Endowments and foundations face the challenge of continually seeking out ways to attain and maintain their own permanence and stability, as well as creating what some institutions call “inter-generational equity”.
In order to achieve this, a balance must be struck between an institution’s spending policies and its corresponding investment practices.
Does an aggressive spending policy put the institution’s long term financial health at risk? Is the institution’s philanthropic agenda hampered because its investments are too conservative?
By recognizing its sensitivity to different spending and investment scenarios, an institution can determine the most appropriate strategies to seek the sustainable growth of its resources.
With our assistance, an endowment or foundation Board can agree on a given spending plan and design a corresponding investment policy. We then provide assistance in evaluating investment managers and vehicles to carry out the implementation and monitor their performance.
At CONSULTIVA, we are also well aware of the importance of aligning investments with an organization’s values. Faith-based institutions in particular, trust our responsible investing capabilities to assist them with the construction of portfolios in harmony with their beliefs.