Texas A&M Foundation 2015 Annual Report

Welcome to the Texas A&M Foundation’s 2015 online annual report.

George K. Hickox and Eddie J. Davis

A New Annual Report

This site provides more information about the Foundation’s past fiscal year in an interactive and engaging manner. As you scroll through the site, we hope that you are inspired by the Foundation’s accomplishments over the last fiscal year.

In the Financials section, learn more about the Foundation’s 2014-2015 performance. This section includes many never-before-seen statistics, including our long-term investment pool growth, top corporate and foundation donors, and maps showing, to the penny, from where our gifts hail.

The Initiatives section showcases four notable gifts we received during the past fiscal year in addition to the enormous impact these gifts are having on students, faculty, colleges and programs. The Impacts section identifies four projects that we consider top fundraising priorities moving forward.

At any point during your visit, please feel free to give us your feedback by filling out the four-question survey. It will appear to the right of your screen after you’ve scrolled through a portion of the site. You can also email us at info@txamfoundation.com with any comments or suggestions about the new annual report.

And finally, as you read, remember that everything the Foundation accomplishes would not be possible without you. This report is, above all, a tribute to your longstanding support.

George K. Hickox Jr. '80

Chairman of the Board

George K. Hickox Jr.

Eddie J. Davis '67

President

Eddie J. Davis

2015Financials

Change in Net Assets

The Foundation's net assets increased during the 2015 fiscal year.

$1,544,800,000 Total net assets
in fiscal year 2015
2.3% Net asset increase
in fiscal year 2015
Annual totals for fiscal years 2006-2015

Gifts to Texas A&M

Donors gave more than $191 million to the Texas A&M Foundation and Texas A&M University during fiscal year 2015. This total includes cash gifts, future pledge payments at full face value, and revocable and irrevocable planned gifts.

For every dollar raised during the past five years, the Foundation has spent an average of 13.4 cents.

7,719

Total donors

13,958

Total number of gifts received

$191,698,954

Total value of gifts received


$13,732

Average gift value

68¢ to $15,000,000

Range of gift value

The A&M Legacy Society recognizes individuals, corporations and organizations whose cumulative giving through Texas A&M University, the Texas A&M Foundation, The Association of Former Students, 12th Man Foundation and George Bush Presidential Library Foundation totals $100,000 or more.

New Members

Total Members

Legacy

292
3,745

Heritage members in the A&M Legacy Society are individuals who have included a gift to the Texas A&M Foundation in their estate plans for the benefit of Texas A&M.

Heritage

105
2,129

Number and Value of Gifts by Class Year

3,302 former students made 6,667 gifts to the Texas A&M Foundation totaling more than $101 million during fiscal year 2015.

$101,252,568

Total value of gifts received from former students during fiscal year 2015

Giving by Donor Location

More than 10,000 gifts totaling more than $139 million came from donors residing in Texas. Donors in California gave 491 gifts totaling more than $20 million, while donors in Florida contributed 241 gifts for more than $3 million—making those states second and third in total gift value, respectively. Fifty-two gifts came from donors living overseas.

International donations

$120

$139,424,807

National donations

$36

$2,000,000

$154,312,831 Gift total

Sources of Gifts Received in FY 2015

  • Foundations29%
  • Former Students27%
  • Corporations25%
  • Organizations10%
  • Friends9%

Contributions from former students, friends, and private and family foundations (many formed by former students) make up 65 percent of gifts to the Foundation, while gifts from corporations and other organizations make up 35 percent of the total.

Following generally accepted accounting principles, this total includes pledges and irrevocable planned gifts.

Top Five Corporate and Foundation Donors by Cumulative FY 2015 Giving

Many donors double, triple or quadruple the amount of their gifts by taking advantage of a corporate matching program. During fiscal year 2015, corporate and foundation donors matched 1,660 gifts to the Texas A&M Foundation for a total of $2.2 million.

01
$25,000,000
02
$5,127,895
03
$3,022,000
04
$2,516,436
05
$2,025,000
$154,312,831 Gift total

Where FY 2015 Gifts Were Directed

  • College Impact40%
  • Student Impact35%
  • Other Impact*10%
  • Faculty Impact9%
  • Spirit Impact6%

Each gift received by the Foundation is linked to one of four designated “impact areas.”

*Includes gifts that pass to non-university accounts, such as the Texas A&M University System and The Association of Former Students’ matching funds, as well as Foundation gifts in holding and class gift funds, for which donors have not yet identified the gift impact area.

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Student impact represents academic scholarships and fellowships to undergraduate and graduate students. Faculty impact refers to gifts that fund faculty chairs, professorships and fellowships. College-impact gifts help a college or department through discretionary or building funds, which in turn support faculty and students through improved teaching and learning environments. Spirit-impact gifts cultivate student organizations, traditions and other outside-the-classroom programs.

Foundation Funds Made Available to Texas A&M

The Foundation annually makes millions of dollars available to Texas A&M for students, faculty, facilities and programs according to donors’ wishes. In fiscal year 2015, these funds totaled $88.2 million.

These funds consist of non-endowed gifts—funds made available to disburse immediately rather than invested by the Foundation—and income from endowments.



2014

$77,900,000

Annual total for fiscal year 2014



2015

$88,200,000

Annual total for fiscal year 2015

Increasing Student Burden

Private gifts relieve student financial burden and supplement Texas A&M’s educational budget as state funds continue to decrease and tuition and fees continue to increase.

Tuition and Fees

State Funding

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The percentage of Texas A&M’s budget that is covered by state funds and tuition has held steady throughout the decades at 57 to 59 percent. As state funds decrease, tuition and fees increase to make up the difference. Students now shoulder more than one-third of Texas A&M’s budget, a huge jump from the late 1990s, when tuition comprised only about one-fourth of the budget.

Planned Giving by the Numbers

The Foundation’s Office of Gift Planning helps donors establish after-lifetime and dual-benefit gifts that will aid Texas A&M University and its students in the future. For fiscal year 2015, the Foundation documented $76 million in planned gifts.

$76,000,000

Total value of planned gifts documented

122

Number of planned gifts documented

$1 to $9,391,667

Range of gift value


$11,724,944

Value of realized gifts during fiscal year 2015

$156,840,566

Value of realized gifts in the last 10 years

New Endowments Breakdown

The Foundation prides itself on enhancing the academic experience at Texas A&M University for both students and faculty. Donors who create endowments for scholarships, chairs, professorships and fellowships are leaving a legacy that enhances Texas A&M’s core mission of providing the highest-quality undergraduate and graduate programs.

339

Total scholarship and faculty endowments in fiscal year 2015

260Scholarships & Graduate Fellowships

59Other Endowments

9Faculty Fellowships

7Professorships

4Faculty Chairs

Read More

The 59 other endowments include those supporting student organizations, college-based programs and excellence funds, study abroad initiatives and the university libraries, among others.

$191,698,954 Gift total

Gifts Received by Type

  • Revocable/Irrevocable Planned Gifts39.75%
  • Pledges33.55%
  • Current/Cash18.45%
  • Bequests2.58%
  • Securities1.75%
  • Real Estate1.68%
  • Trusts0.92%
  • Online0.72%
  • Retirement Accounts0.45%
  • Life Insurance0.15%

The majority of gifts received by the Foundation in fiscal year 2015 include current gifts of cash, pledges and revocable or irrevocable planned gifts.

*This total includes cash gifts, future pledge payments at full face value, and revocable and irrevocable planned gifts

Gift Comparison

Gift Type

Gift Total

Current $110,514,573
Realized Bequests $4,953,563
Planned Gifts $76,230,818
$191,698,954

The Foundation received more than $110 million in current gifts of cash or pledges and more than $76 million in planned gifts during fiscal year 2015. Realized bequests make up the remaining portion in total dollars received.

*This total includes cash gifts, future pledge payments at full face value, and revocable and irrevocable planned gifts.

Endowment Values by Unit

Shown below is the value of each unit’s endowment held by the Texas A&M Foundation for the benefit of Texas A&M University as of June 30, 2015. The combined value of these endowments totals nearly $1.2 billion.

*Includes Texas A&M University Press, KAMU-TV, Reed Arena, non-designated endowments and endowments with split beneficiaries.

Endowment Performance Over Time

The Foundation invests endowments using asset allocation to maximize growth while safeguarding capital. This chart illustrates the market value of a $100,000 endowed scholarship created in 1980 and its cumulative value of student stipends. This single endowment would have paid out more than $336,800 by 2015.

Long-Term Investment Pool Growth

The long-term investment pool (LTIP)—which has a total value of $1.39 billion—has consistently met or exceeded our portfolio management guidelines, resulting in both the growth of funds available to Texas A&M University and the asset size of the portfolio. The LTIP is composed mostly of endowments, but also includes other non-endowed funds invested for the long term.

Investment Performance

The Foundation has a solid record of investing. Over the years, we have consistently outperformed most peer organizations, ranking in the top or high second investment quartile.

For the one-, three-, five and seven-year periods, the long-term investment pool experienced annualized total returns of -0.4 percent, 8.9 percent, 9.3 percent and 5.3 percent respectively through June 30, 2015.

Long-Term Investment Pool Asset Allocation

By investing assets, the Foundation preserves the purchasing power of gifts while providing steady earnings for Texas A&M.

$1,387,632,161 Market value
  • International Equities25%
  • Domestic Equities23.8%
  • Private Real Estate and Hard Assets11.1%
  • Domestic Fixed Income9.9%
  • Private Equities9.3%
  • Alternative Marketable Equities9%
  • Public Real Estate and Commodities4.3%
  • International Fixed Income4.2%
  • Cash and Cash Equivalents3.4%

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The Foundation’s long-term investment pool, which has a total value of $1.39 billion, is composed mostly of endowments, but also includes other non-endowed funds invested for the long term.

Current total as of October 31, 2015
$2.35 billion

Cumulative Giving to
Lead by Example Campaign

2020 Campaign Goal
$4 billion

2015Impacts

Every gift makes an impact. Here’s a look at how some of your gifts are benefiting Texas A&M University students, faculty, colleges and programs.

$25 Million for 25 by 25

A $25 million gift from the Zachry Group will support construction of the Engineering Education Complex as well as establish the Zachry Leadership Program and the Zachry Group Professor of Practice within the Department of Mechanical Engineering.

Read More

High Notes

A $1 million gift from Patricia and Weldon Kruger ’53 will aid construction of the Music Activities Center, a new state-of-the-art home for more than 1,300 students who participate in music activities at Texas A&M.

Read More

Big Plans for Planned Gift

A sizable planned gift of retirement assets from Drs. Carolyn ’69 and Thomas Adair III ’57 will support student activities, the Department of Physics and the Texas A&M University Coaching Academy.

Read More

Setting the Bahr High

Gina and Anthony Bahr ’91 contributed a $550,000 professorship to support the teaching, research and professional development activities of a Mays Business School faculty member.

Read More
Close

Through best-in-class laboratories and distinguished professors, I’ve been provided a world-class engineering education at Texas A&M. The Zachry Group’s generous gift will enable future Aggie leaders and innovators to pursue the educational foundation needed to achieve their goals and impact tomorrow’s world.

-Adam Stacy ’15
Recipient of the Zachry Distinguished Student Scholarship

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Music provides a medium for communication that is timeless and unbounded by language. Musical opportunities at Texas A&M are instrumental to my success and allow me to pursue a degree while maintaining a huge passion of mine. This gift will help give Aggie musicians the home they deserve to perform at the highest possible levels.

-Ross Bodeker ’17
Fightin’ Texas Aggie Band

View Full Story

The Coaching Academy is a great resource for students who want to become coaches. The academy will elevate Texas A&M not only as a place where student athletes can compete, but also where they can prepare to transition from player to coach.

-Kirby Ennis ’13
Former Texas A&M defensive tackle,
Coaching Academy participant

View Full Story

I’ve had a rich and rewarding career at Texas A&M over the past 20 years. The recognition provided by the Bahr professorship is a wonderful honor, both as an acknowledgement of these efforts, and as an encouragement going forward to expand and deepen these activities. Professorships are important in so many ways: recruitment and retention of top faculty; support to faculty scholarship; and training and mentoring the next generation of Aggies.

-Lorraine Eden
Professor of Management,
Gina and Anthony Bahr '91 Professor of Business

View Full Story

2015Initiatives

The Texas A&M Foundation matches your interests to funding priorities, no matter what your passion. Below are a few of our major fundraising initiatives for the coming year.

Music Activities Center

Give Aggie musicians the home they deserve.

A new Music Activities Center will accommodate more than 1,300 student musicians who participate in bands, choirs and orchestras at Texas A&M University. The state-of-the-art facility will include an artificial 100-yard turf field for the 400-plus member Fightin’ Texas Aggie Band, soundproof practice rooms, a copious amount of locker storage and four rehearsal halls equipped with unmatched acoustics and adequate space. The building replaces the E.V. Adams Band Hall, which can no longer safely accommodate student musicians.

The university will fund half of the $40 million necessary to construct the facility, while the other $20 million will come from private support through the Texas A&M Foundation.

To learn more, visit the Music Activities Center website or contact Cindy Munson ’99, regional director of major gifts.

Give Now

The Gardens at Texas A&M University

Build Texas A&M’s future backyard.

The Gardens at Texas A&M University project is a planned transformation of a 46-acre area of West Campus that will include an outdoor classroom, open-air pavilion, barn, grove amphitheater, demonstration gardens, rose gardens and tree-lined nature trails. The park-like improvements will help showcase the College of Agriculture and Life Science’s commitment to feeding a growing global population with dwindling natural resources; introduce K-12 students to agriculture and the natural sciences; and provide a place for relaxation amid natural surroundings.

To learn more, visit gardens.tamu.edu or contact Steve Blomstedt ’83, assistant vice president for development. 

Give Now

Institute for Advanced Study

Bring world-renowned faculty to Texas A&M.

The Texas A&M University Institute for Advanced Study attracts National Academy and Nobel-prize caliber researchers—like Dr. Yuri Oganessian, an expert in experimental nuclear physics—to the university to enrich Texas A&M’s intellectual climate and educational experiences. Each year, the Institute invites a number of nationally and internationally prominent faculty fellows to pursue advanced study at the Institute in collaboration with faculty and student scholars at Texas A&M. The Institute advances research productivity by combining the resources of a major tier-one research institution with distinguished faculty from a range of disciplines.

To learn more, visit tias.tamu.edu. To find out how you can support the Texas A&M University Institute for Advanced Study, contact Carl Jaedicke ’73, vice president for principal gifts.

Give Now

25 by 25 Initiative

Advance engineering education.

Texas A&M has long been an engineering education powerhouse. Now, the university is stepping forward to address the critical state and national need for engineers through an innovative sustainable and systemic change to its educational enterprise.

The 25 by 25 Initiative is a transformational program to increase access for qualified students to pursue education at Texas A&M University to an enrollment of 25,000 engineering students by 2025. Guided by three principles, the initiative aims to better prepare students to meet future needs of the engineering marketplace; increase accessibility to engineering education at all levels; and deliver engineering education in a cost effective and affordable manner.

Learn more by visiting the 25 by 25 Initiative website or by contacting Andy Acker, assistant vice president for development.

Give Now

2015Thank You

Thank you for visiting the Texas A&M Foundation’s new online annual report. We hope you enjoyed reviewing our 2014-2015 highlights and leave inspired about the Foundation’s efforts to enhance and advance Texas A&M University.

No annual report would be complete without a great big Aggie thank you to our donors. Whether a former student, friend, corporation or foundation, we appreciate your generous spirit and commitment to Texas A&M University.

You can view the A&M Legacy Society honor roll recognizing our most generous supporters at give.am/TAMFLegacyList2015. We are proud to display the names of these members in Legacy Hall of the Jon L. Hagler Center.