INVESTMENT MANAGEMENT FOR NONPROFITS
INVESTMENT MANAGEMENT FOR NONPROFITS
As fiduciary advisors for trusts, nonprofits, and qualified plans for 48 years, The Fiduciary Group is uniquely suited to serve as the investment manager for private foundations, charities, endowments, and other nonprofit organizations. We have a long history of expertise in stewarding financial assets and prudently investing in the best interest of our clients and beneficiaries. For directors and trustees who have a fiduciary responsibility to oversee such assets, we serve as a trusted fiduciary partner to develop and implement the investment policy and strategies of nonprofit funds.
INVESTMENT POLICY STATEMENT
We work with the nonprofit's directors, trustees, and/or in-vestment committee to develop an Investment Policy Statement (IPS) that meets the needs of the organization. We take into consideration both the short-term operational needs and long-term financial goals of the nonprofit, as well as liquidity needs, risk tolerance, and other unique characteristics of the nonprofit and those it serves. The IPS serves as the frame-work under which we manage the organization's assets.
ASSET ALLOCATION AND PORTFOLIO MANAGEMENT
Asset allocation is the breakdown between equity, fixed in-come, cash, and alternative investments as outlined in the IPS. We gain exposure to asset classes through a combination of individual securities, mutual funds, and ETFs. We believe exposure to both active and passive strategies is prudent. We construct globally diversified investment portfolios which strive to balance expected returns, diversification, and overall portfolio expenses. Ongoing portfolio maintenance includes trading for model changes, changes in the nonprofit's circumstances, contributions and withdrawals, and rebalancing.
DUE DILIGENCE REPORTING FOR DIRECTORS AND TRUSTEES
The investment committee, directors, and/or trustees of nonprofits delegate to our firm the responsibility for investing the nonprofit's assets in accordance with the IPS. We provide ongoing due diligence and performance reporting to document that we are fulfilling the fiduciary role we have assumed. We meet regularly with the organization's investment committee to ensure that the investment policy, asset allocation, and strategies are achieving the targeted risk-adjusted returns while appropriately managing risk and liquidity requirements.
CASH FLOW PLANNING
We are able to use our financial planning capabilities to provide ongoing cash flow planning for nonprofits. This is a useful tool which allows the investment committee, directors, and/ or trustees to see forward-looking illustrations of asset accumulation and depletion scenarios based on various forward rates of return and cash withdrawal expectations.