API: Oil and gas stocks are high performers in college endowments
API | Thursday, September 3, 2015
WASHINGTON, September 3, 2015 – Oil and natural gas company stocks outperformed all other asset classes held by college and university endowments, according to a new study conducted by Dr. Robert Shapiro, chairman of the economic consulting firm Sonecon, for API.
“America’s colleges and universities have seen strong returns from their investments in America’s oil and natural gas renaissance,” said API Vice President for Regulatory and Economic Policy Kyle Isakower. “University and college investments in oil and gas firms outperformed every other asset class examined in their endowments.”
Average annual returns on oil and natural gas company stocks over the last decade were 72 percent greater than on all U.S. equities and 89 percent greater than on all endowment assets over the same period, according to the study. Oil and natural gas company stocks held by college and university endowments produced average annual returns of 13.4 percent, compared to 8.1 percent for real estate, 7.8 percent for all U.S. stocks, 4.9 percent for bonds, and 1.6 percent for 3-month Treasury bills.
