Harvard University's endowment is valued at approximately $53.2 billion as of the fiscal year 2024, making it the largest academic endowment in the world
. It consists of about 14,600 individual funds, most of which are restricted by donors to support specific programs, scholarships, faculty positions, and other university initiatives
. The endowment is a permanent financial resource that supports a wide range of university activities, including student financial aid, faculty salaries, research, libraries, museums, and campus life. In fiscal year 2024, the endowment distributed around $2.4 billion, which accounted for about 37% of Harvard's total operating revenue
. Approximately 70-80% of the endowment funds are donor-directed, meaning they must be used according to the donors' specified purposes, while about 20% are unrestricted and provide more flexible support for the university's operating expenses and strategic initiatives
. Harvard's endowment portfolio is heavily invested in hedge funds and private equity, which together make up over 70% of the investments, with smaller allocations to public equities due to lower risk tolerance
. The university typically follows an annual payout rate of about 5% to 5.5% of the endowment's market value to balance current funding needs with preserving the endowment's long-term value
. In summary, Harvard's $53.2 billion endowment is a critical and carefully managed financial foundation that sustains the university's teaching, research, and financial aid missions both now and for future generations
