Prudent investment stewardship is essential to our mission of inspiring philanthropy and building permanent charitable assets to benefit communities.
We utilize the highest professional standards, achieved through the guidance of our Finance Committee, expert recommendations of our investment advisor, and the acumen of our investment managers.
Investment policy and objectives
The perpetual nature of philanthropy forms the basis for the exceptionally long-term horizon of the Foundation’s investment portfolio. Philanthropic investing has a longer-term horizon than personal investing, retirement investing or intergenerational investing. Our Investment Policy Statement outlines our full investment philosophy and objectives.
The primary investment objective is to preserve and protect historical endowment contributions over an indefinite time frame, while providing an average return that covers a 5% annual distribution, average 1% NCCF support fee and inflation.
Portfolio
Prudent investment stewardship is essential to our mission of building long-term charitable assets for the benefit of our communities. Our donors benefit from a collective investment approach that affords individual fundholders access to investment managers and products. With NCCF, donors may achieve broader diversification through alternative asset styles and liquidity options not usually available to individual investors.
Asset allocation and strategy
Achievement of our investment objective requires a moderate level of risk, a long-term investment horizon, and effective asset and liquidity diversification. Historically, equity investments have outperformed both fixed income (bonds) and cash (certificates of deposit and money market accounts).
A moderate asset allocation of 60% equity (stocks), 20% fixed income, 10% real assets and 10% alternative investments is appropriate for the long-term perspective of philanthropic investing and the investment objective to preserve fund principal and an appropriate return. All investment managers abide by the following asset allocation targets:
Investment Portfolio Oversight
The NCCF Finance Committee is comprised of experienced investment and business professionals drawn from our Board of Directors and the community. The committee oversees the management of NCCF’s investment portfolio. With support and guidance from our Finance team and investment consultant Graystone Consulting, the committee formulates investment policy, determines asset allocation, and monitors and evaluates investment performance.
Related News
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Email (919) 256-6916
As CFO, Wilson has full management responsibilities for all financial and compliance matters of NCCF, the Foundation’s investment portfolio and the work of our investment managers.
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