Financial Information and Policies
Bequests and gifts received: $12,121,941
Number of funds: 532
Assets at June 30, 2011: $250,217,561
Grants Authorized: $10,029,728
|
Academic Achievement |
$2,869,525 |
|
Arts and Social Enrichment |
$456,888 |
|
Economic Prosperity/Vibrant Neighborhoods |
$2,464,355 |
|
Healthy Ecosystems |
$730,817 |
|
Healthy People |
$3,447,628 |
|
Unclassified |
$60,515 |
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 then distribute the earnings to those projects or organizations that better the Greater Grand Rapids area.
The amount we are able to grant is a direct result of how our investments perform. This is why understanding the philosophy, objectives, and investments of the Grand Rapids Community Foundation's assets is essential to the Foundation's donors, their grantees and the members of 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 |
| 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 Capital Aggregate Index |
| 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.
- Bonnie Miller joined the Investment Review Committee in August 1999. She retired from United Bank where she worked for 35 years. Prior to that she worked six years at First of America Bank where she was the first woman in consumer lending and first woman Branch Supervisor.
- 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. He joined the Investment Review Committee in 2010.
- Michael G. Rosloniec, CFA, CFP, CIMA is Family Wealth Director and Institutional Consulting Director with Graystone Consulting.
- 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 the Senior Investment Manager at Legacy Trust. Prior to joining Legacy Trust, Kerby was a Senior Portfolio Manager for the Wealth Management Group at Fifth Third Bank.
The Community Foundation's latest 990/990-T and a complete copy of our audit are available by calling Lynne Black, Vice President of Finance at 616.454.1751 x107 or click here to email your request.