The Research On Operation Of The University Endowment Fund

The rapid economic and social development has greatly promoted higher education in China. It also proposes higher requirements for university operation. As a costly undertaking, University operation needs sustained and stable investment support. So-called "top-class universities need large funding."At present, facing the objective situation of shortage of education funds, multi-channel fund-raising has become the Universities'inevitable choice to achieve sustainable development. Community donations as an important channel for financing the University, it not only can ease the plight of university funding shortage, but also can promote structural optimization, enhance the comprehensive strength of the University.With the continuous development of market economy, growing awareness of the public charity, and the continuous improvement of the domestic financial environment, China's university donations have gained great progress. At the same time, because of the lack of scientific theoretical guidance and effective system of rules, it also exist many contradictions in the operation of University Endowment Fund:the conflicts between the sharp increase in wealth and the small size of University Endowment Fund, the conflict between prosperity of financial markets and the weak Investment of University Endowment Fund, the contradiction between increasingly complex investment environment and the lack of risk management in Endowment Fund. The research sets the operation of University Endowment Fund as main line, divides the operation of the University Endowment Fund process into three parts:fund-raising, investment operations and risk control in the University Endowment Fund, set " reveal the problems---optimization operations----system innovation "as the research purpose, investigate the operation mode of the University Endowment Fund in China through theoretical research and empirical analysis.First of all, research from the University Endowment Fund-raising and development, through the development and status investigation and the comparative study on University fund-raising between China and America, there are many problems existing in the process of University Fund-raising in China. For example, backward fund-raising awareness, management system is not perfect, lack of professionals. On the basis of cost-benefit analysis, the related tactics for university fund-raising such as concept establishment, strategy formulation, and system improvement are advanced on concrete operational level. The science and art in fund-raising should be combined in order to promote the sustainable development of the university donation in China.In the research of University Endowment Fund Investment and Income, the value of University Endowment Fund Investment was explained firstly. On the basis of analyzing the present situation, such as investment scale, investment channels, the investment organizations, investment income, it reveals that many problems exist in the Chinese University Endowment Fund'Investment. Research combined investment objectives and investment principles of the University Endowment Fund, introduce financial portfolio theory to the University Endowment Fund Investment Management, from the choice of investment tools to build a portfolio, then the evaluation of investment returns, through rational reference and effective use of finance investment theory, achieve an effective investment of university endowments.Return and risk go hand in hand, checking each other.2009 financial crisis swept across global investment operation, brought a great impact to the University Endowment Fund. In this context, the risk control and management of the University Endowment Fund is more important. Research divides the University Endowment Fund risk management into three major steps:risk identification, risk assessment and risk control. On the basis of University Endowment Fund operation risk types and characteristics analysis, investigate risk identification, risk specific evaluation and risk control methods of University Endowment Fund. In addition, through the case studies of the Harvard University endowment fund risk management in financial crisis, provide a reference and inspiration to the University Endowment Fund risk prevention in China.Finally, the research proposed the suggestion to achieve optimal operation of our university endowments and institutional feasibility, build the optimal operation mode of University Endowment Fund in China. That is four-dimensional integration model: actively fund-raising----modest investment----the flexible operation----Risk Control-----Information Disclosure.