Quasi-Endowment Update

Quasi-Endowment Update

This email was sent to all deans, directors, and department heads and financial unit liaisons as well as members of BAG and VP-BAG.

After assessing U-M's liquidity needs under various economic conditions, we have updated the minimum advance notification required for quasi-endowment withdrawals—beyond their initial five-year lock-up period—from a 30-day advance notice prior to a quarter end to the tiered structure detailed below.

Withdrawal Amount

Minimum Advance Notice
(Prior to Quarter End)*

Percent Request
Can Be Adjusted**

Up to $10 million

90 days


>$10 million to $50 million

180 days

+/- 20%

>$50 million to $100 million

1 year

+/- 20%

>$100 million

2 years

+/- 20%

*For determining minimum advance notice, withdrawal requests are treated cumulatively by department group (high-level school, college, unit) over a rolling 12-month period.

**Requestors have five business days to withdraw a submitted request; otherwise, it cannot be terminated. Beyond this period, for withdrawals in excess of $10 million, the amount can be adjusted by + / - 20% of the original amount up to 90 days prior to the withdrawal processing date.

The related Standard Practice Guide (SPG) for University Investments and Endowment Funds has been updated to reflect these changes. With the update of this SPG, quasi-endowments return to normal pre-COVID operations for additions and withdrawals.

For assistance with your quasi-endowments, please contact Jen Ptak, endowment accounting senior supervisor, or the Endowment Team. Please feel free to forward this email to any colleagues who would benefit from this information.


Cheryl Soper
Controller and Director of Financial Operations