Foundations & Endowments

 

Due to their unique withdrawal and spending requirements, foundations and endowments are different from other long-term investments.

Foundations

Each foundation requires the integration of its individual spending plans with a long-term strategic approach, tactical adjustments over time and a sophisticated ongoing cash management strategy. This quantitative approach is specifically modeled, tested and integrated with a prudent investment policy to increase the probability of meeting unique spending and distribution goals while maintaining and growing the fund. Performance reporting is benchmarked and done at the portfolio, asset class and individual manager level to ensure accountability and transparency throughout the relationship. At Brightworth, we help prevent the common oversights that many foundations make, guiding them through frequently asked questions like those listed below:

  • Have we adequately diversified?
  • Are we holding too much cash?
  • Are we taking inflation into consideration?
  • Are we overemphasizing liquidity?
  • Do we understand the financial risk involved?
  • Are we overemphasizing income-producing investments?
  • Are we taking advantage of professional help?
  • Are we only using traditional stock and bond asset classes?
  • Are we taking advantage of alternative investment strategies as a way to reduce risk and enhance returns?

Endowments

An endowment is a long-term fund that is constrained by its own particular purpose and needs. Endowments demand a unique investment strategy that integrates the organization's spending policy with a prudent long-term Investment Policy Statement. Since each endowment's risk is based on the organization's spending policy, endowments are often the last institutions to suffer from the timing pressures generated by short-term investment performance. However, if investment and spending strategies have not been properly integrated, the endowment will suffer.

The Brightworth Global Investment Solution provides structured flexibility within each asset class to reduce correlated risk and enhance returns over the long term. Performance reporting is done at the portfolio, asset class and individual manager level to ensure accountability and transparency throughout the relationship.

Our Expert Advisors

Ray V. Padrón, CPA, CFP®, CIMA®
Ray V. Padrón, CPA, CFP®, CIMA®
Chief Executive Officer | Wealth Advisor

Ray has over 25 years of experience working through the complex wealth planning issues business owners, executives and retirees face. His expertise and experience brings a unique...

Nathan Corbitt, CPA, CFA, CFP®
Nathan Corbitt, CPA, CFA, CFP®
Partner | Wealth Advisor

Nathan’s experience as a tax advisor and keen understanding of investment strategy and economics allow him to provide individuals with a basic understanding of the most complex aspects of their financial lives.

Dave Polstra, CPA, CFP®, CIMA®
Dave Polstra, CPA, CFP®, CIMA®
Partner | Co-Founder | Wealth Advisor

Dave's more than 30 years of experience working with executives, widows and charitable organizations brings wisdom and insight that is unprecedented in the wealth management field.