The placement and safety of funds entrusted to the Foundation is the paramount responsibility of the Board of Trustees.
Funds are invested based on the donor’s intent. When a gift is given with the anticipation that grants will liquidate the fund in less than 10 years, the funds are invested in short-term instruments. For these temporary funds, liquidity and preservation of capital are the primary investment criteria.
With regards to endowments – permanent funds – the Board has chosen to work closely with the Seattle Foundation, the oldest, largest and most experienced community foundation in the region. The Seattle Foundation has an active investment program structure, utilizing professional institution investment managers. SCAF funds are commingled with those of the Seattle Foundation (as well as several other community foundations) and thus benefit from the resulting economics of scale.
It is the policy of the Stanwood-Camano Area Foundation to distribute 5% of aggregate endowment assets annually, leaving any balance in gains to offset inflation, hedge against market risk, and to further grow endowment funds.
Each endowment is tracked separately with all investment, contribution and grant activity posted quarterly. Quarterly statements are available upon request by the donors.
Contact the Foundation for more information on how we can assist you in meeting your philanthropic goals.