CHARLESTON, W.Va. — West Virginia’s two leading universities can now invest more of their assets through their private fundraising foundations.
The state Higher Education Policy Commission approved a measure Friday that will raise the limit WVU can invest through the WVU Foundation from the current $40 million to $70 million. Marshall will be allowed to double its current investment authority through the Marshall University Foundation from $30 million to $60 million.
The state legislature opened the door for the change in the higher education bill it passed earlier this year.
“Their investments in their foundations are having a higher rate of return than they are sitting in their state account,” West Virginia Higher Education Chancellor Dr. Paul Hill told MetroNews Friday.
HEPC member Mike Farrell called the new option a “critical component” going forward.
“Considering the (financial) cuts from the state,” Ferrell said. “I think this is apropos at this point and time.”
Chancellor Hill said the money invested by WVU and Marshall would be short-term investments.
“They will pull those out over the year as they need the money,” Hill said. “At least in the short term they will be able to make more interest on those funds.”