Throughout Durham Academy’s history, alumni, parents and friends have established named endowment funds to provide lasting support for scholarships, faculty development and academics. It is the Durham Academy Board of Trustees’ policy that unrestricted, named endowment funds may be established with a gift of $10,000 or more and restricted, named endowment funds may be established with a gift of $100,000 or more.
The Durham Academy endowment portfolio is invested with SunTrust, The Common Fund, CommonSense Partners and private advisors under the direction of the finance committee of the board of trustees. Between 2 percent and 4.5 percent of the previous 12 quarter rolling average of the endowment fund is spent each year in support of the operating fund. The spending rate is determined by calculating the real dollar return of the portfolio less inflation.
Durham Academy’s endowment, like endowments at most independent schools, is a collection of various restricted and unrestricted endowment and scholarship funds. As an aggregate, this fund generates annual income for DA that flows into the operation of the school and primarily supports faculty development, financial aid and facility maintenance.