--- ,

University.of Califo~nia,F?¢t::keley,F9µnd(l.tion
'.. . - -.

~
.J\. ' ENDOWED ASSETS .
'613()f08
,($000)
%£:ndhwrnent
MarketValue: ....
' .•.Funds' ./>'
..--.-,.
Enciowmentlnvestment
-
ObjeCtives: Maintain the purchasing
power of the current assets and all future contributions; maximi::e
\ Externaily.Managed Funds return ,,,,ithin reasonable and pmdent.levels of risk; maint.ai.n an
! U.S. Equity .•.. appropriate asset allocation policy that is compatible 'Nilh the
! Dodge & Cox-Equity .,50,687· 5.S%?}
...•. , 71 objectives of GEp, while still having the potential to produce
f Ark Asset MgmL - Ig growth 0,0% ..
Ark Asset Mgmt, -smvalue ... . a··,,! .... ·0.0% positive real returns: control costs oCadministering the GEP ,,5-
TimesSquare Assef MglJ)t.•.... ·16875. ·1.8%' sets and managing the invesnnents; provide investment results
Wetlington Trust Appreciation 17;000. ' 1:8% equal or superior to an appropriate peer universe: limit the risk
SSgA Russell 1000 Growth 16,(;l2] 1;7% ,.
of large losses by diversi.ti.cation among broad asset classes (e.g.,
Adage Capital 45,000 4.9%
domestic stocks, international stocks, fL'Cedincome) and among
DSM Large Cap GroWth 16721 ... 1;8%
Advisory Research ..•••.••... 8'602 /"0.9% the various styles within individual asset classes (e.g., "growth"
~".~,
International Equity Fun~s and "value" within dL)mestic equity); achieve a rale of return which
Harborlnternational Funq ;. 53,385 exceeds that Lifa target-weighted composite index based on the
LitmanlGregoryMasters:Seledilntl> >. S~;527 target asset allocation policy adopted as follows -;'0% Global Eq-
Sandersonlntemational Value . 28,681••·• Uity 20% ~v'larkerableAlternatives, 10% Pl1vate EqUity. 9% Real
Acadian - Old Mutual.AssetMgoit 9,659'
EmergingM~rkets .. Estate, 9% Energy/Commodities/Other and 12% Fixed Income;
Alliance Bemstein. 33,85'7 and produce a sufficient toial fund return to pro\ide an annual
City of london 32,192 5.090 payout (based on a J,2-quarter moving average of market
Real Estate value of endov,;ment principal) to GEP benefiCiaries.
Adelante Capital 19,90],
Metropolitan Real Estate
E I Ilnt'l Property .. Ij}~~ EndowmentSpending,Policy: The DC Berkeley Foundation
pays out 5.0% of the 12-quarter mo\ing average market value
Fixed Income
Dodge & Cox-Bond 12;675 of the endo\vment.
SSgA 3-1 OYearTreasury Index 79,714
SSgA lqngTreasuryTreasury Inde~ 8,848. PolicyJor Gift Fees and Administrative Expenses: 1) One-lime
BrandyWine Global . 14,?S2' charge of 2.5% of the initial value of all non-research gifts to the
Mondrian Global.Fix~d Income. 9;83~·.<>' Regents and Foundation ~including endowments). The fee is taken
..Private EquityNentu~ atpiPlI from the giJt prtncipal unless the speCified department dens w
~ commonFu.hdf.\lC.IINHI) .. /5,344 .. "',)():6%
, TCV IY,LP 2;127··· .. . .q.2W·· pay the fee from another allowable source. 2) Recurring charge
Horsely Bridge,VII 3,691· /........ 004%< of 100% of STIP income on non-endowed gifts is split 50'10 to
Summit Venture VI 4;271"><05% an unrestricted fund administered by the Chancellor and 50%
Secj(jolaCwSeecl Fund .. 8,' ···02%> t.o Vice Chancellors and Deans. \iCs and Deans may redistribute
Horse!y Br'idge,VJII ....••..•. ".9 0.$%, their portion of STIP income to departments or activities within
HorselyBridgeGrowt:h,VIII 3;113.. 03%.
7;300'·· ··0.8%· their control unit. STIP income earned on nn\' endowment gifts
Hor:selyBridg~.lntE:rnatiqh<l.1 '!II
Horsely Bridge Ihtematiol1al IY <b~04" .0.2%' kept in suspense for sL., months is paid to the Chancellor's fund
HorselyBridge,IX ...•.·d. 100 0:0% to benefit campus developm.em. 3) An annual administrative fee
Cf!=t:1pov;.{lJ)~l}tYenwre.11- VI· 8;894 [:0%, of 50 basis points is charged on endowment funds administered
TPG Partn$fcsy&VJ'; , 4,143 ·0.4%"· by the Foundation.
Blackstone Capital Partne.rsV 3,393 004%
OCMOpportunities Furu:f\y!II. "1;379 0.3%
Legacy yeptUre IV & V 3;[48 0.3%
CerberllslntemationaF Pa,rtI1ers Ser 5,355 0.6%
Foundadqn Capital Vllt> 133 0.0% Managed Endowment Funds by Asset Class
\ Lone Star Fund VI (US)LP 942 0.1% as of June 30
Varde Fund IX LP . ......, 1;250 ,.... 0,1%
MarketableAlternatives·· .... HI72,528 .. ,/ ;v~·' ....18.7% ..
') ",' ""'.,' ,.
, Energy/Commodities/Other)'
/,~ "~

I Wellington Energy .. 2i9'rci'· .•...•.

'..•.........•..••.•.
'•••.~:6%)i6;
>
Wellington Diversified Infl. Hedges 23;950 ·2.6%>' •
PIMCO Cornmodityl\earl\~Wrn 12,848 > .. ,., ••·JA%
Commonfund"NaturaJ.R~s6(jrcesVI<··· ·91'3 .'./." .. 0. L%;;:..
CommonfundNatUraIRes8&rcesVU··
Natural Gas Parmers IX lP' .
Park Street Cap Nat ResQuq:esHI
':;i~.·.':: ...•.
4;047
~;~~,. . OA%
'\ . TotaIExternany.Manag~dFundS 850,476 92:1%
_ . Regental,>,Manaited Furids", ...
,,'" Highliic6me EndoVilTlenf'Pool'
p ShortTerm'lnyestmentPool
f Total Regelltally Managed Funds
f Other EndowedAssets,
Cash/Cash Equivalent
Other Receivables
. SeparatelyJnj,iest~dFunds,
0- SAM Mortgages'. ... . ", ..• 2004 2005 2006 2007 2008
.\. Total. Other Endowed Assets • U.S. Equity • U.S. Fixed Income
i'rOTALENOOWED ASSETS o Non-U.s. Equity El Non-U.S, Fixed Income
UC Annual Endowment Report .• III Alternative Equity o Absolute Return
F-is.:.tlYC>i, Ended }unl'i3:0, 2~fr ' ", Ell Cash
 Endo""'ment Investment Objective: The University of
California, Irvine Foundation's investment objective for its
endO\vment portfolio is to maximize long-term rotal return.
with a tot,d return objective (net of fees), measured over a full
market cycle, of not less than the rate of in Dation as measured
Large-Cap Equity Funds by the CPl, plus 500 basis points. Ideally, total return should
Vanguard Winqsor if Fund exceed market performance. The investment policy is 22 %
JPMorgan. ..... U.S. Equity 22% Non-U.S. Equit}~ 209,,; Hedge Funds, 15'\,
Cadence Capital Mgmt' Fixed Income, 8% Private Equity & Venture Capital, 8% Real
Sman.Cap Equity Funds .• Estate, 5% Commodities, and 0% Cash.
Thompson, Siegel & Walmsley.'
AG Asset Management Endowf11ent Spending POlicy: The endow'ment fund spending
Balanced Equity'Funds ." . policy allows for allocation of income equivalent to 4.5% of
Berkshire Hathaway the moving average market value of the endowment portfolio.
Global Equity Funds. This average market value is computed using the previous 36
Brandes ~ .
months of portfolio activity Income earned in excess of the
William Blair'
Bond Funds' spending fate may be reinvested in endo\vment principal.
Pimco Instl.Total Return Income available for expenditure is calculated according w a
predetermined formula.
Pimco Instl.High Yield
Pimco Instl.Low Duration
Evergreen. Policy for Gift Fees andAdrninistrati.ve Expenses: The Irvine
Real Estate Campus charges a one-time fee of 5% of the initial value of
TIAA-CREF all Foundation and Regents' gifts. The fee may be taken 1)
Alternative Equity from the principal jf speCified by the donor, 2) by holding gift
Common Fund .... in a Suspense aCCOUnt until fee is earned, or 3) from another
PIMCO Bank Loan Oppo acceptable fund source. There is also a recurring charge of 0.5%
Drum Capital. Mgmt .
of the market value of Foundation endowment funds used to
Total. Extetnally Managed .Funds .•
offset the operating costs of managing the endowment for the
Foundation. All interest earned on the balances of current use
private gifts and private grants is credited to the Chancellor's
UCVintage Year Discretionary Fund and used to support ongoing fundraising
UC Real Estate efforts at LTCIrvine.
UCAbsolute Return
General Endowm
Short Term loves
Total Jtegentally
Managed Endowment Funds by Asset Class
as of June 30
100% J .LWE3

I
80% I
6.0%
I
I

40%
I
!

20% I
I
I
0%
2004 2005 2006 2007 2008
• U.S. Equity
• U.S. Fixed Income
o Non-U.S. Equity fill Non-U.S. Fixed Income
IIiiI Alternative Equity
lEICash
o Absolute Retu rn
The UCLA Foundation

- 6/30/08
Market Value
% Endowment
Funds
6/30/08
MarketVaIue
% Endowment
Funds
($ 000)
ENDOWED ASSETS Sigular & Guff 1.807 0.2%
Externally Managed Funds Sigular & Guff II 1,920 0.2%
Equity Funds Sigular & Guff Small Buyout Opp. 1,078 0.1%
DFA International Small Co $32,550 3.1% Thomas H.lee EquityV 6,974 0.7%
DFA Emerging Markets Core 21,259 2.0% Thomas H. lee Equity VI 2,511 0.2%
DFA Emerging Markets Value 28,571 2.7% Three Arch Capital, lP 3,659 0.3%
Heitman RJE 10,656 1.0% Three Arch Capital, IV 1,888 0.2%
UCLA I shares Russel Midcap 20,286 1.9% TIAACREF 11,291 1.1%
Prudential Invest Mgt 29,219 2.8% Timbervest Partners 7,305 0.7%
State Street G.A. - Russell 1000 34.817 3.3% Timbervest Partners 1\ 8,103 0.8%
Timessquare - Corp. Stocks 31,787 3.0% Welsh, Carson, Anderson & Stowe X 4,118 0.4%
PIMCO Fundamental Index Plus 33,201 3.1% Welsh, Carson, Anderson & Stowe IV 2,081 0.2%
Analytics Core Equity Plus 15,836 1.5% Welsh, Carson, Anderson & Stowe IX 6.824 0.6%
J P Morgan 130/30 large Cap 16,133 1.5% Welsh, Carson,Anderson & Stowe VIII 4,228 0.4%
T Rowe Price Structured Research 36,329 3.4% Individual Share Holdings 457 0.0%
PIMCO International Stocks Plus TR 14,372 1.4% Miscl other Assets 441 0.0%
Rockpoint Real Estate III 357 0.0% Absolute Return/Hedge
Global Equity Funds All Blue 13,079 1.2%
Capital Guardian 8 0.0% AQR Capital Management 7,853 0.7%
Hansberger Global Investors, Inc. 94,191 8.9% Atticus Global ltd 6,891 0.7%
State Street GA - MSCI 44,509 4.2% Avenue Special Situation 64 0.0%
Bond Funds BGI Global Ascent 11,953 1.1%
OCM Mezzanine Fund 182 0.0% Black River Global Multi Strategy 11,781 1.1%
PIMCOTotal Return Fund 65,852 6.2% Blackstone Kailix Offshore Ltd 10,009 0.9%
PIMCO All Asset 14,475 1.4% Brevan Howard 10,259 1.0%
Private Equity Canyon Value Realisation 12,585 1.2%
Bain Capital IX 6,891 0.7% Carl Marks Strategic Inv 2,841 0.3%
Bain Capital X 1,148 0.1% Carl Marks Strategic Opp 257 0.0%
Blackstone Capital Partners V 4,295 0.4% Davidson Kempner Instl. Partners 7,752 0.7%
Brentwood Partners III 5,608 0.5% Davidson Kempner Distressed Opp. 4,424 0.4%
Brentwood Partners IV 3,537 0.3% EOS Partnership 14,154 1.3%
Charter Oak Partners 3,708 0.4% Eton Park Overseas 11,876 1.1%
Clearstone 3,573 0.3% Fontana 4,472 0.4%
CSAM 25,997 2.5% Highbridge Capital Corporation 15.138 1.4%
GMO Forestry Fund 8-B LP 6,001 0.6% Ivy Rising Stars Offshore Fund 3,297 0.3%
Lexington Partners 7,854 0.7% Maverick Fund 9,645 0.9%
Lehman Strategic Commodities 10,870 1.0% Oaktree High yield plus-Cayman 6,183 0.6%
Lightspeed Venture 1,992 0.2% Oaktree Japan Fund 4,220 0.4%
Morgenthaler Partners VII 2,840 0.3% O'Connor Global Fundamental 8,224 0.8%
Morgenthaler Partners VIII 2,515 0.2% OZAsia Overseas 5,453 0.5%
MPM Bio IV 1,841 0.2% OZ Europe Overseas Fund Ltd 1\ 5,197 0.5%
Northgate Private Equity II 3,188 0.3% OZ Overseas Fund II,Cayman 6,179 0.6%
Northgate Private Equity III 1,663 0.2% Platinum Grove 12,088 1.1%
Northgate Venture Partners III 1,476 0.1% Taconic Opportunity Fund 4,985 0.5%
Oaktree Capita! 2 2,542 0.2% Temujin 7,181 0.7%
Oaktree Capita! 3 10,917 1.0% Tiger Asia Overseas Fund 17,951 1.7%
Oaktree Capital 4 6,194 0.6% Tree Line Asia 7,476 0.7%
Oaktree Capita! 5 1,065 0.1% Vicis Capital Fund Inti 11.492 1.1%
Oaktree Capital 6 6,482 0.6% Winton Diversified Futures 11,366 1.1%
Oaktree Capital 7 4,384 0.4% Zaxis Offshore Limited 6.18! 0.6%
Oaktree Capital 7 B 375 0.0% Total Externally Managed Funds $1,042,235 98.6%
Oaktree Opportunities Fund 4 66 0.0%
Oaktree Asia Principal Fund 2,096 0.2% Regentally Managed Funds
Oaktree/ GF! Power Opp fund II 2,569 0.2% UCVintage Equity Fund 4,503 0.4%
Panorama Capital 1,956 0.2% General Endowment Pool 3,810 0.4%
Pantheon USA FundVI 9,291 0.9% Regents Real Estate 636 0.1%
Permal Private Equity Holding IV 2,479 0.2% Total Regentally Managed Funds $8,949 0.8%
Polaris Venture Partners IV 5,077 0.5%
RCP Fund III 2,230 0.2% Other Endowed Assets 6,187 0.6%
Realty Associates VIII
Sevin Rosen
6,560
1,174
0.6%
0.1%
. TOTAL ENDOWED ASSETS $1,057,371

UC Annual Endowment Report

F:ncltd ]urr.c 3G. 2\108
r-i,,;,:~:l y;,~:~;
* Includes net receivables, real estate, securities and other assets.
UC Riverside Foundation ..
Externally Managed Funds
International Equity Ftlnds. '.
FidelityLatin America
Goldman Sachs BRIC
US Global. Region East
Balanced Fonds
TiFF Multi Asset Fund
ivy Asset Strategy
First Eagle Global
Other Equities
Park Street Natural Resotlri;es"
CGM Focus
FidetityLeveraged Co Stoc~ .
Guiness AtkinsonAlternati\i.e Energy
US Global Resources
Cash·shortTermFunds
Fidelity InstitutionarM6Ii~y tjarket
Total ExternaUy Manag'i!d~un(Js
Other EndowedAssets'.........
(primarily real estate,art ~~drec~ivabJes)
TOTAL ENDOWEPASSEliS
Endowment Investment Objective: The UC Riverside
Foundation's long-term investment objectives of the endov.'ffient
fund are to produce a relatively predictable and stable payout
stream each year and to grow both the payout 'stream and the
corpus over time at least as fast as the general rate of inflation, as
measured by the Consumer Price Index. The investment policy
consists of allowable ranges: 50-90% Global Equity and 10-50%
Global Bonds.
;Endowment SpendingPoiicy: The endowment fund payout policy
is 4,75% of the average endowment fund market ~alue computed
using the previous 12 quarters of portfolio activity the last of which
ended on the March 31 of such fiscal year.
Poli-cy fcirGiftFeesandAdmiriistrative Expenses: A one-time
Gift Service Fee of 5% is charged on all cash gifts received by
the Universit;.~ based on the principal value d' the gifL The fee
is caHeeled either [rom the initial interest/income earned by the
gift, directly from the gift principal, or the recipient of the gift may
provide the fee from another acceptable fund source.
In FYE08 an Administrative Service Fee was charged against all
existing endO\VInemS bc>okvalue balances and gift fund balances of
51,000 or greater at an annual rate of 1510, The fee was collected
.,.
from the interest/income earnings of the fund balance,
Effective July 1, 2008, the Administrative Service Fee was replaced
by an Administration Cost Recovery Fee which will be cbrged
against all existing endowments and endov,;ment-related gift
funds at an annual rate of 0.5% of the average rolling market
value of funds eligible invested assets as calculated per the UCR
Foundation spending policy. The campus \\ill charge 100% of
short term c,rdinary income on campus and Foundaticm current
fund balances.
All proceeds from fees become a Chancellorial resource intended
to hcip defray development and gift administration costs.
Managed Endowment Funds by Asset Class
as of June 30
2004 2005 2006 2007 2008
• U.S. Equity • U.S. Fixed Income
o Non-U.S. Equity EllNon-U.S, Fixed Income
II!I Alternative Equity EJ Absolute Return
EllCash
,.•.SanDieg0.F6(I~~~ti~lJ"i ._."._ - __.": ... ·· ....-.U;r'·'
Endowmentlnvestm¢nt Objective: The U.C San Diego
Foundation's primary investment goal for its endowment is to
maximize long-term total return, utilizing a diversified portfolio
of securities that deliver return in the form of both asset
appreciation and income. Endowment portfolio performance is
>OWED ASSETS
expected to preserve or enhance the real value of the endowment
~rnallyMamtiedFunds .'
and the purchasing power of the endowment spending,
.rge_CapU.S.Equit;y,FUnds:
lares s&P SOOlr'ldex " .. ' ..•.> including administrative costs. The investment policy targets, as
d& .small~Cap\j:S.t:.ql.Jity;~lJndS. ofJune 30, 2008, are: 24% US. Equity; 22% Non-U.S. Equity;
mguard"Midc:aP IndexlnstitutiOn(lloSha~~s;;' 7% Private Equity; 20% Absolute Return; 10% Real Estate; and
wguard SmaIICaplpdex·E~ndlri~~I.Sh~r:7~
17% Fixed Income.
nerging M~ketEquitY.;~un~~>;' .
anguardEmerging li1arketj' ·.··.·.ji Endowment Spending Policy: The endowment spending rate
therEquities> . .. .,/.;.. ..... is 4.75% of market value. Market value is defined as the five-
;hares ·Cohen.& SteersRE!alty···\'1(li6r:S:,~EJT
•;. year average unitized value of the endowment investment pool.

;~":' ,."fl~ir·yt Distributions to fund holders may be from income and realized
or unrealized capital gains.
~r\.ldenti3JP:RISAfund:; . Policy for Gift Fees andAdrrilnistrative Expenses:
:ash .... . :......,., UC San Diego assesses a one-time charge of 4"(0 on all gifts to
Cashequivalenr,s hel?inrnanage~~cco~~ts ." the Foundation or to The Regents to support the operations of
rotalExt~rnany M;ulaged:fund1>' >; •. $S7~849/, EXlernal Relations. An endowment administrative fee of .40%
. :-~-~/

is assessed against all endovvment and quasi-endowment gift

~nternaIIyMan'(l\:edFundj funds. 100°/0 of all annual earnings on Foundation and Regents'
Individual SecllritiesC.
Real Property/ .' •.'. di "•.. ' current use gift and grant funds are swept.
Total Interna.Jy Manage~~unds' .

Regental!yManagedFund~

Managed Endowmen1: Funds by Asse1: Class

as of June 30

100% r r '. r "\ f" 1 r' ~ ~

_-<c

60%

40%

20%

0% 2007 2008
2005 2006
2004
• U.s. Fixed Income
• U.S. Equi1:Y !EI Non-U.s. Fixed Income
o Non-U.s. Equi1:y Q Absolute Return
Il!I AI1:erna1:iveEqui1:y
!EI Cash

.~.St.n,.~~~,:~,~O~~I~~t_~~p6rt
,1, ....~\A 'i.;.,.l., :..n""........;\·nt: ...,\.• z.t.'Cb
University dfCalif9rnja,~Sanf'7<!lidsto
. .' ".:.: "' .. ,:,: ,:"'::":;':'.. ":::':'
;~9y~gati~~<'
.: >;-<-;,:::>:::->~;:,:'::"":f!<:-'-::

EndowmentlnvestmenLOblective: The San Francisco

Foundation's primmy investment objective for its endowment
portfolio is growth of principal sufficient to preserve purchasing
ENDOWEDASSETS. . ptm:er and lO pmvide income LO suppon current and future
Exterri~I!yManag~dFuhcis
University activities. Over the long term, it is the goal of the
Large C~pVaJueH;>
Foundation that the total return on investment assets should
Dodge & Cox
Vanguard S&P500lridex equal the rate or inflation, plus the payout rate (which is used
Mid Cap to support current activities), plus an amount reinvested to
Russell Midcap Growth iShares/; support future activities, The investment policy consists of:
Advisory Research ... 45% U.s. Equity: l5% International Developed Equity: 5%
ValueAct Capital Inti II Private Equity; 10% Hedge Funds; 5% Real Estate; and 20%
Mazama Fixed Income,
AIICl'IP
'Eagle CapttalManagem~ni Endowment Spending Policy: A ponion of the endowment
JnternationaJEquityFunds> pool will be expended annually: The amoum of the distribution
Capital Guardian Trust . will be determined by the payout policy of the Foundation,
Gryphon lnternational .. modified by donors' wi.shes where applicable, The Foundarion
Silchester policy is to distribute 5% of the market value of the endoVi:ment
Dodge & Cox Intern~tional Fund pool, calculated on a 36-month rolling average of the market
Internation Emerging Equ!ty .. :.>;-
value, The payout will be reviev-led annually, which may resuit
GMO Emerging Markets "'3.3:%
in modification. The payout will be distributed once a year
Tiedemann LongQuration; 1.8%.
following the close of the fiscal year, Undistributed income
Real Estate & Hard Assets .. 'e .• ••.
MetropolitanREPartners 111..... ;~·~,84z:··.··
·,.;O;~~,. ", and gains from investment activities are reinvested in the
Endowment Pool.
MetropolitanREPartriers Inti. II· ...• ,,·.I;.,$45;L,ICc .,..':>O.r~t'
Shorenst~inSRl Nine REIT ....... $I,7~T',;;;0:4%I' I.
Policy for. Gift Fees.andAdministrative Expenses: The University
C()mmoi"lF'ynd Capital Natu~1 "1,$2,169'( . . ·'::'.:0.5%
DenhamCbmmodity FundV$462 ;,,,Q.I% of California, San Francisco Foundation charges a one-time fee
Privat;; Equity-Venture Capital, Oistr'essed Debt ,; . of 4% of the initial value gifts, In addition, the campus assesses
Oaktn~ePrindpal' Opportunltytnc;!fll.; ...,";$5,7'83.' a recurring charge of 75% of STIP income eamed on cunem
OaktreePrincipal OppohunityFnd Iy/H .>$1',9Z0" funds, which is assessed quarterly against income. An annual
CommonFundCapital EVPIV . '. $1;801 administrative fee or 35 basis points is charged on current
CommonFund Capital EVPV ..•...
$2,$95:' and endo\vment funds administered by the Foundation. The
CommonFund Capital CVPVI . $2,567 Foundation also charges a 1% spending fee at the time that
Burrill Biotech fapital FundLP$L~82.( funds are spent for purpose, No fees are charged on gifts for
TIFF Pfivate Equity Partn~ers2007 . $: . student aid. Fees are used to cover deveiopmem costs,
TIFF Private Equit}' Partners 2008.
Hedge Fund
ProtegePai"tMers LTD
TIFF Absolute Return Fund.1I
Farallon,Capital.Partriers
.Canyon Value. Realization Fund· Managed Endowment Funds by Asset Class
Forr~ster Offshore - Long/Short as of June 30
Watershed Institutional Partners
Sankaty-Prospect:Harbor Fund
Regiment Capital. SpedalSituatlonslV
Bond· Fund
Dodge & Cox
Cash.' .
Total Externally' Managed Funds

TOTAL ENDOW·EO ASSETS

2004 2005 2006 2007 2008

• U.s. Equity • U.S. Fixed Income

o Non-U.S. Equity I1lJ Non-U.S. Fixed Income
Ii!II Altemative Equity B Absolute Retum
EI Cash
 End0v:.-mellt lriygstme[lt Qbjec:pve: All new endov.nleJlt gifts
are deposited into the Foundation's Long Term Investment Pool
(LIIP), held primarily at Goldman Sachs vvith State Street Bank &r
Trust serving as master custodian. EndoViIllent funds are invested
in accordance \vith the liniform r-bnagement of Institutional
Funds Act (liMIFA) and the Endov/Il1ent Investment Spending
Policies and Guidelines, as adopted by the Board of Trustees.
The Foundation's investment objects are: 1) Presenre investment
capital and its purchasing power; 2) Generate sufficient resources
to meet spending needs (payouts); and 3) Attain reasonable capital
appreciation through prudent acceptance of risk to enhance the
future purchasing power of the investment capitaL
EndovvrnerltSpendingPoliq: The Santa Barbara FOl(ndation
adopted liMIFA at the Board meeting held on October 25, 1997.
At their February 2007 Board meeting, the Foundation adopted a
total return spending policy for the 2007-2008 Fiscal Year based
on the 60-momh rolling average share value as of December 31,
2006, for the General Endov.rrnent Pool multiplied by the number
of shares held by each endow'h1ent which is then multiplied by the
board-approved 5% payout rat.e.
Policy for Gift Fees and Administrative Expenses:
Through June 30,2000, the liC Sama Barbara campus charged a
one-time fee of 5% of the initi"j value of all restricted gifts to the
Foundation and The liC Regents, excluding non-convertible gifts
in-kind. The fee ,;;as assessed to offset a portion of the direct costs
related to briftprocessing and accounting. Effective July 1, 2000, all
Shorr Teml Investment Pool ~STlP) earnings on gift funds accrue to
the Chancellor to be used to support Institutional Advancement. In
addition, Endovanent Funds and Funds Functioning as Endowments
were charged an annual Endovnnent Cost Recovery Fee of .15% (15
basis points). For 2006-07, the board adjusted the Endov.ment Cost
Recovery Fee to .25% (25 basis points) of the Fair Market Value as
ofJune 30, 2006. For 2007-08, the board kept the Endo\vment Cost
Recovery Fee at .25% (25 basis points) of the Fair Market Value
as of June 30, 2007. In their May 2008 meeting, the board set the
Endowment Cost Recovery Fee at .40% (40 basis points) of the Fair
Market Value as of June 30, 2008 for the 2008-09 year.

Managed Endowment Funds by Asset Class

as of June 30
100% I

80% I
l
60% j

1
40% !

20%
I
I
I
0%
2004 2005 2006 2007 2008
• U.S. Equity • U.S. Fixed Income
D Non-U.S. Equity EllNon-U.S. Fixed Income
i!!l Alternative Equity D Absolute Return
EllCash