Episcopal Church Foundation in West Texas

investment program
Investment objectives are established for each Foundation account based upon the account's purpose. Accounts are classified into one of four model portfolios that cover a broad range of risk and reward characteristics. These are:
  • Capital Maintenance
    Invested to provide current income with very low expected volatility.
  • Income
    Invested to focus on current income with a very modest opportunity for capital appreciation.
  • Growth & Income
    Invested to achieve a reasonable balance between income and capital appreciation.
  • Growth
    Invested to focus on achieving capital appreciation. It may experience increased levels of volatility.
There are risks associated with all investments.

The value of an investment may fluctuate and at times the current value of an investment may be less than the amount of the original investment. It is generally agreed that the risks of equity investments (stocks) are greater than those associated with fixed income investments (bonds). It is also generally agreed that, over the long term, the total return generated by equity investments should be greater than that generated by fixed income investments.

The Foundation can provide no guarantee that either the investment objective for a particular account can be achieved or that the value of an account will not decline.
The Foundation uses third party mutual funds as its investment managers.

These mutual funds are selected with the assistance of Consulting Services Group, an independent investment consulting firm with over 90 clients representing in excess of $27 billion in assets. Funds are selected based upon their investment style, size, manager tenure, longevity, historical performance, and other factors.
The Foundation maintains a separate account for each church or other Diocesan institution-that is, none of these accounts are pooled together. Each account is maintained at Frost Brokerage Services, Inc., a registered broker/dealer, which provides custody and transaction services to the Foundation.
  Individual churches and other Diocesan institutions investing through the Foundation retain full discretion regarding distributions (payments) from their separate investment accounts, subject only to any governing documents (such as donor instructions, Trust instruments, etc.) that may pertain to a particular account.
The Foundation receives no payments from churches and Diocesan institutions for services it provides.

The mutual funds' managers charge expenses and management fees and these are paid by the mutual funds so that the investment performance of the funds is net of such expenses and fees.
  In addition to monthly statements provided by Frost Brokerage Services, churches and Diocesan institutions receive a quarterly report from the Foundation. This quarterly report includes investment performance and other information.