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Princeton University: endowment and investment office
Princeton University reports USD 42.30 billion in university endowment for June 30, 2026. Balance source
Princeton's university-published Alumni Weekly reports a 23.7% FY2026 return and an endowment of $42.3 billion. The five- and ten-year annualized returns were 6.7% and 11.3%. The university continues to use an 8% long-term investment-return planning assumption. Endowment support covers roughly two-thirds of its operating budget. Restrictions on donor gifts and purposes govern where that support can be used. Official report
Key facts
- Reported value
- USD 42.30 billion
- As of
- June 30, 2026
- Portfolio
- Endowment
- Investment office
- Princeton University Investment Company
Endowment size and reporting scope
The latest balance is labelled university endowment and is dated June 30, 2026. The return series identifies the portfolio as Endowment. The historical survey below retains the respondent scope reported to NACUBO. A pooled investment vehicle can include working capital, reserves or assets for associated organizations alongside endowed gifts. Each participating fund owns its own economic interest in that vehicle. The pool's market value, the institution's endowment balance and the investment manager's corporate assets describe different quantities. Official report
| Fiscal year | Survey endowment, USD millions |
|---|---|
| FY2016 | 22,152.6 |
| FY2017 | 23,812.2 |
| FY2018 | 25,917.2 |
| FY2019 | 26,116.0 |
| FY2020 | 26,558.6 |
| FY2021 | 37,697.5 |
| FY2022 | 35,794.2 |
| FY2023 | 34,058.8 |
| FY2024 | 34,052.3 |
| FY2025 | 36,415.0 |
Across the reported FY2016 to FY2025 observations, the survey balance changed by USD 14,262.4 million (64.4%). This is balance growth; it includes the effect of new capital and distributions. NACUBO historical values FY2025 respondent table
Investment returns
| Portfolio | Period end | Horizon | Reported return |
|---|---|---|---|
| Endowment | June 30, 2026 | 1 year | 23.7% |
| Endowment | June 30, 2026 | 5 years, annualized | 6.7% |
| Endowment | June 30, 2026 | 10 years, annualized | 11.3% |
The 1-year result is 23.7%, while the 10-year result is 11.3% annually. The trailing periods share the same end date and overlap; their percentages are not added together. A long-term annualized return describes compound growth over the full period. The year-end asset balance also reflects money entering or leaving the portfolio. Return series
Spending policy and payout
Princeton's audited endowment roll-forward records $1,816.144 million appropriated for expenditure during the fiscal year. Appropriations reduce the endowment balance and help explain why a positive investment result does not translate into the same percentage increase in reported assets. Spending disclosure
| Fiscal year | Reported endowment distributions, USD millions |
|---|---|
| FY2025 | 1,816.144 |
A distribution is money made available for the fund's designated use. A policy rate uses the averaging base defined by the institution. Dividing the distribution by the latest closing balance would create another measure, so the published formula and the reported dollar amount retain their own labels. Distribution basis
Governance and investment office
Princeton University Investment Company, known as PRINCO, manages the university's endowment. Investment management and university spending decisions have separate responsibilities. The board's budget process determines how distributions support teaching, research, financial aid and facilities. Investment governance
Federal excise tax on investment income
Public Law 119-21 changed IRC 4968 for tax years beginning after December 31, 2025. An applicable institution must have at least 3,000 tuition-paying students in the preceding tax year, with more than half located in the United States. Its student-adjusted endowment must be at least $500,000. The rate is 1.4% from $500,000 through $750,000 per student, 4% above $750,000 through $2 million, and 8% above $2 million. Enacted law, Section 70415
The tax applies to net investment income. Student-adjusted endowment uses the prior year's fair value of assets other than those used directly for exempt purposes, with statutory student-count and related-organization rules. Dividing the headline endowment by a fall enrollment number can give a different result. A rate on investment income also differs from a spending-policy percentage applied to average assets.
FY2025 size-band comparison
The FY2025 NACUBO respondent value of USD 36,415.0 million places this reporting entity in the Over $5B band. The published group contains 30 respondents. Its average annualized five-year return was 11.4%, its ten-year average was 8.9%, and its average effective spending rate was 5.0%. These are survey averages for FY2025. Respondent counts Average net returns Spending-rate table
| NCSE measure | FY2025 average |
|---|---|
| One-year net return | 11.8% |
| Five-year annualized net return | 11.4% |
| Ten-year annualized net return | 8.9% |
| Effective spending rate | 5.0% |
NCSE returns are net of external management fees and expenses for periods ended June 30, 2025. A portfolio reported on another cost convention or fiscal-year end describes a different result. Survey allocation definitions
Public records and reporting dates
The official investment report supplies the portfolio figures and measurement dates on this page. The institution or related reporting entity also has a public nonprofit filing record. Tax-return assets and expenses cover that legal filer and can be broader than its endowment. Nonprofit filing record
Sources
- https://paw.princeton.edu/article/princetons-endowment-returns-for-2026-grows-to-42-billion
- https://edge.sitecorecloud.io/nacubo1-nacubo-prd-dc8b/media/Nacubo/Documents/research/Final-Endowment-Market-Values--2023-to-1974-Revised.xlsx
- https://edge.sitecorecloud.io/nacubo1-nacubo-prd-dc8b/media/Nacubo/Documents/EndowmentFiles/2025-NCSE-Endowment-Market-Values-for-US-and-Canadian-Institutions-FINAL.xlsx
- https://finance.princeton.edu/sites/g/files/toruqf151/files/documents/Financial%20Statements%20FY2025.pdf
- https://www.congress.gov/119/plaws/publ21/PLAW-119publ21.pdf
- https://edge.sitecorecloud.io/nacubo1-nacubo-prd-dc8b/media/Nacubo/Documents/EndowmentFiles/2025-NCSE-Public-Tables--Number-of-NCSE-Participants-FINAL.pdf
- https://edge.sitecorecloud.io/nacubo1-nacubo-prd-dc8b/media/Nacubo/Documents/EndowmentFiles/2025-NCSE-Public-Tables--10-Year-Returns-by-Size-and-Type-FINAL.pdf
- https://edge.sitecorecloud.io/nacubo1-nacubo-prd-dc8b/media/Nacubo/Documents/EndowmentFiles/2025-NCSE-Public-Tables--Spending-Rates-FINAL.pdf
- https://edge.sitecorecloud.io/nacubo1-nacubo-prd-dc8b/media/Nacubo/Documents/EndowmentFiles/2025-NCSE-Public-Tables--Summary-Asset-Allocations-FINAL.pdf
- https://projects.propublica.org/nonprofits/organizations/210634501
- https://endowments.com/
- https://familyoffices.com/
Related profiles
- Stanford University (USD 61.50 billion)
- Yale University (USD 54.50 billion)
- Massachusetts Institute of Technology (USD 29.20 billion)
- The University of Pennsylvania (USD 31.10 billion)
- University of Notre Dame (USD 20.09 billion)
- Harvard University (USD 68.00 billion)
Lists that include Princeton University
- New Jersey endowments
- Endowments of $10 billion or more
- Endowments over $5 billion
- Foundation endowments
- Largest endowments by state and institution group
- Largest private institution endowments
- Top 100 endowments by FY2025 survey size
- Top 25 endowments by FY2025 survey size
- Top 50 endowments by FY2025 survey size
