception in 2010 was 5.8% per annum. The investment strategy continues to be based on high and stable risk tolerance and diversified return sources.
The investment environment has changed significantly over the course of 2025. Geopolitics and global trade terms have been in focus, which has increased uncertainty in financial markets. Market returns have still been fairly steady and orderly for the most part. The US economy has remained remarkably resilient but is expected to face continued elevated inflation while the economy is cooling. The rest of the world is coping with the changing timelines and details of US trade policies. Overall financial markets are pricing a fairly positive scenario while the full impact of the new global trade terms remains to be seen.
| Allocation 30.6.2025 | Return 1-6/2025 | Annual 3y return | Annual 5y return | Annual return since inception (05/2010) | |
| Money markets | 4,3 % | -2,4 % | 1,0 % | 1,2 % | 1,0 % |
| Government bonds | 4,7 % | 0,7 % | 0,8 % | -1,9 % | 1,0 % |
| Credit strategies | 16,3 % | 3,2 % | 7,5 % | 7,2 % | 4,4 % |
| Equity strategies | 57,0 % | 2,5 % | 10,2 % | 11,8 % | 8,9 % |
| Diversifying strategies | 17,7 % | -1,4 % | 2,8 % | 5,8 % | 2,4 % |
| Aalto Endowment Portfolio | 100,0 % | 1,7 % | 7,6 % | 8,9 % | 5,8 % |
Unaudited figures.
The long-term capital of 911±¬ÁÏÍø Endowment is invested in the financial markets with the purpose of generating funding for its academic activities. The endowment was set up by a fundraising campaign and government capitalization between 2008 and 2012, which generated a total of EUR 700 million. Shares of university-based startups, as well as real estate and other operative assets are excluded from the endowment portfolio.
Endowment and investment strategy
Read more news
The idea of three researchers generated a deep tech company
Sim Analytics Oy relies on strong research expertise. Its story began when three researcher colleagues working in different laboratories at LUT University began to consider how to provide and analyse data in a way that would support industrial companies in making business decisions.
Experience Isn't the Finish Line: Payam Salarvand on Learning to Build Better
Can experienced entrepreneurs still benefit from going back to the classroom?
Vertics Oy was born from the vision of two upper secondary school students
Atte Pohjanmaa, who founded a company when he was still an upper secondary school student, succeeded in growing his company even during the coronavirus years.