Investing in the Long-Term Investment Pool

Units may wish to invest unrestricted operating funds in the Long-term Investment Pool (LTIP) by creating a fund functioning as an endowment (FFE). This vehicle functions much like a mutual fund, whereby participants buy shares at the current market rate and receive a per-share annual income payout as determined by Cornell's board of trustees.

It is important to realize that this investment vehicle does not have a guaranteed rate of return, and that participants expose their investments to market losses, as well as gains. All market risks associated with FFE investments are assumed within the college, department, or unit. To minimize a unit's investment risk associated with investing in the LTIP, the university has established the following guidelines associated with FFE investments.

The most current market rates and payout information are published on this website. To request an FFE, please contact Accounting.

Requirements for Funds Functioning as Endowments (FFE)

If you have questions about these rules, please contact Accounting.

Investing in the LTIP

• The minimum investment amount for an FFE is $100,000.
• Funds must be invested for a minimum of five years.
• The minimum threshold amount will be reviewed every five years; the next review is in FY 2023 (unless guidelines change).

CU Foundation Funds

The establishment of any new Cornell University Foundation funds (also invested in the LTIP) will carry the same minimum investment requirement; however, due to the nature of the funds and requirements of donor advised fund programs, none of the withdrawal requirements described below apply.

Gifts for Capital Projects

Gifts of $25 million or more that are received for a specific, approved capital project in advance of construction will be considered for investment in the Treasurer's office working capital portfolio. The intent of these actions is to protect the value of these shorter-term investments; we will review the guidelines on an annual basis to be sure they continue to meet the needs of the university.

Requirements for Withdrawing from the LTIP

These requirements apply to all fund types, except CU Foundation, as noted above.

• Requests for withdrawal require a two-month notice.
• Requests for withdrawing $1 million or more, either in a single transaction or cumulatively within one year, require approvals from the provost and the CFO*.
• Units must submit the completed LTIP Withdrawal Request Form (below) to Accounting, who will request the required approvals.

Forms

LTIP Withdrawal Request Form (PDF, 66 KB)