Question: What is a common practice universities use when managing their endowment funds? Investing a portion of the endowment in a diversified portfolio to generate steady

What is a common practice universities use when managing their endowment funds?
Investing a portion of the endowment in a diversified portfolio to generate steady returns while preserving the principal.
Allocating all endowment funds into low-risk government bonds to avoid market fluctuations.
Spending the entire endowment each year to maximize annual financial aid.
Only using endowment funds to build new campus facilities and not for any other expenses.
 What is a common practice universities use when managing their endowment

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