Abstract
Endowment is one of the important sources of income for Higher Education Institutions (HEIs) in many countries, including Malaysia. The elements that contribute to the success of this fund need to be identified so that its role can be sustained. There are several elements driving the success of endowment in HEIs were found in the previous study which consist of highly-skilled investment managers, superior investment committees and alumni networks. In this study, these elements were revisited in the context of Malaysia. This study is conducted based on a literature review which acts as a preliminary ground for further empirical research in this area. This study found that there are specific aspects that need to be included with the aforementioned elements to ensure that they are suitable to be applied in Malaysia. At the same time, other elements (i.e., diversity of income sources and effective fundraising) should be considered as well as they have the possibility to contribute to endowments’ success, especially in this country.
Highlights
Public universities depend more than 90% of their expenses on government funds (Ministry of Higher Education, 2016)
Alumni’s readiness to share their support with the university has been associated with their previous experience during their period of study at the university. This was revealed by Vidal and Pittz (2018) who found that alumni who have positive experiences while being called as students are more likely to recognize the value of the students’ experiences and are more likely to donate to their university
The secondary data was obtained through the literature related to the success elements of endowment fund which consists of books, seminar proceedings, periodicals and internet resources, either in English or Malay
Summary
Public universities depend more than 90% of their expenses on government funds (Ministry of Higher Education, 2016). According to Amran and Muhammad (2015), the autonomous power given requires universities to earn 30% of their own income. This was not good news for the universities because their job scope has increased, rather than just focusing on teaching and researching where expertise is built, trained, groomed and created to be well-known. Universities need training, exposure to commercialization and the understanding of different funding models to develop new sources of income, as mentioned by Fielden (2008)
Sign-in/Register to view highlights & summary Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callMore From: The Journal of Muamalat and Islamic Finance Research
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
