Recent Endowment Returns — Too Good to Last?

The 2025 NACUBO-Commonfund Study shows three-year endowment performance well above longer-term averages, driven largely by elevated public equity markets.

In our February Strategic Insights, we analyze the data and outline what we believe are the most important implications for endowment portfolios.

Equity valuations remain near historical highs, which raises an important question: Are recent returns sustainable?

Our analysis examines:
▪ Why the historical performance gap between large and small endowments narrowed
▪ How heavily portfolios rely on public and private equity beta
▪ Why forward return expectations are likely to moderate
▪ What this means for diversification, governance, and long-term portfolio resilience

Download the full analysis of the NACUBO Study in the latest Strategic Insights, the first in this series.