Question
Your nonprofit has a small endowment fund that is managed in-house by a financial manager. The endowment has not been generating consistent return to support
Your nonprofit has a small endowment fund that is managed in-house by a financial manager. The endowment has not been generating consistent return to support your nonprofits programs. This was especially true as the financial crisis hit in 20082009, when your fund lost a substantial amount of its value. An initial investigation revealed that the endowment is primarily invested in a 90/10 split between stocks and bonds. Given that your nonprofit is small and has a small endowment, no statement of investment policy has been created, and the board has been busy soliciting operating funding for existing programs. You are the new executive director. What will you do to improve the performance of the endowment fund?
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