Our Grand Rapids Community Foundation

Financial Information and Policies

By the Numbers as of fiscal year end June 30, 2014

 

Bequests and gifts received: $16.5 million

Number of funds: 643

Assets at June 30, 2014: $329 million

Grants Authorized: $10.7 million

Education

$2,955,980

Arts & Social Engagement

$3,233,330

Economic Prosperity

$1,305,310

The Environment

$1,054,191

Health

$1,430,838

Neighborhoods

$693,705

Investment Management

The Grand Rapids Community Foundation realizes that in order to care for and enrich the surrounding community, it is most efficient to pool together the resources of those who would like to help. This is the reason why we accept donations of various types, invest them in the most prudent way and distribute the earnings to those projects or organizations that better the greater Grand Rapids area.

The funds we are able to grant are a direct result of investment performance. Thus, an understanding the philosophy, objectives, and investments of the Grand Rapids Community Foundation's assets is essential to the Foundation's donors, grantees and the Grand Rapids community.

Investment Objective

Grand Rapids Community Foundation is entrusted with the investment and management of its endowment and with carrying out the wishes of its donors in the best interest of the Grand Rapids community.

Our investment objective is to preserve the real purchasing power of the assets after all withdrawals by earning a total rate of return over full market cycles (net of fees), which will support the spending policy. We invest assets in order to maximize the long-term return while assuming a reasonable level of risk.

Spending Objective

Our spending rule is set at five percent of a 16-quarter rolling average market value. The level of spending will always be between 4.0-5.75 percent of the current market value.

Benchmarks (Net of Fees)

Assets are expected to exceed these benchmarks over a full market cycle (3 to 5 years). Investment managers are expected to achieve their objectives while consistently adhering to their investment style.

Asset Allocation Parameters and Benchmarks

Operating Range

Asset Class

Long-term Optimal

Benchmark

18-26%

U.S. Equity Large/Mid Cap

22%

S&P 500, Rusell Growth & Value

5.5-10.5%

U.S. Equity Small Cap

8%

Russell 2000

12-20%

International Equity

16%

MSCI EAFE

6-12%

Emerging Equity

9%

MSCI Emerging Markets

0-4%

High Yield

2%

Merrill Lynch High Yield

10-30%

Domestic Fixed Income

12%

Barclays Indexes

15-35%

Alternative Investments

31%

Varies per asset class

 

Total Fund

 

CPI + 5%

Investment Review Committee

  • Jason R. Brinks is a Client Relationship Director with Oxford Financial Group, Ltd. He has 14 years of experience assisting families and institutional clients with their long-term financial, investment, tax and estate planning needs.
  • Ben Irwin is Director of Finance for Louis Padnos Iron and Metal Co. in Holland, MI and is Treasurer on the Board of Directors for Habitat for Humanity of Kent County. In 2013, Ben began his second time serving as an Investment Review Committee member for Grand Rapids Community Foundation. 
  • Peter Perez was on Presidential appointment and served for two years as Deputy Assistant Secretary for manufacturing in the Department of Commerce (2010-2012). He is the owner of Carter Products in Grand Rapids.
  • Michael G. Rosloniec, CFA, CFP, CIMA is Family Advisor, Family Wealth Director and Institutional Consulting Director with Graystone Consulting. He joined the Investment Review Committee in 2009 and served as committee chair since 2010.
  • Bob Roth joined the Investment Review Committee in 2009. He is the President and CEO of RoMan Manufacturing, Inc.
  • Kathy Vogelsang is Chief Investment Officer with Van Andel Institute. Kathy is responsible for the investment management of the Institute’s Endowment. She came to VAI in June of 2005 from Fifth Third Bank, where she was Vice-President/Senior Portfolio Manager in the Wealth Management Group. 
  • Kerby Wallick joined the Investment Review Committee in 2010 and is with StreamSong Advisors, LLC.  Prior to this, Kerby worked at PNC Wealth Management, US Trust, Legacy Trust and for the Wealth Managment Group at Fifth Third Bank.

Access the Community Foundation's audit here. The organization's latest 990/990-T are available by calling Lynne Black, vice president of finance at 616.454.1751 x107 or click here to email your request.