Donors can choose endowment, non-endowment or reserve, perpetual care and donor advised fund. Options provide the donor with access to asset management services at competitive rate and to expert assistance and advice tailored to their specific investment needs and goals. Please see the chart below for more information about endowed versus non-endowed or reserve funds. At the time a donor establishes a fund, the donor will execute a fund agreement with VCCF which specifies the type of the fund and identifies the charitable purposes or beneficiary(ies) of the fund. Distributions for charitable purposes will be made in accordance with the fund agreement.
Currently, the VCCF’s portfolio follows a balanced investment approach for all funds except perpetual care funds, which calls for a target asset allocation of 60% stocks and 40% bonds. The VCCF currently uses the following three managers:
Perpetual Care Funds state regulations require that no more than 30 percent of the funds can be invested in the stock market and 70 percent in bonds:
A copy of the VCCF Investment Policy Statement (IPS) is available upon request by contacting Ellen Kane at [email protected].
The VCCF using CAPTRUST to manage investments. CAPTRUST is an employee owned 30 year old company with 1,500 institutional clients and $243 billion in clients assets under advisement. CAPTRUST works with many Catholic institutions around the U.S. and has adopted investment objectives as set forth by the United States Conference of Catholic Bishops on socially responsible investing. From a practical perspective, the selection of securities incorporates the utilization of social screens and faith based funds to achieve the VCCFF’s investment objectives and support Catholic teaching. This includes screening of the criteria across the following areas:
Fees include 37 basis point fee for money managers
6 The VCCF’s Investment Committee continuously monitor fees, in conjunction with portfolio size and performance. The goal of the fee policy is to ensure attractive and fair administration costs while leveraging the entire portfolio value.
The VCCF’s investment portfolio is unitized (target date of fiscal 2015) thereby enabling contributions to be pooled for the purpose of gaining economies of scale in investing and administration, and thereby, achieve greater cost efficiencies. From an administration standpoint, a unitized accounting system accounts for each donor’s contribution within the VCCF’s overall portfolio on the basis of units (or shares). Each contribution receives units representing its proportionate share of the portfolio. Units are valued monthly to adjust for income earned by the underlying securities held in the portfolio as well as changes in market value.