What is an Endowment Fund?
Endowment funds are often used by nonprofits, universities, hospitals, churches and SRHS Foundation in particular. They are funded by donors and the donations are tax deductible.
The fund provides a permanent source of income for student scholarships, programs and Departments at SRHS. Endowment funds are invested and up to 5% of the income annually directly supports programs as designated by the donor. The percent amount paid each year may vary with the market.
Endowment funds answer the growing need to have long term financial stability in order to deliver a consistent cash flow despite changes in the economy and State funding.
Does the SRHS Foundation Currently have an Endowment Fund?
Yes. The SRHS Foundation initiated its endowment fund in 1992. The fund has grown over the years to over $4,654,257.00. The growth of the fund has been achieved through restricted and unrestricted planned gifts, and net seat plaque sales, Board policy direction of up to 10% of directed and undirected gifts each year and the addition of funds previously stewarded by the school district.
Is There a Minimum Necessary to Establish a New Endowment?
Yes. The minimum amount to establish a new endowment fund with the SRHS Foundation is $10,000. The endowment can be unrestricted which means the fund’s income will be used for broad needs of SRHS as determined by the SRHS Foundation Board.
Alternatively, you may designate a new endowment fund as a restricted gift which will direct the fund’s income toward a specific Scholarship, Department or Program at SRHS. For example, the Foundation is currently conducting a ONE THOUSAND PANTHERS Campaign to help grow the amount of unrestricted funds. Interested endowment fund donors should also review the Planned Giving information.
How is the Endowment Fund Invested?
The Foundation’s current investment policy stresses a prudent and conservative strategy to emphasize consistent returns.
The SRHS Foundation endowment fund is invested with our partners at Morgan Stanley. The investments are diversified in an additional effort to ensure the safety of the portfolio and to reduce volatility.