Investing Charitable Assets
At Adirondack Foundation, we invest our assets to support the community’s current opportunities and needs while providing resources for future generations to address emerging needs. We use a well-diversified asset allocation strategy, executed through highly capable investment managers. If you have questions about our investment policies, please contact us at (518) 523-9904 or firstname.lastname@example.org.
Through the our investment policy, the Board of Trustees delegates investment management decisions to the Finance Committee. The Committee seeks counsel from Colonial Consulting, our investment consultant. Colonial Consulting is an institutional investment consulting firm that specializes in advising nonprofit organizations regarding their investments. Colonial has relationships with 98 institutions with aggregate assets of approximately $22 billion, and it currently works with 30 community foundations with combined assets of nearly $5 billion.
At Adirondack Foundation, we know that our success is built on the trust we have developed with our fund donors. Earning market level returns, providing excellent donor services and ensuring flexibility during stressful periods will continue to build on that trust. We continually look for ways to control volatility; we're in this for the long-term to strengthen the Adirondack region.
Adirondack Foundation, along with its investment consultant and committee, continually reviews its asset allocation strategy and investment manager selection. To see a list of our current Investment Committee members, please contact us directly.
Colonial Consulting recommends investment managers they believe will produce above-market returns.
Adirondack Foundation's spending policy relates to the amount available for grant distribution from individual funds. Adirondack Foundation works on a total return spending policy that is designed to maintain and, over time, increase the purchasing power of funds, providing a relatively steady and predictable level of grantmaking.
The current spending policy for Adirondack Foundation's permanent funds (presently 5%) is set by the Board based on the average market value of each fund's assets, including income, realized, unrealized appreciation and principal, at the end of the trailing 12 calendar quarters. This rate may be adjusted from time to time depending on investment performance or economic conditions. Unless otherwise restricted, we prudently and consistently administer all funds within the requirements of New York Prudent Management of Institutional Funds Act (NYPMIFA). Our spending level is based on long-term performance trends, thus avoiding major fluctuations. For certain funds the Board may approve a different rate, depending on donor objectives.