Positioning Your Charitable Funds for Growth

Positioning Your Charitable Funds for Growth

The Investment Committee believes that grants to be made in the future are as important as grants made today. This is consistent with the philosophy that The Community Foundation is to exist in perpetuity, and therefore, should provide for grant making in perpetuity. To attain this goal, the overriding objective of this Foundation is to maintain purchasing power. That is, net of fees, the objective is to grow the aggregate porfolio value at the rate of inflation +5%. 

Combined Investment Fund Profile, December 31, 2011

The Combined Investment Fund has assets of over $88 million and is a pooled fund of the assets of many of the three community foundations’ component funds. At December 31, 2011, the allocation of the Combined Investment fund was as follows:

Fixed Income Equities 31.71%
Southeastern Asset Management 1.21% (Large cap value)
ASB Capital Management 4.29% (Large cap value)
Russell 1000 value index 7.01% (Large cap value)
Russell 1000 growth Index 12.62% (Large cap growth)
Mid Cap Value Index 6.74% (Mid cap value)
Thompson Siegel 6.52% (Small cap value)
Delaware Capital Management 7.60% (International equities)
NWQ 7.37% (International equities)
Emerging Markets Index 2.48% (Emerging markets)
Lazard Emerging Markets 1.85% (Emerging markets)
Alternative Investments 11.18% (Fund of Funds, Archstone, Frontpoint, Paulson, Ivory and Marinar Tricadia)


Preliminary (September 30 results for the alternative investments were not available at the printing of this information) results for the combined investment fund show the fund down 8.201% for the quarter ending September 30, 2011. The Policy index of 60% of the S&P 500 and 40% Barclays Aggregate Bond Index was down 8.206%. Below is the performance of the individual managers that make up the combined investment fund.       


 

Combined Investment Fund Returns --- July 1 – September 30, 2011

Fund Manager Return Index Comparison Index Return
Archstone
Frontpoint
Ivory
Mariner Tricadia
Paulson
UBP

-8.33%
-8.80%
-3.45%
-4.95%
-16.26%
-2.06%

HFRI Fund of Funds
HFRI Fund of Funds
HFRI Fund of Funds
HFRI Fund of Funds
HFRI Fund of Funds
HFRI Fund of Funds
-3.51%
-3.51%
-3.51%
-3.51%
-3.51%
-3.51%

Russell 1000 Growth Index
Southeast. Asset Mgt
ASB Capital Mgt
Russell 1000 Value Index
Thompson Siegel
Mid Cap Value Index

-12.98%
-20.23%
-10.55%
-14.93%
-21.23%
-18.23%

R1000G
R1000V
S&P 500
R1000V
R2000V
Russell Mid Cap Idx

-13.14%
-16.20%
-13.87%
-16.20%
-21.47%
-18.46%

NWQ
Delaware Capital Mgt
Vanguard Emerging Mkt
Lazard Emerging Markets
-13.90%
-13.45%
-25.87%
-20.87%
MSCI EAFE
MSCI EAFE
MSCI Emerging
MSCI Emerging
-18.95%
-18.95%
-22.46%
-22.46%
Fixed Income Combined
Combined Fund Total
-2.70%
-8.201%
Barclays GC Index
S&P 500 / Barclays GC Index
-.29%
-8.206%

 

Combined Investment Fund Returns --- April 1, – June 30, 2011

Fund Manager Return Index Comparison Index Return
Archstone
Frontpoint
Ivory
Mariner Tricadia
Paulson
UBP
-.29%
-2.14%
-.59%
.15%
-6.23%
3.12%
HFRI Fund of Funds
HFRI Fund of Funds
HFRI Fund of Funds
HFRI Fund of Funds
HFRI Fund of Funds
HFRI Fund of Funds
-1.32%
-1.32%
-1.32%
-1.32%
-1.32%
-1.32%
Russell 1000 Growth Index
Southeast. Asset Mgt
ASB Capital Mgt
Russell 1000 Value Index
Thompson Siegel
Mid Cap Value Index
.89%
1.33%
1.36%
-.61%
.23%
.31%
R1000G
R1000V
S&P 500
R1000V
R2000V
Russell Mid Cap Idx
.76%
-.50%
.10%
-.50%
-2.65%
-.69%
NWQ
Delaware Capital Mgt
Vanguard Emerging Mkt
Lazard Emerging Markets
-2.49%
3.14%
-.66%
.49%
MSCI EAFE
MSCI EAFE
MSCI Emerging
MSCI Emerging
.61%
.61%
-1.44%
-1.44%
Fixed Income Combined
Combined Fund Total
1.01%
.537%
Barclays Gov/ Corp Index
S&P 500 / Barc. Gov/ Credit Policy Index
2.12%
.908%

 

Combined Investment Fund Returns --- January 1, – March 31, 2011

Fund Manager Return Index Comparison Index Return
Archstone
Frontpoint
Ivory
Mariner Tricadia
Paulson
UBP
1.92%
0.65%
3.57%
6.28%
10.71%
-26.01%
HFRI Fund of Funds
HFRI Fund of Funds
HFRI Fund of Funds
HFRI Fund of Funds
HFRI Fund of Funds
HFRI Fund of Funds
0.82%
0.82%
0.82%
0.82%
0.82%
0.82%
Russell 1000 Growth Index
UBP Asset Mgt
- 12.06%
- 1.06%
R1000G
HFRI Fund of Funds
-11.74%
- 1.66%
Russll 1000 Growth Index
Southeast. Asset Mgt
ASB Capital Mgt
Russell 1000 Value Index
Thompson Siegel
Mid Cap Value Index
6.86%
8.56%
4.18%
6.86%
6.79%
7.31%
R1000G
R1000V
S&P 500
R1000V
R2000V
Russell Mid Cap Idx
6.02%
6.46%
5.92%
6.46%
6.59%
7.44%
NWQ
Delaware Capital Mgt
Vanguard Emerging Mkt
Lazard Emerging Markets
- 0.16%
3.66%
1.64%
-3.06%
MSCI EAFE
MSCI EAFE
MSCI Emerging
MSCI Emerging
3.44%
3.44%
2.10%
2.10%
Fixed Income Combined
Combined Fund Total
0.65%
2.63%
Barclays Gov/ Corp Index
S&P 500 / Barc. Gov/ Credit Policy Index
0.34%
3.68%

 

Year CFNCR Combined Fund Total 60% S&P 500/40% Barclays Gov/Corp
2010   12.74% 11.84
2009 22.94% 17.72
2008 -27.35% -24.28
2007 5.34% 6.18%
2006 12.67% 11.03%
2005 3.97% 4.96%
2004 6.68% 7.23%
2003 17.59% 17.70%
2002 -6.10% -9.61%
2001 6.37% -3.53%
2000 11.58% -0.72%
1999 2.20% 10.84%

The Community Foundation’s Investment Committee is comprised of donors and members of the Community Foundation of the National Capital Region’s Board of Trustees. The key to long-term success is to maintain a strong, intelligent discipline with regard to asset allocation strategy and to use highly skilled investment managers. Our experienced Investment Committee oversees the investment management policies and monitors our investment performance.

John Terry Beaty, Chair
Brown Advisory

Mary Pat Alcus
Vice-Chair, Board of The Community Foundation for Montgomery County

Daniel K. Mayers
Of Counsel, Wilmer Cutler Pickering Hale & Dorr

Craig Pernick
Chevy Chase Trust

Mark Rothman
The MYTA Corporation

Martin Weinstein
Willkie Farr & Gallagher