Education Funding

Low correlation to other assets

• The returns depend, among other things, on the income opportunities of the future scholars - that develops largely independently of other asset classes such as pensions or shares.
• The education yield represents a stabilising additional portfolio diversification (in addition to including stocks, bonds, etc.).
• Cyclical fluctuations which affect the academic job market are much less pronounced than on the overall labour market.

Protection against inflation

• The returns depend, among other things, on the expected value of future earnings which tend to increase along with inflation.

Security and intrinsic value

• Simple, transparent and understandable fund construction.
• The objects of value are the contracts between the students and the respective fund companies which define a long-term intrinsic value share of the future income of the students (similar to the intrinsic value of property).
• No decrease in value due to developments on the capital market.

Risk diversification

• Investments in students from various universities, fields of study, years of study and so on provide the broadest possible diversification.
• Individual pricing allows for risk adjustment and broad diversification.

High degree of transparency

• Regular investor reports make the investment transparent and understandable.

Stable Returns

• Sustainable and stable cash flow can be generated because of broad diversification.
• Concentrations of risk can be avoided because of the large number of individual contracts.