About

Background

In 2009, the UC Berkeley Foundation created the Berkeley Endowment Management Company (BEMCO) as a non-profit subsidiary to manage the investment of endowment funds given in support of Berkeley’s mission of teaching, research, and public service.

A full time, professional investment team ensures the highest quality stewardship of assets private donors have already entrusted to the UC Berkeley Foundation, and those that will come from ongoing fundraising efforts, including the $3 billion Campaign for Berkeley.

“The creation of the Berkeley Endowment Management Company is a turning point for the UC Berkeley Foundation endowment,” said Scott Biddy, president of the UCBF. “With state support that accounts for a diminishing share of the campus budget, the University needs a variety of revenue streams to achieve a stable and secure financial future, and managing and building the endowment is key to this objective.”

Asset Base

Endowment assets dedicated to the support of Berkeley totaled $3.91 billion as of June 30, 2014, split between $1.54 billion that has been entrusted to the UC Berkeley Foundation and another $2.37 billion overseen by the UC Regents.

Structure and Oversight

BEMCO is a wholly-owned, non-profit subsidiary of the UC Berkeley Foundation and is overseen by a board of directors comprised of members of the Foundation’s board and professional investors. The Foundation’s board of directors is responsible for setting spending policy, annual payout and investment policy. BEMCO executes its investment program in line with those policies.

The UC Regents report annually on the UC Berkeley Foundation’s investment results and exposures, which can be found here, with further reporting here.

Corporate Governance and Proxies

The exercise of corporate governance rights, including the voting of proxies, is an essential part of managing any investment. There are thousands of proxy issues that arise in any given year in the course of managing a portfolio of this scale, and the exercise of those governance rights is done directly or by our delegates in line with our responsibility as stewards of capital for the UC Berkeley Foundation.

Conflicts of Interest Policy

The board, officers, and staff of the UC Berkeley Foundation and BEMCO proactively identify and avoid conflicts of interest that could arise, and are all required to annually attest to the lack of any conflicts.