Investment Pool

Funds of the Community Foundation are combined into investment pools for both economy of management and access to top management and advisory talent. Different pools provide you with options to meet your philanthropic goals. Local professionals comprise our Investment Advisory Committee, which meets regularly to guide our investment policies and monitor the performance of our professional managers. The Committee’s work ensures that our portfolio is well-managed and that it produces an ever-increasing income stream for the long-term benefit of our community. Pool performance is shown below.

Pool Pool Assets
(as of 3/31/19)
3 Year Return*
(net of investment fees)
Inception Date of Pool Return Since Inception* Benchmark Returns Since Inception*
Long-Term Pool $101.5 M    8.26% 02/01/1997  6.28% 5.95%

Socially Responsible Long-Term Pool $22.8 M    7.19% 06/01/2001  4.89% 5.81%

Intermediate Term Pool $24.2 M    4.35% 08/01/2003  3.51% 4.54%

In consultation with our Investment Advisory Committee and Investment Consultants, we provide the following market update:

The CFSC investment portfolio is extremely well-diversified. While equity markets have seen an increase in volatility this year and especially last quarter, the portfolio holds a large allocation to core fixed income which is flat to slightly positive for the quarter. We believe the portfolios are constructed in a way that will provide good downside protection during periods of contraction and high volatility.  We anticipate that the volatility will continue during this time of tightening financial conditions, rising interest rates and slowing growth. However, we believe the best way to protect long-term investments during these times of increased volatility is to maintain a well-diversified portfolio, which is the case with CFSC’s portfolio.

  • Though Q3 and Q4 of 2018 saw a downturn in the market, resulting in a 1%-5% loss for the year, the investment pools over 10 years and since inception have strong performance. 
  • As of January 23rd, 2019, markets are up an average of 3%.
  • Our approach is strategic, not tactical. The investment plan is built around a disciplined approach, not market timing.
  • Bear markets are normal phases of the economic cycle. Risk and volatility is anticipated and has been considered in our long term plans and decision making.
  • Comparison Benchmarks do not include fees.

 

*All returns annualized. Foundation support fees are not included in return calculations. Information on investment managers and investment fees available upon request. For more details on performance and asset allocation for all pools, download our Investment Flash Reports:

March 2019 Investment Flash Report
December 2018 Investment Flash Report
September 2018 Investment Flash Report
June 2018 Investment Flash Report
March 2018 Investment Flash Report

To review our investment policy, download the CFSC Investment Policy Statement.