Endowed funds are the School’s “savings account,” ensuring that the School will prosper in perpetuity. Donors making gifts to these funds specify that their contributions will be invested and that only the interest earnings from their investments will be spent.
As of June 30, 2015, the School’s overall endowment carried a market value of $41.5 million. Almost $35.4 million is in an unrestricted investment pool, which provides earnings the Board of Trustees and the School can use to meet current strategic initiatives, including capital improvements, faculty professional development, and creation of new programs.
The School also has temporarily and permanently restricted endowed funds which are valued at almost $6.2 million. These funds generate almost $300,000 each year. Earned interest from the School’s restricted endowments is used to support broad areas including financial aid, teacher excellence, capital improvements, and general operations, among others, or is invested back in the principal of the endowment. Some of these funds are described below.
Endowments are established legally as independent funds, and their financial returns are audited each year. As a result, the School has established policies to help avoid creating funds that incur costs while yielding minimal benefit.
At present, a named endowment fund may be created with a minimum of $25,000. Once this threshold is reached, a portion of the fund’s earnings (approximately 5%; the actual amount is established each year by the School’s investments committee and is based on market performance) will be allocated to achieve the fund’s goal.
If you are interested in learning more about the School’s current endowments or about establishing an endowed fund, please contact Warren Buford, associate head of school for advancement, at firstname.lastname@example.org or (434) 296-5106.