Having trouble with Endowments (among other things…)
But, specifically, I don’t understand this Spending Requirement?
why? well for starters, I’m reading the CR and they say, that any shortfall to an endowment can be supplemented by way of extra grant money.
Also, if the spending rate is greater than what the fund was able to generate on a real basis, we still don’t use the corpus/asset base of the portfolio to cover the shortfall.
Basically, what I’m asking is…how do these “spending rules” tie in with an Endowment not being allowed to dip into it’s asset base…seeing as we can set the spending rate anyhow?
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