Source: Fortune
Summary
Harvard Management Co. has disclosed a $2.2 billion stake in SpaceX, making it one of the largest endowment holders of the stock. The university’s endowment, which oversees $57 billion, has profited from an early bet on Elon Musk’s rocket company. Other universities, including the University of California and Washington University in St. Louis, have also benefited from investments in SpaceX.
Our Reading
The numbers tell one story.
Harvard’s $2.2 billion stake in SpaceX is a significant holding, but the university’s endowment is also exposed to other market fluctuations. The gains from SpaceX come at a time when US university finances are constrained. Harvard’s holdings potentially reflect both directly owned shares and distribution from private funds. The university’s spokesman declined to comment on individual investments. The strategy enters a familiar phase: universities are seeking returns from private investments to offset declining federal research funding and demographic changes.
Author: Evan Null
Investment Returns
Harvard’s endowment has returned 18.9% before fees in the year ended in June, according to Wilshire Trust Universe Comparison Service.
Market Performance
SpaceX shares have fluctuated since the company debuted at $135, falling 0.9% on Friday to close at $140.
Regulatory Requirements
Money managers overseeing more than $100 million in US equities have to file a 13F form within 45 days of the end of each quarter to list their holdings in stocks that trade on US exchanges.
