Written specifically for nonprofit trustees, professionals, students, and donors creating foundations and endowments, this book teaches investment, governance, and planned giving management for nonprofit, philanthropic, and civic organizations. Much of this information also applies to retirement investing and estate planning.
With nearly 30 years of experience as a financial advisor, foundation trustee, and adjunct professor, John Paul Phaup provides a needed and easy to understand tutorial about how to raise and invest donor money for long-term, sustainable revenue.
After reading this book, you will be able to:
- Define the income distribution requirements of foundations and endowments and why they receive special tax treatment
- Understand financial markets and the profound importance of inflation and interest rates
- Construct a Growth and Income portfolio using cash, bonds, and stocks according to Modern Portfolio Theory
- Fulfill fiduciary duties by following the 7 Standards of Care and create an Investment Policy Statement
- Describe donor tax motivations and manage financial strategies utilizing your nonprofit tax-exempt status
- Implement a Planned Giving campaign focusing on assets in transition-assets transferring at death and liquidity-generating business transactions.
This book provides a new description to promote attention to the monetary function of foundations and endowments, otherwise known as Agencies of Cash Flow.