From the Washington Post. It's not just my retirement fund that has dissipated of late. What's up with Puget Sound's endownment, I'm afraid to ask?
Universities and private schools nationwide were alarmed this week when Wachovia Bank effectively froze the short-term investment accounts they rely on as checking accounts to make payroll and other expenses. As part of its sale to Citigroup, Wachovia stopped managing the Commonfund, a nonprofit organization that runs short-term investment funds for about 1,000 colleges and independent schools.
Commonfund officials announced an infusion of capital yesterday, even as they sought to replace Wachovia. Commonfund is liquidating about 32 percent of the schools' short-term investment accounts, spokesman John S. Griswold said, adding, "We would hope that 32 percent being made available would help most through the next months."
The Wachovia sale will affect about 50 students at Marymount University in Arlington County who had loan packages with Wachovia. They will need to find a loan provider for the spring semester, said Chris Domes, a school vice president.
