Investment Objectives


 

The Church’s Endowment Funds represent gifts given to the Church as restricted and unrestricted gifts to further the Church’s mission. The Endowment Funds are not looked to for current income to support the Church’s operating budget. These Funds are to be invested for long-term capital appreciation, with an objective of total return of five percent in excess of inflation. The Endowment Funds are the Church’s financial backstop, and so investment vehicles are limited to constrain risk, as noted below.


The Church’s Maintenance Funds are intended to support long-term maintenance needs of the Church’s facilities. Accordingly, there will be needs from time to time to withdraw capital and income from these Funds. To support these needs, the Maintenance Funds will be invested in medium-to-short-term fixed income instruments (or funds) that rate AA or better for investment risk.


The Church’s Funds will be invested, either directly or under management, in publicly traded U.S. equity securities,  corporate bonds and Treasury securities. The Funds will not be invested in private partnerships, foreign securities, junk bonds, real estate, collectibles, futures contracts or commodities.


The Funds will not be used to purchase securities of any issuer if, as a result of such purchase, the Funds would hold more than 10 percent of the voting securities of such issuer. Not more than five percent of the total net assets of the Funds (taken at market value) shall be invested in the securities of any one issuer (not including the U.S. Government).