The Kansas University Endowment Association continues to feel the crunch of economic realities, but is continuing its long-term investment strategies, leaders said this week.

In December, the association announced it would trim its contributions to KU after reporting a $290 million decline in returns from the association’s long-term investment program from July 1 to Oct. 31.

Since October, however, the returns have fallen at a lower rate, dropping to a $320 million decline since July 1, said Dale Seuferling, president of the KU Endowment Association.

The 30 percent decline since July 1 can be compared with a 36 percent fall in the value of the Standard & Poor’s 500 index over the same period, Seuferling said.

The Dow Jones Industrial Average fell 33 percent during that time frame.

With less money available for its operating budget, the association has taken some cost-cutting measures like many other private and public institutions, Seuferling said.

The association is holding some positions open, deferring some capital improvements to its building and has instituted a wage freeze for its employees.

Professional development and conference costs have also been scaled back, Seuferling said, along with printing and marketing materials.

“What might be four-color now might be two-color,” he said.

He cautioned that month-to-month totals in the value of returns on the long-term investment program can vary widely, and the value can swing wildly.

“We’re in this for the long haul,” Seuferling said, saying the association has not varied its long-term investment strategies, counting on the market to rebound again.

He said that the overall goal is to get the value of the endowment to rise again, though he acknowledged it would likely be some time before that happened.

“Our fundamental principles remain the same,” said Jeff Davis, senior vice president for investment at the association. “And I think over the long term, we’ll continue to adhere to them.”

Seuferling said that attracting donations remains challenging in the current economic climate.

He said that the association has responded by changing its tactics somewhat in asking for donations, instead of asking people to fund an endowed scholarship gift, the association will ask people to fund five or three individual scholarships for students.

He said that while the total amount of giving is running slightly ahead of figures as of this time last year, the timing of gifts can affect the eventual figure, and there’s no way of knowing how the fiscal year will end.