Endowment management fee and payout change
Caring for your endowment — now and for the future
An important endowment policy update
You may be visiting this page after receiving communications from the University of Nevada, Reno Foundation. This page provides additional context for recent endowment policy updates.
When you establish or support an endowment at the University of Nevada, Reno, you are making a long‑term commitment — to students, programs, and priorities that matter to you today and for generations to come. Endowments provide stability, continuity and the ability for the University to plan with confidence over time.
We are deeply grateful for the trust you place in us and we are committed to caring for your generosity with intention, care and accountability.
An important note: The purpose and intent of your endowments are not changing. These updates affect how endowments are managed and cared for — not what they support.
Following a comprehensive review, the University of Nevada, Reno Foundation Board of Trustees approved two updates to endowment policy, effective July 1, 2026. These updates work together to support long‑term stewardship while serving different purposes.
Specifically, the updates relate to:
- How annual endowment distributions are calculated (the spending policy)
- How endowments are overseen and administered (the management fee)
Importantly, these updates do not change the purpose of your endowment or the priorities it supports. They are intended to ensure endowments remain strong, reliable resources for generations to come.
Detailed spending policy and management fee amounts, including effective dates, are provided in the “Spending policy and management fee details and FAQs” section.
Endowments are designed to balance two goals: providing dependable annual distributions today and preserving purchasing power for the future. The spending policy — the percentage used to calculate annual distributions — plays a central role in achieving that balance.
The updated spending policy reflects widely accepted practices across higher education and is designed to protect endowments over time. Phasing the adjustment over two years allows for a measured transition while helping ensure endowments continue to provide reliable distributions through changing conditions.
This adjustment is intended to sustain the long‑term impact of endowments so they can continue supporting students, programs and priorities for generations to come.
Caring for an endowment of significant and growing size requires dedicated expertise, oversight and infrastructure. Management fees support the work that ensures endowments are administered responsibly and in alignment with donor intent.
This includes investment oversight, financial reporting, audits, compliance and donor stewardship — all essential to protecting endowed gifts and ensuring accountability.
The updated management fee reflects the resources required to maintain strong governance, transparent reporting and donor‑centered stewardship. By investing in the people, systems and tools needed to manage endowments well, the Foundation is better positioned to safeguard endowed gifts over the long term.
It’s natural to wonder how these updates may affect your endowment.
Because of strong recent investment performance and the use of a rolling, multi‑year spending policy calculation, most endowments are expected to continue providing consistent distributions in the near term. In many cases, annual distributions will remain steady or continue to grow.
Over time, the adjusted spending policy is intended to preserve purchasing power, while the updated management fee supports the careful administration and oversight required to manage endowed funds responsibly and in alignment with donor intent.
Every endowment is unique. If you’d like to understand how these updates apply to your specific fund, or discuss options for sustaining or enhancing its impact, we welcome the opportunity to connect.
What are the updated rates, and when do they take effect?
Endowment spending policy
- 4.50%— current spending policy rate
- 4.25%— effective July 1, 2026
- 4.00%— effective July 1, 2027
Endowment management fee
- 0.50%— current management fee
- 1.00%— effective July 1, 2026
Who approved these changes?
The University of Nevada, Reno Foundation Board of Trustees approved the updates following analysis, benchmarking and review.
Does this change the purpose of my endowment?
No. The purpose and intent of your endowment, as defined in your gift agreement, do not change.
How is the spending policy calculated?
The spending policy is calculated using a rolling average of quarterly market values to provide consistency over time.
How are management fees used?
Fees support investment oversight, audits, compliance, reporting and donor stewardship — ensuring endowments are administered with care and accountability.
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If you’re working with a development officer, you’re also welcome to reach out to them directly.
We value the trust you place in the University of Nevada, Reno Foundation and appreciate the opportunity to ensure you feel confident in how your generosity is being cared for — now and for the long term.