Endowment is a pool of invested funds that generates steady, ongoing income for an institution.
Endowment supports the college's operating budget and provides money to meet the most pressing needs. It enables us to attract the most talented students and teachers and to strengthen and broaden our academic programs. A college needs an endowment because tuition and fees do not cover the full cost of educating students. At St. Olaf, tuition and fees cover about 70 percent of the cost. Without the income from our endowment, the price of a St. Olaf education would be prohibitive, and research and scholarly opportunities would be limited.