Foundations’ Endowed Portfolios Produced Double Digit Investment Returns in 2025
Council on Foundations-Commonfund Study finds rising gifts, use of outsourced Chief Investment Officers
WASHINGTON, D.C. — In a market environment that again proved supportive despite periodic volatility, average annual returns on foundation endowments landed in double-digit positive territory for the third consecutive year among the 285 foundations surveyed in the annual Council on Foundations–Commonfund Study of Investment of Endowments for Private and Community Foundations® (CCSF; the "Study").
The average 2025 calendar year return on these endowed funds for the 171 participating private foundations was 14.1 percent, up from 10.3 percent reported in the 2024 Study. Similarly, for the 114 participating community foundations, the average 2025 return was 14.7 percent, up from 11.0 percent in 2024. This marks the third year in a row that both foundation segments have reported double-digit returns—the longest such streak in Study history—following the lowest average returns on record in 2022. (All return data reported net of fees.)
Strong one-year numbers bolstered longer-term returns, which reflect foundations' ability to finance their missions and program commitments going forward. Ten-year average annual returns increased for both segments: private foundations reported 9.0 percent (up from 7.3 percent in 2024), and community foundations reported 8.6 percent, up from 7.0 percent in 2024.
For the second year that the Study has collected this data, private and community foundations reported 15- and 20-year net annualized returns. Private foundations reported 8.1 percent and 7.2 percent on average for the two time periods, respectively as of December 31, 2025, and community foundations reported 7.9 percent and 7.1 percent—continued improvement from last year's inaugural figures of 7.5 and 6.4 percent and 7.2 and 6.3 percent, respectively.
“Foundations are in a strong position to weather whatever volatility comes next, but the long-term picture stands out most," said Kathleen Enright, President and CEO of the Council on Foundations, and George Suttles, Executive Director of Commonfund Institute, in a joint statement. "With two years of 15- and 20-year data now in hand, we're seeing evidence that foundations are able to sustain their endowments over time which enables them to fund in ways that serve communities now and for decades to come.”
With data reported by 285 private and community foundations, representing $126.9 billion in combined assets, the CCSF remains the most comprehensive annual survey of its kind. The 2025 Study marks the 14th year that the Council on Foundations and Commonfund Institute, two leading organizations in the field of foundation investment and governance policies and practices, have partnered to produce this research. The Study reports data from private and community foundations separately to reflect the differing structures of the two foundation types and, for deeper analysis, also breaks both types into three cohorts segmented by endowment size.
About the Council on Foundations
The Council on Foundations is a nonprofit membership association that serves as a guide for philanthropies as they advance the greater good. Building on our 75-year history, the Council supports over 1,000 member organizations in the United States and around the world to build trust in philanthropy, expand pathways to giving, engage broader perspectives, and co-create solutions that will lead to a better future for all. Learn more about the Council and become a member by visiting www.cof.org.
About Commonfund Institute
Commonfund Institute aims to be among the nation’s most trusted sources for relevant, useful, and proprietary data, analytics, and best practices in financial management. The Institute provides a wide variety of resources, including conferences, seminars, roundtables, and online learning through Commonfund Institute Online. Insights cover topics such as endowments and governance; proprietary and third-party research such as the Commonfund Benchmark Studies®; publications including the Commonfund Higher Education Price Index® (HEPI); and events such as the annual Commonfund Forum and Investment Stewardship Academy.
About Commonfund
Commonfund is a leading asset management firm that empowers educational institutions, foundations, pension funds, family offices, RIAs and other sophisticated investors to achieve their most important goals. Through our Outsourced CIO business, we provide nonprofits access to world-class investment management solutions. Our CF Private Equity business provides access to private equity investments for both nonprofit and for-profit organizations seeking to diversify their portfolios with private investments. Our Commonfund Institute is among the nation’s most trusted sources for relevant, useful, and proprietary data, analytics, and best practices in financial management. All our businesses are united by a relentless commitment to investment performance matched by an equally relentless commitment to the values of trust, transparency, and ethical behavior that have inspired us since our founding more than fifty years ago. For more information visit www.commonfund.org.
