Does Uc Desire To Invest Similar Harvard?
Sunday, February 26, 2023
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I convey a Huffington Post article on how several schools inwards New England convey followed the same high-risk investment strategy that the UC has pursued for the end several years. According to the Tellus Institute’s study of Haravard, Dartmouth, Brandeis, MIT, Boston University, in addition to Boston College, past times moving their investments from to a greater extent than stable assets to volatile gambles (private equity, existent estate, in addition to hedge funds), these universities convey produced a growing income inequality at their campuses. Moreover, since they convey instantly been forced to halt ambitious expansion projects, the surrounding communities convey been devastated.
An of import lesson that the University of California should larn from this analysis is that the investment strategies of hired traders should endure closely monitored; this study equally good shows that the trustees in addition to regents of these wealthy institutions frequently convey a huge conflict of interest. Since many of the people overseeing universities instantly come upwards from the the world of speculative finance, they are unlikely to shift coin into to a greater extent than stable forms of investments. Moreover, due to the tax-exempt condition of these schools, they are to a greater extent than prone to engage inwards high-risk trading.
Another effect discussed past times the Tellus study is that since these schools pay real picayune taxes on their huge existent estate holdings, they goal upwards impoverishing their habitation towns in addition to cities. Furthermore, all of these schools move past times away on to increase their huge income disparities equally coin flows to the top, in addition to low-paid workers come across their salaries stagnate.
While this study does non await at pension investments, some of their finding tin dismiss endure applied to the UC retirement situation, in addition to the key lesson is that at that topographic point needs to endure to a greater extent than faculty in addition to employee oversight over risky investment strategies that cater to the interests of wealthy trustees in addition to regents. As the stock marketplace continues its rollercoaster ride, universities are motivated to essay out high-risk investments inwards guild to brand upwards for past times losses; this is genuinely a recipe for disaster.
An of import lesson that the University of California should larn from this analysis is that the investment strategies of hired traders should endure closely monitored; this study equally good shows that the trustees in addition to regents of these wealthy institutions frequently convey a huge conflict of interest. Since many of the people overseeing universities instantly come upwards from the the world of speculative finance, they are unlikely to shift coin into to a greater extent than stable forms of investments. Moreover, due to the tax-exempt condition of these schools, they are to a greater extent than prone to engage inwards high-risk trading.
Another effect discussed past times the Tellus study is that since these schools pay real picayune taxes on their huge existent estate holdings, they goal upwards impoverishing their habitation towns in addition to cities. Furthermore, all of these schools move past times away on to increase their huge income disparities equally coin flows to the top, in addition to low-paid workers come across their salaries stagnate.
While this study does non await at pension investments, some of their finding tin dismiss endure applied to the UC retirement situation, in addition to the key lesson is that at that topographic point needs to endure to a greater extent than faculty in addition to employee oversight over risky investment strategies that cater to the interests of wealthy trustees in addition to regents. As the stock marketplace continues its rollercoaster ride, universities are motivated to essay out high-risk investments inwards guild to brand upwards for past times losses; this is genuinely a recipe for disaster.