Endowed funds provide investment income for the University to meet daily and one-time needs such as facilities improvements or emergency repairs. St. Ambrose has a policy of not spending endowment earnings to meet daily operating needs, which has allowed us to weather the current economic downturn without requiring that we cut current operations as many other colleges and universities did.
The majority of St. Ambrose's endowed funds are in scholarships and provide a steady source of financial aid for students to offset the cost of their tuition. Because endowed funds are invested and only the interest on these funds are spent, they provide a reliable, steady source of income in perpetuity.
As of June 30, 2012, the St. Ambrose endowment was valued at $105.3 million. Endowment growth comes from new gifts and prudent investment strategies that allow the endowment to grow beyond that which is spent.