Endowment Fund Governance

The Endowment Fund Board is a fundraising and financial governance board. Endowment Fund Board includes: 17 members including four designated officers from the current and immediate past JLPA•MP Board of Directors (President and Finance VP) Three officers (Chair, Secretary and Treasurer) Three Committees (Marketing, Finance & Investment, Nominating)  The Endowment Fund Board has numerous operational policies, which guide its governance, including an Investment Policy Statement. The JLPA•MP Board of Directors must approve all changes to Endowment Fund Board Operational policies and individuals nominated for Endowment Fund Board service.

Investment of the Endowment Fund
The Endowment is currently managed by The Investment Fund for Foundations (TIFF), a highly respected, member-owned cooperative. TIFF was created in 1991 by a nationwide network of foundations dedicated to enhancing the investment returns of nonprofit organizations.

The League’s Endowment is invested in TIFF’s Multi Asset Fund, which provides, in one vehicle, all of the asset classes that TIFF deems prudent for perpetual institutions to own. The Multi Asset Fund’s investment objective is to attain a growing stream of current income and appreciation of principal that at least offsets inflation, achieving a total growth rate equal to the Consumer Price Index (CPI) plus 5%. The highly diversified nature of this fund should, in theory, decrease the volatility of the League’s investment.
 

The Endowment Fund of the JLPA•MP is comprised of: Restricted funds (gifts by donors who intend that the funds become a permanent investment of the League) Unrestricted funds (earnings from the Endowment, plus monies from the general operating budget of the League given to the Endowment Fund by the League Board or other committees)

The two types of funds are accounted for separately in the League’s bookkeeping system so that the restricted gifts are never spent unintentionally. In addition, a written procedure for balancing the Endowment Fund gift record with our investment accounts and our internal books ensures that the restricted funds will never be spent unintentionally.

The Endowment Fund Board, in conjunction with the League Board, has developed an investment policy for management of the Endowment Funds, a policy for the annual payout from the Endowment, and a gift acceptance policy.

Value of the Endowment Fund (as of April 30, 2009)
Corpus (restricted)	$ 1,475,858
League Designated Funds (LDF)	453,217
Investment Gain (less fees)	228,401
Contributions to the General Fund	- 274,962
TOTAL	$ 1,882,514

 

Fund Stewardship
In addition to a yearly audit, contributions to the Endowment Fund are reconciled monthly. Fund performance is overseen by the Finance & Investment Committee of the Endowment Fund Board. The League is in the process of creating an Investment Oversight Committee, comprised of both League members and community members, whose function is to advise the Endowment Fund Board and the League Board on investment strategy should investment results not meet goals.