17 Burst results for "Harvard Endowment"
"harvard endowment" Discussed on KLIF 570 AM
"With Stanford University management professor Joel Peterson and his road to cancellation. Stanford I gather is a private research university, but that doesn't mean it doesn't receive some tax dollars. I would assume federal and state tax dollars. Yes, that's correct. All right. And if you go to some other schools, let's say that are in fact public universities that is to say schools that are part of a state university system. This argument of mine is even more the case. Why are the heads of the education committees of the Statehouse and state senates? Not dragging in the chancellor's The Dean's The presidents of these schools, reading the riot act and demanding that there be reform and not eventually, But now or they don't get one penny of state tax dollars. I understand politicians can be cowardly. There's no courage required here. Any politician except from a tiny handful of districts will pick up votes from such a stand. Why is this not happening? Well, I think there are a lot of politics around it. If you think about university presidents and dance, it's a highly political system. Well, then, good. Let him let him let him start paying attention to the fact that they don't get any more money if they don't make changes. But you know, people on the right are not speaking out. They're intimidated. They're afraid of being, uh, corporations that are letting people go. Uh, you have all kinds of movements, so I think there is in the air. There is this sense of, uh, hair triggered words that can't be used people being called racist. Everything is racist now, Uh so I've been called a racist. And I don't have a racist opponent. My body. Uh but you know, it's easy. Anything you don't like you call racist and nobody wants that. Uh, that name applied to them. I mean, nobody wants him. But nobody believes that coming from these people. It's reached the point now where these people could call out an active member of the Ku Klux Klan, and we would have to think twice. Do I really believe these people? They have no credibility. I think you vastly underestimate The the feeling on the right. The feeling on the right is not intimidation. The feeling on the right is to kick these clowns out of positions of public authority. I'm teaching in California. Jim. And you're saying that the whole state is dedicated to this notion? The whole state of California is very left leaning. You know, the government is one party government. I think people about a Sacramento now there has been some some concern. As you know, the governor has been recalled. But I think he'll probably, uh, survive that. And so you're saying that that you find widespread across the state of California support For this kind of behavior that they really want their their their universe to be, Uh, created this way with the First Amendment gone down the drain with left wing fascism running rampant That's really the desire of the people of California. Really? Well, I don't think they thought about it that way. Well, maybe they might start thinking about it. I mean, there May I was just this afternoon on the phone with teachers, one that teaching award at Harvard Business School. She said. Some of the same thing is happening there. The students come through these Ivy League campuses, and they are kind of indoctrinated. They're taught at certain kind of history. There's they're taught a certain way of thinking. And so I think in a lot of these Sort of high powered schools with privileged young students. They are taught a certain way. I'm sure they are, but that doesn't mean the rest of us pay any attention to them. I mean, I think that in fact, what you just mentioned has undercut seriously the rationale. I mean, we've always known that you get a quote. Quality education at a Stanford or Harvard or a Yale these days. I don't think that that is taken as a given anymore and and, of course, the amount of money you pay for the privilege. I think that that is seriously undercut far from being a nation that bows down and frankly worships Stanford grads or Harvard grads or Yale grads where Princeton grads I think it's becoming just the opposite. And that may be partially unfair, but but I don't think I don't see the whole nation saying Oh, what was us? There's nothing we can do about it. I see a nation that says it's time that to stop this by any means necessary. And if that means cutting off funding, then so be it. Don't send your kids their don't pay the ridiculous tuition which you give a kid six figures of indebtedness so they can be an idiot, right? I mean, I I I I don't I don't see that. I mean, this notion that we're all just going to go off in the corner and suck our thumbs. Honestly, Professor, I don't see that. Yeah, well, you make a compelling case. I would say that in these campuses, it's still a very powerful force. Well, money talks and you start threatening the the source of funds. I know that there are a lot of schools that are pretty independent. Goodness. Those the Harvard Endowment probably exceeds the GDP of many members of the United Nations. That fact notwithstanding, then let them go off and let them let them teach fewer and fewer students every year. I would think more and more parents are becoming aware of what's happening and are saying flat out that you're not getting any money from me if you go to some of these schools, and unfortunately, Stanford Has putting itself on that list..
"harvard endowment" Discussed on WMAL 630AM
"How the entire Blyden campaign was the return to normalcy and the return to civility and unifying the country? I was just remember, that was sort of what we were promised here. Right. Well, it's Zbynek anything but and as an example. Even the latest example. President Biden sat down for an interview with Norah O'Donnell on CBS or the Super Bowl. Now this is an interview. That's going to air around the country to many, many people that don't follow. The daily INS and outs and the daily machinations of things going on in Washington and the craziness that we deal with inside the Beltway and those of us that were staunch listeners to conservative talk radio and Follows CNN and MSNBC and Fox News Now these air average people that are tuned in all this, but they're going to turn into the Super Bowl, and they're going to see President Joe Biden and I don't know why Norah O'Donnell asked him. But she asked him about whether President Trump should be offered the courtesy of defense briefings, which all former presidents have had that courtesy extended to them by their successor. However, here's how Joe Biden answered the question when asked by Norah O'Donnell. I just think that there is no need for him to have that that intelligent species, so if they're 70 some million Trump supporters around the country, many of whom are watching the Super Bowl. That's just going to tick them off because it ticked me off. And I just on a principle of any former president, whether it's trump or whoever just the principle that you know you're not going to extend the former president that courtesy. So here we go Chicken off everybody. That's a former Trump supporter in the middle of the Super Bowl. Now, if that didn't get you're going, I mean some of the stuff going on out there this week. So there is talk now of a $10,000 forgiveness of student loans that is now shot up. To the talk of $50,000 in student loans. And I did the math because they're 36 million outstanding student loans, and I'm not sure that all of them are 50,000. But let's say a bunch of them are if you do the math, there are so many zeros behind that when you multiply 36 million by 50,000. I can't even tell you with the number is because there's so many zeros behind it. And what that tells me is it's going to come out of your pocket and it's going to come out of my pocket because I don't think the Harvard Endowment Fund is going to pick up the tab on that. So be prepared for student loan debt repayments or payoffs and what that means to your taxes. When that's done, not to mention what they'll do to this capital gains tax and probably income tax. And what's gonna happen at the gas pump with gasoline tax, which people to judge our incoming transportation secretary has talked about. Haven't been raised in 1993. So might as well do it now. Why not? So that's just an example. Now. Another story, the Chiron I'm looking at on CNN. Chinese diplomat takes hard line in call to Secretary of State Blinken Well, that's good news. Chinese air testing is there. They've been chest testing us as well with Taiwan. So where does that go? But again, Chinese diplomat takes hard line in call to Secretary Blinken So they're clearly testing Joe Biden. That's not particularly encouraging. We don't see a whole effort toward unity when it comes to the stimulus package, the covert relief package. The Democrats seem pretty well set to go it alone without the Republican support if they don't get their way, So if the Democrats don't get their way is going to be another one of those 50 50 votes with Vice President Harris as the tie breaker. Now, here's what Joe Biden had to say about jobs, and I think it's kind of ironic. That he's talking about job This was yesterday, and he's talking about jobs. But keep in mind as you listen to this. How many jobs did he cost when he canceled the Keystone XL pipeline? How many jobs did he cost when he banned fracking on federal lands? Well, here's what he has to say about jobs. January. Job numbers came out today. And while we're grateful for everyone who found work and is earning a paycheck, it's very clear. Our economy's still in trouble, way added up just 6000 private sector jobs in the country last month. These aren't Democrat to Republicans. They're Americans and their suffering their suffering, not because of anything they did through no fault of their own their suffering. I see enormous pain in this country. Ah, lot of folks out of work. A lot of folks going hungry, staring at the ceiling tonight one. And what am I going to do tomorrow? A lot of folks trying to figure out how to keep their jobs. Well, you put thousands of people out of work your first day in office. What can I say? I mean, doesn't take a rocket scientist to figure out what this house. Well, if that doesn't make you feel good. Maybe Elizabeth Warren can brighten your spirits this morning. Remember? We were getting a centrist president. Moderates president the unifier. Well, here's how Elizabeth Warren views it. Show. Biden ran on the most progressive agenda ever, and now he is meeting the moment and we need to continue to hold everyone accountable to the promises that have been made. It's a good time. Maybe for you that necessarily for a lot of other people anyway, will continue. But first, let's check the latest on the traffic and weather. Michelle Murray's in the W E Mail Traffic Center this morning in Maryland, You will still find some accident activity on the Intercounty connector. Westbound outbreaks. Cheney Road where the right lane is blocks to stay to your left and use extra caution there..
"harvard endowment" Discussed on WTMJ 620
"Number eight six six ninety right I let's go to Jim in Gary Indiana Jim welcome you're on but I. radio welcome to the show about the Harvard getting that money hi good morning good night thirty minute break down Gerry and I would listen to you guys like Google Harvard's endowment yes it's conservatively worth between twenty two and forty billion dollars yes how in the world could even claim that they needed the money it doesn't make sense to me well it doesn't matter whether they claim they need the money or not it's the fact it's not Harvard's fault it's the fault of right it's it's the politicians putting together something so quickly that no thought went into it right which is what happens this is what happens when you say let's start spending trillions of dollars and come and and make the entire plan in just a couple of days it was inevitable that this was going to happen it's inevitable that there are people out there because we look at this gem about okay let's look at the nuclear family affect here of the stimulus payment and that's for a family of four thirty four hundred dollars right well did we have to we qualify every family there to determine whether or not they were affected by directly or indirectly by Colvin I mean but it it goes on or not go ahead yeah all right my wife tonight I'm a truck driver I'm working yeah my wife works for the gas company in Illinois she's working yeah right we're gonna take our twelve hundred whatever under dollars we're going to get and donated to our church wow all right yeah good good well the the the church of Eric in Gary yes if you want the address will make sure that you could get that immediately because we're honest in pure here yeah but you know this is the thought was and and and and what it was on the largest level Jim honestly was this desperation to change the psychology of a in terms of fear of the American people okay adult and that's what it comes down to and I would not want to be a governor a mayor a judge or president in a situation like or lawmaker in a situation like this because there is no win here but you couldn't sit back and do nothing except for the fact that all right now we can all take a breath and say all right what's next because we've had more time to judge the problem too I guess maybe qualify the problem in terms of the size the magnitude the effect on the economy and I think we have to be a lot more thoughtful going forward I expected them not not that I applauded the two point five trillion but I expected them to do a lot that first time out and thank you by the way we appreciate that and thank you truck drivers all of you Jim and everybody out there delivering the goods for America every single day we greatly appreciate that but it comes down to this I mean it comes down to from cnet you know I'm I'm hoping there is a foot on the brake pedal that we could look back at that we can stop and say okay that first round it was really a mess on many different levels we have to get in now with the scalpel and decide where that money is going to go where the smart money really is on solving a crisis this is emergency relief if we're going to do that that it needs to be focused on the relief the relief part of it for those who were affected full stop well you know you the fox news story here that's talking about the fact that restaurants the retail you know since the whole PPP was set up as a loan or a grant if you kept people hired.
"harvard endowment" Discussed on Thank God I'm Atheist
"Bit because I have someone to think before you get your someone to think. Bridget has become a faithful listener. Mehran pay pal fantastic. Thank you so much bridget. But we have a new faithful a listener over unpatriotic okay Kale Kale sale now. At least to find people did they went to automate theus Dot Com and click on support town clicked on the Dan and frank. Love me more tab. And then they signed up For whichever platform you. They felt better for them. And a level that the fits. What how they're looking at sports shop and if you're if you do over the Patriots there different levels of rewards and gain access to an retrievers show etc and of course you always get our undying thanks near speaking of wish speaking of which we do have our Lord and Savior our top donor? Dan Uh thanks guys the Franklin. Oh my God oh Franklin Listen I know as soon as everybody saw this story. They all knew we would have to talk about it. We being a former Mormons or foreman's ourselves. Yeah when this story broke the Washington Post. Yeah that a whistle blower had decided to blow the whistle on one of the Church of Jesus Christ of Latter Day Saints Auxiliary Companies. Right of which which they have several right. It's big news. Yeah and the big. The big headline was the number the this whistleblower throughout which is apparently backed up by a whole bunch of a of supporting documentation. Yeah that this one. One enzyme peak advisers which is a tax exempt subsidiary of the Church of Jesus Christ latter-day established as a charity established ellison as a charity is hoarding. Yeah like the Dragon. Hundred hundred billion dollars. Unbelievable I mean. It's perfectly believable food. You know that that that number doesn't surprise you too you much right except that one hundred billion dollars is just a lot of money no matter who you hear it from doesn't matter where what it's about like right but you got but just to throw it a little bit of perspective that is essentially. It's I think it's slightly more money than if you were to combine the Harvard Endowment Right and the bill and Melinda Gates Foundation's funds right and I believe it's at somewhere like it's still just slightly more. Yeah and it's like what in the fuck are they up to right but the But the reporters found out what they're up to they're saving for the second cut. Prices are up to fuck all. This is amazing. Because there's you know Dan the shirt. Yeah they legitimately said that this money is not for you know paying paying for the church which they could do with the proceeds from this this one fund they could actually fund the Church right. Yeah exactly never into never taken the dollar of tithing money ever again and still be fine. No no this fund is for the second skin coming of Christ. Well let me tell you what it's four have you ever. Have you ever put on a second coming of of Deity because it's an Expensive affair it takes. It takes a lot of smoke machine. You gotta be is you gotta you gotTa have cameras in in Jerusalem. You gotTa have cameras in Moscow. You gotta be all over the world. It is an organized satellite feeds. Oh every which way lasers you're GONNA you're GonNa just I mean the fireworks budget. Oh my God God no kidding and I think you gotTa do it for the full millennium just keeps going okay so what we have here and just so if you didn't hear about this. The reason that a whistle blower matters in this case. Is that the whole point in this country anyway of FHM check quote unquote charitable organization or with religious affiliation. Which means that they they have the they have is that they have go? They have a mission. Yeah a charitable mission and all of the money that they bring in or at least a the money that they have must be used used. Yeah four that charitable mission and in like like inner proportionally viable way to their holdings correct act and there is some again some of the things. I've gathered It it's a loose definition. They're like it's not like the they say it must be X. percentage and more like it's just sort of understood you have a mission you go about uh-huh using these funds for that mission. Yeah right and it doesn't have to be like some vast like it doesn't have to be like a majority of the money we know right now. I mean just has to be a significant amount to to show that you are legitimately a charity right. Well let's just back up a little bit. How much money of this has have they ever used from this fund for Charity? Dan I can. I can actually give you that exact figure off the top of my head all really a normally. I'm not good at that because numbers kind of bounce off of me like I made a rubber but in this case I can't give you that number because it is zero. They've never paid out not anything. No in fact the only expenditures that they've had and this is where they also have a major major. Major problem is that they I used about two billion dollars from this fund to prop up two different church owned companies one. These are for profit for profit the company so this is completely inappropriate unless they kept it as they could have given them loans. They kept it as a liability on their on on their books but they didn't just gave gave them the money and so so that. So apparently the insurance Company Yeah Beneficial Life Insurance Right got. I can't remember what they said. It was over half half a billion dollars in the hundreds of millions hundreds of millions. Wasn't it yeah because the mall that they hadn't finished building yet that it was a bad time. Yeah research served three session. And you know there were overages and so they spent an extra one point. Four billion dollars is on the mall. Now guys if you ever come to Salt Lake City is a really Nice Mall. It's fine it. All Malls River goes through it with with the stocked with trout. I guess what I mean by a Nice Mall is that you can see every dollar spent on it. Oh Yeah you you know what's a yeah it is. It is inexpensive mall. Yeah it's a it's a mall that you don't even know if it's an indoor or an outdoor mall. Do tractable roots retractable roofs. Yeah it's basically a sports stadium for shopping. The sport for some people it is. You've movement my wife. We know anyway but the point is the point. Is that an enzyme. Peak Advisors It's not set up as a as a bailout for For that they're set up to as a charitable organization as an pigs in the mall. They were needy. It was so it was needed and same with the but get this. Did you pick up on the details about beneficial life. So the church like like it is a known thing. The recession hit the beneficial. Life was really exposed with like some bad like investments that they had done and they were in deep all that mortgage crap That you know 'cause economy to tank and so that's that's what that's why they had to be built out well. Nobody really knew how much money the church just dumped. In and so the heads of beneficial life took the opportunity to layoff like fifty percent of the company. They didn't have to know they just got hundreds of millions of dollars just pumped into them and now let's just lay. We asked people to the Church owned company. Yeah so okay the Church did this the Catholics. We talked about a couple of weeks ago. We I just found out that they're they're big charitable wing. Down had also just been funneling money. They they weren't hoarding it. They you were just funneling it into like well into the either there. There's some cardinals that are on some some ships right now very happy with their. They're your ships right. Yeah Yeah but when you have an endowment this large. Leave it to the Mormons Norman's at least somebody go off and be a playboy in on the Mediterranean at least the card the Catholics. No that much hoarding this much money. It's unconscionable for an event that they don't know when it'll happen right I mean I don't believe that that's what they were thinking. That thing is no one's trying to deny you from having a rainy day fund or from having a big as Mitt Romney he put it a rainy decade fund right and I was actually like well done Mitt Romney. Yeah he was like. I think it's good. I think it's good. They have a rainy day fund. Well in this case may be arranged. Yeah one hundred billion that last year a while. Yeah it's it's like you know no one saying you can't. You can't have money because as somebody pointed out that I read. Charity is a cyclic. Is a counter-cyclical thing when things get worse for people when people need the most charity. That's when the least money comes into the charity. You know what I mean. So it's like sure so so yeah you need. You need to be ready for that mind you are. They doing charity work with no right. Even if they were using this all they would be doing is building living more churches building more temporaries. So here's the deal. The church had an official response to this whole thing. And while they denied that they've done anything wrong tax wise and this and that Blah Blah Blah. There are a couple of things that stood out. They never anywhere in the statement. said it's this. This on is ludicrous. No they never denied the south. Oh I feel like the some has been confirmed by the their failure to address it and then the other thing is that they once again brought up the amount of charity work that they do right which is in some of about forty you to fifty million dollars a year which is A. That's a great some but if you look at the so the guy this whistle blower he says that this fund and this is a billion dollar fund has a return rate an annual return rate of about seven percent right. Yeah you could. He's really give away a couple of billion dollars a year and this thing would be perfectly fine it would keep growing. It'd be feeding inflation nations. That's a concern. When you have that much money right like like they would be fucking fine away literally literally billions of dollars a year? Yeah one of the greatest forces private forces for humanitarian aid and support. That has ever have been known. It would be the greatest one ever and they haven't done it they haven't done Jack. Shit here's the thing is already million dollars of charity work which they also include their own internal numbers in that right. Yes the support that they're giving to their own memo. They don't really have much support to anyone but their own member like this. It's doing administrational occur. Hurricane thing right Some aid whatever. Yeah they literally with if you've got one hundred billion dollars sitting around and you are giving away forty million and your mission quote unquote mission is charity. You have you are L. Satan miserably. You are evil because that because you're right even if they just wanted to maintain an insane amount of of maintain grow yeah they could easily let keep growing obscene numbers. And then maybe maybe it's three billion a year because maybe then it's five billion right because they have that much goddamn fucking money because forty million dollars is nothing. Four hundred million dollars is nothing. We're talking about. They could give away four thousand million dollars. Yeah that's insane. It's infuriating and and also by the way lest anyone be a dancing to happily at the news of this whistle blower yeah. It's unlikely that anything's going to actually happen right. The you know the irs irs has been alerted. They've been given supporting documents they now.
"harvard endowment" Discussed on 90.3 KAZU
"In traffic in Santa Cruz highway one northbound at highway seventeen northbound they have a report of a car out of gas in the roadway sees p is on the scene. Expect some slowing in that already slow area. It's five forty nine. This is marketplace, I'm KAI Ryssdal. The central coast to California is one of the state's key growing regions climate soil. Also because agriculture and all the ready access to water make the land in the grapes, their key commodities. But also good investments in ways, not always visible to those not in the know among those definitely in the know, though, are the people running Harvard University's endowment which five maybe six years ago quietly started buying vineyards up on the California's central coast. Russell gold had the story on the Harvard endowment. And it's Ag investments for the Wall Street Journal good to have you on program. Thanks for having me on the theory that the Harvard endowment folks know what they're doing. Why were were they buying this land for above market prices all the way back in two thousand twelve well what they were doing is that they were grabbing land right in the middle of the drought in California when agricultural land that had good. Access to water was starting to develop premium and basically made a premium on on cultural land that had water and started to discount land the didn't. So look the catch is that to make wine. You need grapes to make grapes you need water. And that's what's going on here. Oh, absolutely. I mean, the the the the weight of your average wine grape is about seventy five percent water without water. You do not have grapes. You don't have wine. So in order to make a go of of this agricultural investment. They needed to make sure they had good water. And that's really what they did. If you look at where they purchase their land. They made sure that they were where the water was still good just to get to the water wind comparison leave leaving the biblical story ahead of it. There's a great phrase in this piece, the the math proxy for the investment in water turning into money with wine run me through that. So remember the investor Michael berry who very famously made a big. Bet against the housing market running up to two thousand and eight rate at the end of the bulk and the movie the big short. There's a little tagline in the movie that says, well, you know, Michael berry is now investing in water and the way he's investing in water. If you dig into it as we did is that he's making purchases of agriculture. You can't take the large shipment of water from California and take it somewhere else like you can with oil. So if you can't move water what you can do is use the water where it is to grow crops and then move those crops. California wine is a globally sought after product. And so essentially what Harvard's doing is that they were growing grapes and developing wine in a in a place, which still had good water and then selling that wine. But essentially what it comes down to is. You can't do that without water. So let's actually look farther down the road. Then though with a warming climate and water becoming these scarce commodity Harvard's of sit and Brady they're going to be sitting on top of one of the largest groundwater basins west of the. Mississippi. I mean that in and of itself becomes an asset. And you make a good point. The climate is changing water is going to become more places and more scarce in places, and if you're sitting on top of agricultural land, where it's becoming increasingly difficult to grow crops, but you've got one of the last few good values, which has water that's going to be a good investment. A word here for the surrounding grape growers and farmers up near this Harvard investment one wonders what they're thinking about all this. Well, there's some nervousness going on especially among some of the local residents. You have a lot of rural residents out there people who've moved out from the cities to to less expensive land and they're on well water. And all of a sudden, they're wells are not deep enough. They've got to be paying tens of thousand dollars to to deepen their wells. And so they're getting upset. They're getting upset at some of these larger industrial type agriculture operations moving in that are able to drill wells a thousand feet deep and. And there's been some showdowns downs in front of the county board of supervisors there was some yelling and finger pointing and I suspect that's that's this a little glimpse of what we're going to see more of in the future. Russell gold writes on energy also water. Most recently for the Wall Street Journal Russell thanks a lot. Appreciate your time. Thanks for having me. Here with the conundrum of this digital age. How to reconcile the useful and necessary capabilities that smartphones bring with the well with the distractions that they bring as well. Right because business case in point the travel industry, you know, the drill bright and any crowd of tourist you will find lots of phones in people's hands. And they could be pretty useful for finding your way around the streets of Paris or shrink, friends and family would agree time. You're having wherever you are. Or we should be fair staying in touch with the office if you absolutely have to. But the thing is there are large parts of the travel industry that would just as soon you put the thing away. Marketplace's Renata sago has that one. Some resorts are offering perks like free snorkeling tours to guests you manage to give up their devices for a few hours a resort in. Puerto Vallarta offers a detox concierge to replace phones with boardgames psychologist art Markman at the university of Texas at Austin says cell phones are competition for an industry whose product is the here. And now you're supposed to get. Away from everything. And the thing about your cell phone is it connects you back to all the things that you were doing before you were on vacation in. It's one thousand sixteen study Markman found that people who use their phones for more than two hours each day during a we're more likely to have trouble remembering their trip. So it makes some sense for the travel industry to at least try to get people off devices, even if it means fewer Instagram posts, featuring their businesses. It's lunch hour at the Wyndham. Bonnet creek resort in Orlando. Waiters are settling menus Dockery's. And my he's sandwiches to suntanned guests at the poolside restaurant. The area is surrounded by palm trees, there's even a lake nearby filled with Hoy fish, Harry Thomann is not looking at any of this. The construction manager arrived from Buffalo New York. Just a few hours ago with his wife and daughter for a weekend vacation, but he's scrolling through emails on his fine. I have stuff going on at work his daughter Carly at twenty year old college student majoring in communications has her head down to seize snap chatting to a sunshine deprived audience back home.
"harvard endowment" Discussed on KCRW
"Slowing you down out there. On the southbound four zero five just north of Studebaker. It looks like a mini van is blocking the number three lane and people somebody's out of their vehicles. So watch out in that area. Also in cerita eastbound ninety one before Studebaker wrote a crash blocking the carpool and left lane. Has you backed up from Avalon hard. Holy thanks so much right now, sixty three degrees in Calabasas at four eighteen. This is marketplace, I'm KAI. Resolve the central coast to California is one of the state's key winegrowing regions climate soil. Also because agriculture and all the ready access to water make the land in the grapes, their key commodities. But also good investments in ways, not always visible to those not in the know among those definitely in the know though, or the people running Harvard University's endowment which five maybe six years ago quietly started buying vineyards up on the California's central coast. Russell gold had the story on the Harvard endowment. And it's ask investments for the Wall Street Journal good to have program. Thanks for having me on the feary that the Harvard endowment folks know what they're doing. Why were were they buying this land for above market prices? All the way back in two thousand twelve well what they were doing is. They were grabbing land right in the middle of the drought in California. When agriculture land that had good access to water was starting to develop a premium and basically made a premium on on cultural land that had water and started to discount land the didn't. So look the catch is that to make wine. You need grapes to make grapes you need water. And that's what's going on here. Absolutely. I mean, the the the the weight of your average wine grape is about seventy five percent water without water. You do not have grapes. You don't have wine. So in order to make a go of of this agricultural investment. They needed to make sure they had good water. And that's really what they did. If you look at where they purchase their land. They made sure that they were where the the water was still good just to get to the water wind comparison live leaving the biblical story ahead of it. There's a great phrase in this piece, the the math proxy for the investment in water turning into money with wine run me through that. So remember the investor Michael berry who very famously made a big bet against the housing market running up to two thousand and eight rate at the end of the book and the movie the big short. There's a little tagline in the movie that says, well, you know, Michael berry is now investing in water and the way he's investing in water is if you dig into it as we did that he's making purchases of agriculture. You know, you can't take the large ship. Amount of water from California and take it somewhere else like you can with oil. So if you can't move water what you can do is use the water where it is to grow crops and then move those crops. California wine is a globally sought after product. And so essentially what Harvard's doing is that they were growing grapes and developing wine in a place, which still had good water and then selling that wine, but essentially what it comes down to as you can't do that without water. So let's actually look farther down the road. Then though with a warm climate and water becoming these scarce commodity Harvard's gotta sit and Brady they're going to be sitting on top of one of the largest groundwater basins west of the Mississippi. I mean that in and of itself becomes an asset. And you make a good point. The climate is changing water is going to become more places and more scarce in places, and if you're sitting on top of agricultural land where it's becoming increasingly difficult to grow crops, but you've got one of the last few good values which has. Water. That's going to be a good investment. A word here for the surrounding grape growers and farmers up near this Harvard investment one wonders what they're thinking about all this. Well, there's some nervousness going on especially among some of the local residents. You have a lot of rural residents out there people who've moved out from the cities to to less expensive land and they're on well water. And all of a sudden, they're wells are not deep enough. They've got to be paying tens of thousands of dollars to to deepen their wells. And so they're getting upset. They're getting upset at some of these larger industrial type agriculture operations moving in that are able to drill wells thousand feet deep, and there's been some showdowns downs in front of the the county board of supervisors there was some yelling and finger pointing and I suspect that's that's this a little glimpse of what we're gonna see more of in the future. Russell gold writes on energy also water. Most recently for the Wall Street Journal Russell thanks a lot, Tom. Thanks for having me..
"harvard endowment" Discussed on KQED Radio
"Here in about ten minutes with traffic, then at four thirty on all things considered the government shutdown is hampering immigration enforcement, including the e verify program that story is coming up in the very first segment of all things considered. The program starts at four thirty here on San Francisco and KiKi we I north Highland Sacramento. This is marketplace, I'm KAI. Resolve the central coast of California is one of the state's key winegrowing regions climate soil. Also because agriculture and all the ready access to water make the land in the grapes, their key commodities. But also good investments in ways, not always visible to those not in the know among those definitely in the know, though, are the people running Harvard University's endowment which five maybe six years ago quietly started buying a vineyards up on the California's central coast. Russell gold had the story on the Harvard endowment and its investments for the Wall Street Journal good to have you on program. Thanks for having me on the theory that the Harvard endowment folks know what they're doing. Why were were they buying this land for above market prices all the way back in two thousand twelve well what they were doing is that they were grabbing land rate in the middle of the drought in California when cultural land that had good access to water was starting to develop a premium and basically made a premium on cultural land that had water and started to discount land that didn't. So look the catch is that to make wine. You need grapes to make graves you need water. And that's what's going on here. Oh, absolutely. I mean, the the the the weight of your average wine grape is about seventy five percent water without water. You do not have grapes. You don't have wine. So in order to make a go of of this agricultural investment. They needed to make sure they had good water. And that's really what they did. If you look at where they purchase their land. They made sure that they were where the water was still good just to get to the water wind comparison leave leaving the biblical story ahead of it. There's a great phrase in this piece, the the math proxy for the investment in water turning into money with wine run me through that. So remember the investor Michael berry who very famously made a big bet against the housing market running up to two thousand and eight rate at the end of the book in the movie the big short. There's a little tagline in the movie that says, well, you know, Michael berry is now investing in water and the way he's investing in water is if you dig into it as we did is that he's making purchases agriculture you can't take the large ship. Of water from California and take it somewhere else like you can with oil. So if you can't move water, would you can do is use the water where it is to grow crops and then move those crops. California wine is a globally sought after product. And so essentially what Harvard's doing is that they were growing grapes and developing wine in a in a place, which still had good water and then selling that wine. But essentially what it comes down to as you can't do that without water. So let's actually look farther down the road. Then though with a warming climate and water becoming these scarce commodity Harvard's. Gotta sit in Brady they're going to be sitting on top of one of the largest groundwater basins west of the Mississippi. I mean that in and of itself becomes an asset. And you make a good point. The climate is changing water is going to become more bunt and places and more scarce in places, and if you're sitting on top of agricultural land where it's becoming increasingly difficult to grow crops, but you've got one of the last few good valleys, which has. Water. That's going to be a good investment. A word here for the surrounding grape growers and farmers up near this Harvard investment one wonders what they're thinking about all this. Well, there's some nervousness going on especially among some of the local residents. You have a lot of rural residents out there people who've moved out from the cities to to less expensive land and they're on well water. And all of a sudden, they're wells are not deep enough. They've got to be paying tens of thousands of dollars to to deepen their wells. And so they're getting upset. They're getting upset at some of these larger industrial type agriculture operations moving in that are able to drill wells a thousand feet deep and there's been some showdowns. There was downs in front of the the county board of supervisors there was some yelling and finger pointing and I suspect that's that's this a little glimpse of what we're gonna see more of in the future. Russell Gould writes on energy also water. Most recently for the Wall Street Journal Russell thanks a lot. Preach, tom. Thanks for having me. Here with the.
"harvard endowment" Discussed on Invest Like the Best
"Short term results and that's a challenge and then you know it's interesting because my jury still out on sovereign wealth funds because they should have a long horizon and high tolerance they're pushing around big dollars playing in a different strategy of the venture space but what i'd say is that that i've also seen sovereign wealth funds kind of in two thousand one thousand two retreated pretty aggressively so i think some will be good longterm investors but others won't it's funny because you do have to look at venture through its own prisoner private asset suitor in prison because you can't almost can't integrate them in a portfolio wide a model moderate because the steel prices are amazing so one of the dirty secrets is venture and private equity almost have a pacifying effect on volatility in large institutions if for no other reason than for the marginal other mark right it's interesting because i think learner and gummer's at harvard took the s and p five hundred and marked it daily and then they would market just a daily series and then they took the jan to mark rolled it forward to the end of the quarter then roll over and they got like a point six five correlation of the snp versus itself which by the way point six i was like what most people use for private equity correlation i will say the other thing so backed his question the reason i bring this up is you really have to understand kind of holistically what your aims are and what role it venture plays and private equity play in in your portfolio and it was funny because one of my favorite stories in the this is more of a story than that proposed nothing but in the early two thousands there's this great guy good friend of mine a great mentor to me who is at the harvard endowment and there was a fun that they were in harvard where they raise a lot of money and they were in the in a position where they had a big management fee draw and one year two thousand one or two thousand is a really quiet your adventures they didn't draw a lot for investments so basically it just.
"harvard endowment" Discussed on The MMQB Podcast with Peter King
"The high you know hydrated out the wazoo what do you think of all the i don't like it i don't think the science backs it up a works for tom good for tomic that's great and in god it's amazing what he's doing is no question about that i think he's been lucky i think he's been of beneficiary of the new rules i think he's surrounded by a tremendous coach owner in staff and it's all worked with them but i and i think it's a mistake to continually tease i'm irish i don't go around saying oh things are going great and for tomba you know tom versus time and to to to promote the notion that you are impervious from injury or that if you do this this will not happen to you i think it's bad messaging i think it's bottom feeding i'm not a fan of it with dan shaughnessy the boston globe dan tell me in your mind right now what's football going to be like in ten years well that's a good question of thought on all level yeah i mean first of all i don't see i know the concussion problem is very real and i understand you know again my kids are older i'll have grandsons maybe i'll have a vote whether they play football or not i don't think it's necessary to play tackle football young ages but i think that the the the places where the nfl is drawing from are not going to be affected by the concussion problem that the single parents or the people in impoverished lands are not going to prevent their sense of playing football and brownsville texas or western pennsylvania florida california that the market of the pool of players still going to be there but i think it's going to affect the dual county league near where i live in newton and you know white suburbia football i think is going to fade away a little bit i understand that uh television ratings i still i know they're down but it's still when i hear nfl ratings are down it's like hearing that harvard endowment is down to me second like what harvard endowment is.
"harvard endowment" Discussed on Money For the Rest of Us
"Centrally the return on the portfolio less the risk free rate divided by the volatility as measured by standard deviation and hire the sharp pressure the better and he looked at that returns and he compared it to the moderate model portfolio on money for the rest of us plus and it he only could get about two years the data going back based on those monta portfolios and he found his lead it better this uscentric portfolio return eleven point five percent over that roughly two your period versus nine point three percent for the model portfolio so is that a better performance just all us in terms of both stocks and bonds or is a diversified approach better at that certainly historically over that to your period that was the case better to be all us but again valuations increased but what i went to look at is when i put together portfolio maion or model portfolio i'm looking forward and time what's the expectation now i didn't apples to apples comparison because the motto portfolio's a money for the restless plus of only been in place since april first 2016 so when i compare his portfolio to the model over that same timeframe and that moderate portfolio is forty percent bonds has similar to his but it's more diversified its scott merchant market banza has some some bank loans etcetera an app for portion the time period ahead highyield bonds so it's forty percent bonds it's fifty percent stocks but only the stocks only about thirty six percent is in the us versus one hundred percent for his portfolio in includes twenty one percent in emerging markets and has 10 percent in income strategy such as reads and master limited partnership now.
"harvard endowment" Discussed on Money For the Rest of Us
"At hasn't been the case conservative fund the funds returned as i mentioned one point eight percent annualized gets drug down by fees and that's another one or carlson's point the cost can be prohibitive can put money in alternative investments make sure you're getting the bang for your bucket and sometimes the these programs just aren't able to get access to the funds and that can impact now another impact though was the us stock market just did significantly better then the international stock market one of the allocations idea this i asked okay a forty forty twenty portfolio so forty percent us stocks forty percent bonds twenty percent international returned five point eight five percent annualized for the ten years ending june 2016 what if the mix was different what it was more like the global stock market which is about half us half nonu s in this case let's look at it a forty percent bond portfolio thirty percent us stocks in thirty percent nonu s stocks that returned five point three percent so closer to how the endowments had had done why did the us stock market do better than the nonu s stock market what come more expensive the price to earnings ratio of u s stocks for that 10year period when from this is the msci us index went from eighteen point to the twenty one point seven so when a up about three and a half points where's nonu s stocks return there they're p e went from sixteen point seven to eighteen point two over the 10year period so this is what investors willing to pay for a dollars or equivalent foreign currencies worth of earnings so if investors willing to pay more that pushes up valuations and leads to higher returns nine us stocks the valuation increase was only one and a half points versus three and a half points for us stocks and emerging market valuations actually got more attractive they're p e went from thirteen point seven and two thousand six down to twelve point three in june 2016 and so that was a drag on performance also just because valuations got cheaper and so.
"harvard endowment" Discussed on Money For the Rest of Us
"There's no end of these endowments they invest for perpetuity so they need longterm returns of seven and a half 8 percent or higher and the can't get them investing just in the us bond market and in global stocks that the returns just aren't there and so they either have to cut their spending rate or the going to have to see if they can pick up some additional return and in that most recent 10year period if flat out didn't work the question is will it work going forward because that 10year period of time again saul the bond market return five percent annualized i have a hard time believing the bond one of the math says the bond market over the next ten years will probably based on current yield to maturity or return around two and a half percent annualized says endowment to looking for our there are other asset classes that can do better than that investment in energy infrastructure perhaps via master alumina partnership investments in private energia private real estate deals by out in venture capitals now one of the things that carlsson points out is that the low hanging fruit has been picked maybe you're not going to get the premiums you historically have gotten with private equity particularly as more and more colleges invest in it and i think there's true that's true in not gonna get as high as return but i do think you could do better than the bond market and potentially better than the stock market with these private investment but it takes time to build out a programme in it definitely been a drag for those newark programmes over the past ten years now hedge funds is a different story not convinced i think so much money has gone to hedge funds and hedge funds the whole idea is that they're smarter than everyone else and that they can get some type of informational edge and deliver returns that perhaps equivalent to the stock market certainly better than the bond market but that.
"harvard endowment" Discussed on Money For the Rest of Us
"In hedge funds because they don't have enough capital so they'll go into a fund a fund so this is a fun that you pay management fee who then is selecting underlying hedge funds that are also charging potentially two percent plus twenty percent of the prophet now typical fund a fund is again a chart they might charge one percent the not charging two percent management fee but you have a lot of fees well the h f r i conservative fund a fund index these would be absolute return find some more conservative funds for the 10year period ending june 2016 they only return one point eight percent so the more an an endowment had invested in hedge fund the bigger drag on performance the more potentially investor capital and buyout funds the better the performance and would have done better than the stock market depending on the particular funds that they held but here's the thing these smaller endowments are probably still building out their private equity program in the early years of a venture capital funds it's just pulling money in it's not toward the sort of the end of the 10year life for twelve your life or the fun where the the bio fund is able to do initial public offerings the venture capital same where they find ways to realize some value out of their investment so if you're an endowment and your building out a plan you can you're not going to get the ten percent type return that you see four in those thompson won numbers for venture capital or leveraged buyout front in that would have been a drag compare to.
"harvard endowment" Discussed on Money For the Rest of Us
"The international stock index fun only return one point nine percent and pat frigates to asset allocation a university endowment they had thirty percent in nine us stocks versus twenty percent is gonna trail because there was a very large differential between international stocks and us stocks and we'll see in a few minutes the reason why because us stocks got more expensive over that 10year period of time verses nine us stocks so that's a differential the mountain bonds bonds had a really good 10year period they returned five percent annualized for the 10year period ending june 2016 because interest rates declined over that period the 10year treasury was yielding five point one five percent in june two thousand six by june 30th 2016 that was yielding one point four nine percent so you had this this tailwind of declining interest rates was significantly boosted their return but again the thompson won data venture capital and biotech funds to just fine mezzanine and distressed debt returned about eight and a half percent private real estate but not so well only about five percent so private real estate did kind of in line with the bond market natural resources finds this would be timber for example energy did around four point eight percent so again over this tenyear period didn't necessarily do as well as the bond market but what really fell short and i think this is a big determinant of the differential were hedge funds to hedge fund indices as able to pull up one is the credit suisse hedge fund index it returned four point two percent annualized for the 10year period ending june 2016 and another one a lot of the smaller endowments they're not gonna invest directly.
"harvard endowment" Discussed on Money For the Rest of Us
"Percent in alternatives and and those sort of a kind of goes from that's casa from ten to fifty eight and the larger the endowment the more they have in these alternative investments and again this three portfolio better than than all them so the question is maybe alternative investments didn't do as well and that's one of the things i first look at looked at i thought well how have for that 10year period did alternative investments do and actually didn't do too badly this is this is thompson one data that some indices that they put together now these are our time waited returned and so it doesn't factor in the cash flow timing of these investments most alternative investments you should consider do what's called an internal rate of return calculation a dollar way to return so the return you calculate reflects when the money was received by the manager and when they senate back to the investor because the manager controls that decision within the private equity space if you're investing in vanguard mutual funds to you control when you send money in an want your money back in which case that's why time wait a returns are their cashless neutral dollar way to return to reflect those the timing of the cash flows but thompson one does some time waited indices looking at on aggregate how venture capital has done by out funds and other alternative investment so they show for the ten years ending june 2016 it venture capital and biotech funds each returned around 10 percent annualized so they did better than the stock market that the us stock market over the 10year period as many as measured by the van gogh total stock market index fun returns seven point three percent.
"harvard endowment" Discussed on Money For the Rest of Us
"Now the first thing to consider when looking at return differentials between two portfolios is what is their asset allocation and does it differ because usually return differentials can be determined by differences in the asset allocation now the bogor portfolio that would ban carlsson calls it is forty percent us total stock market index fun twenty percent international stock market index funds for non us and forty percent total bond market index fun now that that was sort of what he used now i replicated his returned and didn't quite get them exactly i i used chorley data of those funds did a weighted average in and calculated you can see it in the spreadsheet i'm not sure how he calculate i'm not sure his frequency of rebalancing i assume quarterly re rebalancing but were pretty pretty close in terms are are returns but it shows the difference between that portfolio so that's a that's a forty percent us stocks forty percent bonds and twenty percent inner national stocks most college endowments have some additional asset classes they will have lessened bonds less in us stocks the the study shows about the same in international stocks around twenty percent but they have alternative investments they have investments in private equity such as leveraged buyout funds and venture capital real estate private real estate investments timber investments energy investments and hedge funds which are a diversifying strategy that isn't really an acid class that's an investment vehicle but that's a a also a very large portion so for example endowments over a billion dollars have fifty eight percent on average in these alternative investment vehicles those under twenty five million have ten.
"harvard endowment" Discussed on Money For the Rest of Us
"Is that a better way to build a portfolio how is it that simply combining the vanguard total bond index fun the vanguard total stock market index find which is just us stocks and the vanguard total international stock market index simple three mutual funds combined together over the past ten years ending june 2016 outperformed not only the average endowment the return of that portfolio was about five point nine two six percent average endowment returned five percent annualized over that 10year period top court tile endowment return five point three and the top dessau 54 portfolio three mutual funds outperform we need to figure out why because it helps us to decide how we should structure our own portfolio how many share with you a lotta data in this episode and i put together a spreadsheet with summarises the data has some of the calculations because it's important to have some data and you if you remember my free insider's guide i sent you the link to this spreadsheet if you're not a member of that you can sign up and get the spreadsheet right away if you're usbased listener text the word portfolios pot f o l i o s portfolios to the number four four two two to heal text and you'll meet only get an email with this spreadsheet that you can with the downward basically attached so that portfolios to the number four four two two two if your non us baseless unearned just go to money for the rest of us dot com sign up there and i'll get you that spreadsheet.