Fundriver compiled data from over 400 current clients to determine trends in different types of spending policies among different sized endowments.
For an explanation of different spending calculation methods, please see this article.
Spending Calculation Methods Used by Fundriver Clients
The PERCENT AVERAGE calculation is the most widely used in the Fundriver population. PROPORTIONAL DISTRIBUTION is the second most widely used calculation. A Proportional Distribution rule can be used when spending impacts units or unit price, whereas Dollar Amount Per Unit needs to have spending impact unit price (not the number of units) and all funds need to take a distribution. Dollar Amount Per Unit is more commonly used in clients over $500 million.
Spending Calculation Method by Endowment Size
Distribution Rates (where applicable)
