A look at the eye-popping endowment gains at Harvard, WashU, Stanford and beyond

According to Higher Ed Dive, several wealthy U.S. universities reported fiscal 2026 endowment returns above 20%, driven by strong equity and investment markets despite persistent inflation, sluggish job growth, the ongoing U.S. war in Iran, high energy prices and broader economic and geopolitical uncertainty. Harvard University's endowment grew just over 27% to $68 billion for the fiscal year ended June 30, a gain the university equated to $11 billion in real dollars. That growth helped offset a possible $123 million reduction in federal research funding, and Harvard still reported a surplus. The university also faces newly increased federal taxes on endowment income, which took effect for the wealthiest colleges in January, and its leaders are budgeting for $300 million a year in such taxes.

Stanford University reported a 31.7% investment return, bringing its pool to $61.5 billion. The funds are set to contribute over $2.2 billion to its fiscal 2027 operating budget, roughly one-fifth of the total. The University of Pennsylvania's endowment rose 27.4% to $31.1 billion, its largest one-year dollar increase in school history according to the Philadelphia Inquirer, compared with an annualized 9.2% gain over the past five years. Washington University in St. Louis reported a 37.3% increase to $17.7 billion amid a year of layoffs. According to Bloomberg, a $50 million investment in SpaceX made a decade ago now accounts for 10% of the portfolio amid the company's reported $1.8 trillion initial public offering. Chancellor Andrew Martin said WashU expects "a healthy increase" in its endowment payout rate for fiscal 2028.

Yale's endowment grew 26.3% to $53.3 billion, roughly three times its budgeted rate. Yale leaders noted the university will benefit less from the return than in prior years because a portion will be subject to the new 8% endowment earnings tax, up from 1.4%. Princeton's endowment gained 23.7% to an all-time high of $42.3 billion, its strongest rate since 2021, following budget cuts based on lower expected future returns; a spokesperson said those expectations had not changed. Brown reported a 19.6% return, growing its endowment to $9.5 billion and providing a record $357 million to its operating budget, about $32,000 per student and 24% of total revenue. Dartmouth's endowment rose 17.5% to $10 billion, which its CFO described as "well-ahead of its portfolio benchmark" and "foundational" to its investment plans.

The gains contrast with broader sector pressures. S&P Global Ratings analysts said in a September report that an increasing number of institutions were relying on elevated endowment draws amid declining net tuition revenue, a trade-off that exchanges short-term liquidity for long-term financial security. The analysts added that most institutions have focused on building endowments and preserving resources.