The Cambridge University Endowment Fund looks after the University’s long term investments.

[http://www.admin.cam.ac.uk/reporter/2014-15/special/06/06-FMI-2014-SectionN.pdf]

With £2,292 Million under management, that is £2.29 billion. (in 1990 it was £250 million)

The Cambridge University Endowment Fund long run objective is to achieve or exceed an average annual rate of total return (i.e. income and net capital gains), net of all costs and before distributions are taken into account, equal to RPI plus 5.25%,

Spread over 6 assets classes:

Public equity £1,451.0 million
Private investment £223.7 million
Absolute return £264.8 million
Credit £73.2 million
Real assets £241.1 million
Fixed interest/cash £38.2 million

8 Fund managers look after this portfolio.

Over the six years since 30 June 2008, the fund has an annualised return of 8.6%.

The income from its investments are incredible.

Net capital gains £202.7m
Dividends £16.6m
Rent £7.1m
Interest £2.1m

Total income £228.5m

Not bad when you consider it started in 1958 with £4.5m and today is £2,292m. Acorns and Oak trees springs to mind.