Endowment Giving
- An endowment is a philanthropic tool that is forward-looking and sustainable. It is sustainable because it renews itself through smart investing and preservation of the principle.
- Endowment allows for immediate gifts because people have given to it in the past. There are funds available at any time to help with a variety of causes.
- An endowment speaks to the future of a community and the desire of people in the present to make sure that generations are ensured the same or better quality of life.
An endowment can be compared to a savings account or a retirement savings plan. People make donations to an endowment and the funds are invested with growth as a goal. From the income, grants are made and the principle of the gift always remains intact.
In the case of the Community Foundation the gift remains whole forever and a portion of the income - about 5 percent a year - is spent on grantmaking. This "spending rule" allows for continued growth of the endowment through reinvestment of earnings and new gifts.
The mission of the Grand Rapids Community Foundation speaks to endowment - Our mission is to build and manage the community's permanent endowment and lead the community to strengthen the lives of its people.
I did not find the world desolate when I entered it. My fathers planted for me before I arrived, so I plant for those who come after me. -- From the Talmud
© Grand Rapids Community Foundation - 161 Ottawa Avenue NW 209 C - Grand Rapids, Michigan 49503 - 616.454.1751
