In your editorial Endowment losses are cause for serious concern (SN 10/22), you suggest MSU’s investment portfolio should not hold stocks and consist only of bonds and other “safe” investments. This strategy fails to understand the fact that, over the long term, stocks have consistently provided higher returns than fixed-income investments like bonds and CDs. Although there is no arguing this is a difficult time for the stock market, it is important to avoid a panicked reaction like the one The State News recommends. Market downturns should be expected when investing in stocks. That is why they are part of a long-term investment strategy as opposed to a short-term one. The stock market will recover from this downturn as it has in the past, and when it does, the university will be rewarded for not panicking and remaining invested in stocks.

Brian Baker