Investment objectives are established . . .
. . . for each Foundation account based upon the account’s purpose. Accounts are classified into one of four investment program 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. Generally, the risks of equity investments (stocks) are greater than those associated with fixed income investments (bonds). Historically, and over the long term, the total return generated by equity investments should be greater than that generated by fixed income investments.
It is important to note that the value of investment portfolios and Funds will fluctuate. An investing organization should consult its own advisors regarding risks, rewards, and other aspects of investing in any investment program made available through the Foundation. 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 fund investment managers for its investment programs.
These mutual funds are selected with the assistance of an independent investment consulting firm. 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 participant–that is, none of these accounts are technically pooled together or commingled. The Foundation opens on behalf of each participant a separate account in the Foundation’s name with a licensed third-party financial service institution. The Foundation utilizes the custodial services of a bank’s trust department to maintain its accounts for participants.
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 compensation from churches and diocesan institutions for services it provides.
The mutual funds’ investment 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.
Monthly account statements are provided to participating churches and Diocesan institutions. Quarterly reports are also provided. Quarterly reports include investment performance and other performance or market conditions information.
The Foundation’s investment of participant funds is organized and operated at all times exclusively for religious, educational, benevolent, fraternal, charitable, or reformatory purposes. The Foundation only provides investment services to qualified Diocesan participants that are exempt from federal taxation. No individual associated with or staff member of the Foundation receives commissions, salaries, or other special compensation related to the value of the Funds invested or collected.
THE FOUNDATION IS NOT A COMPANY REGISTERED UNDER THE INVESTMENT COMPANY ACT OF 1940, AS AMENDED, AND THE FOUNDATION DOES NOT OPERATE ANY FUND OR INVESTMENT POOL WHICH IS REGISTERED UNDER THE INVESTMENT COMPANY ACT OF 1940. THE FOUNDATION, AS WELL AS ITS EMPLOYEES, DIRECTORS, OFFICERS, OR AGENTS ARE NOT REGISTERED INVESTMENT ADVISERS UNDER THE INVESTMENT ADVISERS ACT OF 1940, AS AMENDED, OR IN THE STATE OF TEXAS.
Each eligible Diocese member church or Diocesan institutions wishing to become a participant in the Foundation’s investment services and invest in one or more of the Foundation’s investment program portfolios described above must sign an Authorizing Letter Agreement (provided upon request). Additional information for participants regarding the Foundation’s operations and governance is provided at the time an eligible Diocese member church or Diocesan institutions signs-up to utilize the Foundation’s investment services.
The content of this Website is generated for informational purposes only. The Episcopal Church Foundation in West Texas is not soliciting any action based on the content of this Website and it should not be construed as an offer to sell or the solicitation of an offer to buy or subscribe for any security or service. The Episcopal Church Foundation in West Texas does not represent that the content of this Website is complete or comprehensive and does not guarantee the accuracy, timeliness or completeness of the information being made available to you in this Website. The content of this Website does not constitute an offering, or a solicitation to buy any equity shares or any other securities.