An endowment fund is a financial asset, typically established by a non-profit organization, that is invested to generate income over time. The principal amount is usually kept intact, while the earnings are used to support the organization's activities, such as scholarships, research, or community programs. This allows the organization to maintain financial stability and sustainability. Endowment funds are often created by donations from individuals, families, or corporations. They can be managed by the organization itself or by professional investment firms. The goal is to grow the fund's value while ensuring that a portion of the income is available for immediate use, benefiting the organization in the long term.