ENDOWMENT

A transfer, generally as a gift, of money or property
to an institution for a particular purpose. The
bestowal of money as a permanent fund, the
income of which is to be used for the benefit of a
charity, college, or other institution.
A classic example of an endowment is
money collected in a fund by a college. The col-
lege invests the endowment so that a regular
amount of income is earned for the school. Typ-
ically, the monies for the endowment are derived
from donations by alumni of the college.
Often, an endowment is designed to support