Texas A&M Foundation 2016 Annual Report

Welcome to the Texas A&M Foundation’s 2016 annual report.

George K. Hickox and Eddie J. Davis

Together We Aspire

As we close out fiscal year 2016 and turn our attention to the business at hand, two themes clearly emerge: aspiration and gratitude.

Just a few years into our Lead by Example comprehensive campaign endeavor, we reached an exciting halfway mark by raising gifts totaling more than $2.3 billion. In collaboration with President Michael K. Young—and with vision from many of you—we aspire to raise $4 billion for Texas A&M University by 2020 in three major areas: Transformational Learning, Discovery and Innovation, and Impact on the State, Nation and World.

Be assured that your gifts make a difference—from an ambitious global access program in the College of Engineering to a creative scholarship initiative for high-achieving incoming freshmen, you have stepped up to push us forward. With your generosity, we broke ground on The Gardens at Texas A&M and soon will begin construction on the new John D. White ’70–Robert L. Walker ’58 Music Activities Center. You are ensuring that our Galveston campus will meet critical needs in the maritime industry, and you are taking care of U.S. veterans who choose Texas A&M.

Your gifts continue to educate leaders of character who are steeped in the history, tradition and pride that fuels our Aggie Spirit. Like you, these students combine their Texas A&M education with our six core values to serve the greater good in their future endeavors.

Thank you for allowing the Texas A&M Foundation to manage your gifts. With your trust and partnership, we aspire to do more for our university and for our world.

Bill Toler '76

Chairman of the Board

Bill Toler

Tyson Voelkel '96


Tyson Voelkel


Change in Net Assets

The Foundation's net assets increased 1 percent during the 2016 fiscal year.

$ Total net assets
in fiscal year 2016
nan% Net asset increase
in fiscal year 2016
Annual totals for fiscal years 0-0

Gifts to Texas A&M

Donors gave more than $255 million to the Texas A&M Foundation and Texas A&M University during fiscal year 2016. 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 12.4 cents.


Total donors


Total number of gifts received


Total value of gifts received


Average gift value

5¢ to $12,000,000

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



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



Number and Value of Gifts by Class Year

3,499 former students made 6,811 gifts to the Texas A&M Foundation totaling more than $140 million during fiscal year 2016.


Total value of gifts received from former students during fiscal year 2016

Giving by Donor Location

Almost 11,000 gifts totaling more than $178 million came from donors residing in Texas. Donors in California gave 523 gifts totaling more than $34 million, while donors in Illinois contributed 167 gifts for more than $5 million—making those states second and third in total gift value, respectively. Thirty-eight gifts came from donors living overseas.

$0 Gift total

Sources of Gifts Received in FY 2016

Contributions from former students, friends, and private and family foundations (many formed by former students) make up 63 percent of gifts to the Foundation, while gifts from corporations and other organizations make up 37 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 2016 Giving

Many donors double, triple or quadruple the amount of their gifts by taking advantage of a corporate matching program. During fiscal year 2016, corporate and foundation donors matched 1,503 gifts to the Texas A&M Foundation for a total of $2.5 million.

$0 Gift total

Where FY 2016 Gifts Were Directed

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 2016, these funds totaled $103.9 million.

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



Annual total for fiscal year 2015



Annual total for fiscal year 2016

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

Read More

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 2016, the Foundation documented $131.6 million in planned gifts, which includes gifts that will be received by the Texas A&M Foundation, The Association of Former Students, the 12th Man Foundation and the George Bush Presidential Library Foundation. From 1999 to 2016, the Foundation has documented more than $1 billion in planned gift expectancies.


Total value of planned gifts documented


Number of planned gifts documented

$10,000 to $25,000,000

Range of gift value


Value of realized gifts during fiscal year 2016


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 leave a legacy that enhances Texas A&M’s core mission of providing the highest-quality undergraduate and graduate programs.


Total scholarship and faculty endowments in fiscal year 2016

The 62 other endowments include those supporting student organizations, college-based programs and excellence funds, study abroad initiatives and the university libraries, among others.

$1 Gift total

Gifts Received by Type

The majority of gifts received by the Foundation in fiscal year 2016 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


The Foundation received more than $110 million in current gifts of cash or pledges and more than $129 million in planned gifts during fiscal year 2016. This total does not include planned gifts that will be received by The Association of Former Students, the 12th Man Foundation and the George Bush Presidential Library Foundation. 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, 2016. 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 $347,300 by 2016.

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 -1.7 percent, 4.6 percent, 4.7 percent and 8 percent respectively through June 30, 2016.

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.

$0 Market value

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 August 31, 2016
$2.3 billion

Cumulative Giving to
Lead by Example Campaign

2020 Campaign Goal
$4 billion


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.


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.

2016Thank You

Thank you for visiting the Texas A&M Foundation’s online annual report. We hope you enjoyed reviewing our 2015-2016 highlights and leave inspired about ongoing 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 Aggieland. Your contributions support Texas A&M’s third comprehensive campaign, Lead by Examplea $4 billion fundraising endeavor to enhance Texas A&M’s ability to tackle great global challenges while educating future generations of leaders committed to a lifetime of learning. This campaign is a joint effort between Texas A&M University, the Texas A&M Foundation, the 12th Man Foundation, The Association of Former Students and the George Bush Presidential Library Foundation.

You can view the A&M Legacy Society honor roll recognizing our most generous supporters at give.am/LegacySociety2016. We are proud to display the names of these members in Legacy Hall of the Jon L. Hagler Center.