Student awards celebrate academic excellence and distinction. They also celebrate the donor’s appreciation of the importance of encouraging and recognizing student achievement.
For a gift of $25,000, you will establish an endowed award that exist in perpetuity. All gifts that are made to establish an endowment are fully invested. Only a portion of the money that the endowed fund earns is used to support the donor's designation. AUB's current spending policy stipulates that it spend 4 percent of the moving average market value of its portfolio over 20 quarters. This means that, for example, a $25,000 endowment would generate about $1,000 in its first year of return. It has been our experience – and it is our expectation – that AUB's portfolio will earn more than 4 percent a year. The additional funds are added to the principal. As a result, the size of the endowed fund should grow over time thereby generating more money on an annual basis.