Stealing Harvard - Dealbreaker

Stealing Harvard


Harvard's endowment lost $350 million in the Sowood blow-up. The amount is a small dent in Harvard's well-endowed $29 billion coffers (why did we need to pay $40k/year to go there again?) but comes from one of Harvard's own.
Sowood was founded by Jeffrey Larson, former manager of Harvard's foreign investments. Larson helped Harvard become the well-hung giant it is today, and Harvard returned the favor by investing with Sowood. The 'Vard netted three years of gains before taking a $350 million bath.
Some argue that making crappy investment choices like Sowood underscores the fact that Harvard fund managers are overpaid. Larson, for instance, raked in $17 million in 2003, when the endowment returned just over 10%.
Why Harvard Is Smarting [Wall Street Journal]



Harvard Admits That Harvard Sucks At Managing Harvard's Money

In a blow to metaphysical obnoxiousness, the phrase "I'm a hedge fund manager at Harvard" is now obsolete.

Don't let the gate hit you on the way out. By John Phelan (Own work) [CC BY 3.0], via Wikimedia Commons

Harvard Endowment Still Sucks

But having cut out both the dead and living wood, it hopes to suck less going forward.