[rahimnathwani]

Right, and the endowment already uses leverage, so many of the endowment's assets will already serve as security for loans.

[vonmoltke]

Sure, but that's margin trading. These bonds have nothing to do with the endowment.

[rahimnathwani]

Yeah, sorry I didn't make it clear enough that I was agreeing with you. The endowment's assets are likely mostly/all pledged as security for margin trading, in which case there may be few/no assets left which could serve as collateral for borrowing that will fund payouts.