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TRIPOD Volume 78 Volume 78 THE TRINITY issue 3 mppen off TRIPOD September 25,1979 3d twice gahs ie aid of a rathti le Bates sent ins Braman's heal Stodgy College Investment deflection, Susie the center of the 1 and McKenzie Policy Proves Successful : backfield. Tht- by Megan White the field at the prevented the College from spend- are most interested in those that | This past July, Trinity made the ing more than its cash income from show potential for'a dividend that I front page of the Hartford Courant in Oberhaus # endowments, and also discouraged will increase at the rate of infla- ] in an article comparing Trinity's vard and provid-' it from investing (as did Yale, tion." Unlike Wesleyan and Yale, J successful investment policy over md strong stick-' Wesleyan, and others) in growth Trinity stuck to a simple rule: the past ten years with those less n injury Anne: stocks at just the point when, as spend only interest and dividends, ; effective policies adopted by near- seen in retrospect, they were so never spend principal. I enough in goal by Wesleyan and Yale. Vice overpriced. According to Vice up and it endej President of Finance and Planning, The College's overall objective President English, the trustees, James F. English, stated that he is to increase both the level of per administration, and faculty were did not want to become too student endowment income in real • willing to exercise the self-disci- of Dartmouth complacent with the results of the terms and the proportion of educa- pline in spending which made g, were a tat study. However, he noted that the tion and general revenues derived prudence in investing possible. till, a fired "College can be satisfied in having from endowment income. To best their teanrnnli done well during a difficult per- "For decades," commented achieve these investment objec- ^ ., did fairly wet iod." as the past decade has not Courant reporter David Wessel, tives, the College maintains a high was simply been a good time for any college. "Trinky managed its money like a quality and readily accessible port- folio. Approximately 3/j of the ' lse, playing i Trinity avoided the temptation conservative Yankee widow. To- portfolio is common stock, much of , career to dale. ten years ago to adopt the "Total day, Trinity looks back on a decade 5 which is insurance company stock. 1 aged a neat goal; return" approach to endowment of balanced budgets and slow but and the remaining Vi is bonds. As ; tarted to blend. spending which became popular in steady growth in its endowments. of June 29, 1979, Trinity's ten ;y Swecker sent the late '60's, sticking to what. Yale and Wesleyan Universities largest holdings were in Aetna Life J the billious nel- Courant reporter David Wessel look back and wonder where all the Director of Admissions W. Howie Muir. and Casualty, AT&T. Exxon. Trav- J ime was Trinity's referrd to as a "stodgy" invest- money went." Their endowments, ellers, Connecticut General, IBM, 1 ment policy. This wise decision although larger than Trinity's, were eroded by spending invest- Southern National Resource. Hart- j final game was ments. ford Steam Boiler, General Motors. J facing Williams, andLubrizol. m \ Admissions Subject of Sparsely On June 30, 1968, Trinity's ngest team they endowment was worth S24.6 mill- The College normally does noi > i good shot fo be ion and on June 30, 1979 it was make use of speculation investment f Trinity faces all worth over S39.9 million. In the vehicles and is not likely to trade ' combination« Attended Faculty Meeting same period. W.es.leyan's endow-, actively or make extensive shori- vork warssiK-,- term moves. Since endowment and ] the alumni support program, the receives some fqrm of assistance merit fell from" sfr71.1 million to. e, the stick** j : funds are not normally drawn on j - by Steven Elmendorf new slide show and filmstrip which from the College. An additional 300 $107.4 million and Yale's endow- erything moved ment went from $545.7 million to for current operation, the College • arc used to aid admissions recruit- students borrowed money through 1 and again tin can afford to be what English j The College's admissions and ing, and the minority perspective the student bank loan program. between $575 million and S580 if Bundy, Spin, reffered to as a "patient investor." 5 financial aid performance' over the booklet. The new viewbook devel- In-the future, Taylor says, "We million. In a comparison of invest- son, and Betwl ment performances of 94 college English, who assumed the « last year was..the subject of a oped by the public relations office can look forward to even greater endowments between 1968 and position of Vice President of j mouth with shots special facuJtyv'meeting held last was described by Muir as "out- reliance upon federal funding...as 1978, according to the Courant, Finance and Planning two years I isp passing. Fin' Thdi^ijlfie mceQfig, organ- standing". the College will be forced to be Trinity ranked 15th, Wesleyan was ago after serving as chief executive | md that was all H ized fc^^^Sipulty. Committee on In assessing the financial aid more austere with its own contribu- 69th and Yale 83rd. The study also of the Connecticut Bank and Trust \ Admissions and Financial Aid, was scene at Trinity, Director of veryoiie excelled- tions toward student aid." Taylor revealed that Trinity's annual rate for eight years, explained the J attended by-^mly eight faculty' Financial Aid John Taylor noted dynamic. Liu stressed that Trinity, along with of return (capital gains, dividends, process by which investments are . mcmbcrs.jHppftiing members of that for the first time in recent / as a rock. Ttiti other independent colleges will and interest) was 5.1% compared mad. f the commiftee. memory, 100% of candidates for have to keep a "strong and active , Carol McKemii to Wesleyan's 2.9%, Yale's 2.4%, Basically ^ according to English. I Director of Admissions W. financial aid had their financial voice" in Washington to keep up r on defense ml and the average of 3.78%. the college makes two kinds ot f Howie Muir, Director of Financial need met. One reason for this levels of federal funding. He also itrength with he investments: short-term and long- • Aid, John Taylor and Assistant success was the increase in federal said that the College will have to Trinity's relative success is due term. Short-term investments arc J Dean of the Faculty John S. funding. Total federal funding of make a strong commitment to the to the fact that endowments are triumph was * made with tuition payments whid' j Waggett, spoke to those in atten- 'aid at Trinity increased this year by financial aid office to meet the invested in safe, dividend-paying at search for * are received in advance of the I dance. 33%; funding for the work study "challenges which the future will stocks that doesn't rise dramati- i, and it left* semester, and provide extra money J Admissions Director MuirT in program increased by 150%. bring...Those, colleges which re- cally or fall either. As English put ited, and glad i( it, "We try to invest in stocks and which, as English te-med it. ! opening the meeting, said "I think According to Tay/or, approxi- fuse to recognize and support the "dribbles away" after several ; . Coaches Re* we had a good year." He called the mately 30% of the student body O •<«. on P. 2 bonds with a good return, but we arita Kane wtf months. Robert Pedimonti, Treas- ! class of 1983, "hardworking, atten- urer, is responsible for making .• d with the ft* tive and concerned.". Muir was ;ame. these short-term investments. '" i particularly pleased with the num- Administration Tightens Belt; which usually yield several thou- ber ofacceptees who had decided sand dollars. ' • • : to enroll. Thirty-eight percent of made through endowment funds. p. 12 those admitted elected to attend, Efficiency Cited as Goa which currently stand at about S40 this is an increase of one and a half by Steven Elmendorf Assistant to the President, Spen- million. Last year these invest- per cent over last year and five Administrative Data Systems. and Franklin Kasmin Winslow will serve as off-campus cer, former Dean of Studies, has ments yielded $2,400,000, which : per cent over two years ago. Muij increased his teaching responsibil- when divided by 1650 students, In an effort to increase effi- study advisor one day a week. emphasized that he would like to ities in the History Department. gives approximately S1450 per .see the number accepting ad- ciency and promote economy, Many of Winslow's former respon- sibilities in this area will be Lips, in his position as Director student. missions Vise to at least forty Trinity has taken the first steps to assumed by the Registrar, Joanne of Institutional Affairs, has been Investments responsibilities arc per cent. Muir noted that while reorganize ijs administration. The Miller. moved to full-time status in the lodged in the Finance Committee of : a somewhat av* Trinity's yield may be down over reorganization included redistribu- President's office. Previously, Lips the Board of Trustees. The Finance ] that they nevd the last ten years, "no one is doing tion of duties in addition to cutting Wayne Asmus takes on more devoted part of his time to working Committee recommends to the ! nity to practis several administrative positions, responsibilities as Director of as well in yield as they did ten with the Development Office.
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