GOLDEN RETRIEVER RESCUE OF THE ROCKIES (GRRR) INVESTMENT POLICY STATEMENT
Golden Retriever Rescue of the Rockies (GRRR) is a 501c(3) charitable organization that is dedicated to rescue, placement and public awareness, to ensure that Golden Retrievers are adopted by people who are able to provide a safe, loving home.
ENDOWMENT FUND PURPOSE:
GRRR hereby establishes a permanent endowment fund whose goal is to grow and provide a continuous flow of income over the years. This investment policy statement has been reviewed and approved by GRRR’s Board of Directors which recognizes that the more the endowment grows, the greater impact the organization can have on fulfilling its mission for the future. It will help ensure that basic services are always available to meet the needs of Golden Retrievers in our care, as well as potential new ventures which may be needed.
GRRR is establishing this permanent fund because it believes in building for the future and serving the community for many years to come. Establishment of an endowment that will exist in perpetuity means that GRRR considers its future needs to be as important as today’s. Because the endowment principal will not be used for short term operating costs, the Board believes it may be of special interest to donors who wish to extend the life of their gift and provide value for future generations.
Although GRRR has been successful throughout its existence in raising operating funds to achieve its mission, unforeseen costs could arise in the future. These could include such items as veterinary charges for a catastrophic epidemic, a change in the discounted kennel services, or added support for our volunteer staff. Availability of income from an endowment fund would supplement ongoing fundraising efforts to meet those needs.
DELEGATION OF AUTHORITY:
To assure future needs are met, GRRR’s Board of Directors has charged its investment committee with directing a team of professional investment advisors to maximize the fund’s total return. The Board will restrict the maximum percentage it will take out of the fund each year, preferably leaving the principal and remaining return untouched. Since the goal is to increase the availability of income for the future via long term growth, interest, dividends or capital gains beyond the annually established percentage available for use may be reinvested in the principal of the endowment. If funds are not needed for current short term operations, the endowment fund as a whole will remain untouched.
The investment committee will report investment performance results to the full Board on a quarterly basis, communicating any major changes in economic outlook, investment strategy, or portfolio management.
SPENDING POLICY AND PRINCIPLES:
The endowment Spending Policy is based on investment principles which are established to achieve long-term growth of the principal. They include diversification to minimize risk of large losses and reasonable efforts to control risk, resulting in growth of the aggregate portfolio value at least at the rate of inflation. The Golden Retriever Rescue of the Rockies Board agrees to open the endowment account and restrict withdrawals to 5% of the total fund. As mentioned above, the 5% will be reinvested along with the remaining return, unless required for operations.