Rochester's Long Term Investment Pool (the "Pool") is allocated to both publicly-traded investments (domestic and international equities, and fixed income) as well as alternative investments that do not trade on public markets such as private equity (buyouts, distressed and venture), hedge funds, real assets (real estate and natural resources), and other assets. The Pool holds more than half of its investments in alternatives. The allocation between traditional and alternative investments helps assure growth in favorable economic conditions and offers a measure of protection against severe losses during economic downturns. The Pool is highly diversified and managed by approximately 85 external investment advisors located across the globe.
The University's endowment, the largest component of the Pool, provides perpetual annual support for student financial aid and faculty salaries as well as certain facilities and academic programs. Spending from the endowment also helps to stabilize the University's annual budget. As of June 30, 2012, Rochester's endowment was valued at approximately $1.7 billion and is one of approximately 60 college and university endowments valued above $1 billion.