Endowment: For Good, Forever
You’ve lived here. You’ve worked here. You’ve raised your family here. You are a part of Broward’s past and present. Endowment ensures you will be part of its future.
An endowment is a charitable fund you can establish at the Community Foundation of Broward, to provide long-term support that addresses a particular community issue or benefits a specific nonprofit organization.
Endowed funds differ from others in that the total amount of your gift is invested and each year, a portion of the income earned is granted according to your goals. The remainder is added to the principal, which continues to grow and grant, forever.
Your endowed fund serves as a permanent legacy for you and your family, and extends your values to future generations. It offers a way to define how you’ll be remembered and the impact that you’ll have on the causes you care about, for the next 100 years and beyond.
Endowment: For Good, Forever
When you create a permanent endowed charitable fund with the Community Foundation of Broward, you have the opportunity to make a difference during your lifetime and beyond.
Your endowed charitable fund:
- Is named by you and tailor-made to reflect your values, passions and philanthropic goals.
- Amplifies the impact of your charitable dollars by drawing on our philanthropic expertise and unmatched community knowledge.
- Can be established using cash, stock, IRA distribution, real estate, life insurance, gift from a private foundation, a grant from an outside donor-advised fund, and a wide variety of other assets.
- Functions as your powerful alternative to a private foundation without the additional administrative responsibilities.
- Carries on your legacy of bold community impact in perpetuity.
Whether you choose to give today or give tomorrow through your estate, the Community Foundation’s expert team will customize a plan to help you create bold impact that will continue for generations to come.
IN ONE YEAR, your fund balance is $100,500 and produces $5,000 in grants.
IN 15 YEARS, your fund balance is $107,768 and has produced more than $77,600 in grants.
IN 50 YEARS, your fund balance reaches $128,323, has produced more than $283,200 in grants and keeps growing.
Endowment: For Good, Forever
Endowment is a win-win for you and the causes closest to your heart. When you start your endowed fund at the Community Foundation, you receive: Expert guidance about local needs and opportunities to give with the greatest impact
Maximum tax benefits available under federal law
Administrative support so you can avoid paperwork and focus on the joy of giving
Highly personalized service ensuring your gift always supports the things you care about
Professional, long-term investment strategies to make the most of what you give and ensure your impact lasts forever
Opportunities to amplify your grantmaking impact by pooling resources with like-minded philanthropists
We take great care to invest wisely and transparently to produce income to tackle your charitable goals. With a nearly 40-year track record as an outstanding fiduciary, we are strong and stable –ranking among the top 100 community foundations in the nation.
Our endowment is a permanent, sustainable source of financial support made possible by philanthropists like you who partner with us to make life better in Broward. Your gift to the Community Foundation creates an endowed charitable fund, invested for the long-term in a diversified portfolio with a horizon in perpetuity. As we shepherd and grow your fund through careful investment, grantmaking from your fund increases over time. Your fund benefits from being part of a large institutional investment pool, with broad diversification and access to elite investment managers usually unavailable to individual investors.
The purpose of endowment is to grow permanent support to tackle big issues facing our community today and for generations to come. By investing endowed gifts, the Community Foundation produces a steady stream of annual grants to support community needs and specific causes forever. Through the power of endowment, we build resources to keep pace with big challenges in our fast-growing community.
Our goal is to earn a return that allows your charitable fund to make meaningful grants while also growing your fund’s endowed principal for increased giving power in perpetuity. Our objectives are:
• Grow principal of endowed funds
• Achieve long-term returns in excess of grantmaking and the rate of inflation
• Earn investment returns that meet or exceed performance benchmarks
• Carefully balance risk vs. return
Each year, 5 percent of an endowed fund’s balance is available to grant to qualified nonprofit organizations. Unlike private foundations, which are required by law to make annual distributions, the amount available to grant from a fund at the Community Foundation may be carried over from year to year to enable you to make larger grants that create greater impact in the community.
The Community Foundation’s Investment Committee includes career investment professionals and highly experienced business leaders. They set objectives and undertake quarterly reviews to monitor the portfolio and report back to our Board of Directors. The investment committee is supported by an independent investment consulting firm.
Community Foundation charitable funds provide an annual mission support contribution that powers the Foundation’s community leadership efforts and enables unmatched donor services that maximize the impact of your charitable giving. Our operating expenses are consistently less than 2 percent of our total assets, which aligns with industry standards.
For more information about the annual mission support contribution, please contact the Philanthropic Services Department at info@cfbroward.org or 954-761-9503.
Yes. You may choose to have your endowed gifts invested in our new ESG investment pool. ESG investing is widely seen as a way of investing “sustainably” where investments are made with consideration of the environment and human well-being, as well as the economy. It is based upon the belief that the financial performance of investments is increasingly affected by environmental and social factors.
You can maintain your long-term, trusted relationship with your personal investment advisor when establishing an endowed fund with a gift of $1 million or more. Subject to approval by the Foundation’s Investment Committee and compliance with all applicable rules and guidelines, the Foundation will retain your advisor to manage the investments for your fund.
Endowment: For Good, Forever
The Community Foundation offers several fund types to help you accomplish your philanthropic goals:
Unrestricted Fund: Your fund provides dedicated support to tackle our community’s most pressing needs as they evolve over time.
Field of Interest Fund: Your fund supports a particular cause that means the most to you, such as education, health, economic independence, food insecurity and more.
Donor-Advised Fund: You play a more active role in advising how grants from your fund are awarded to address the issues you care about most.
Designated Fund: Your fund supports specific nonprofit organizations you are passionate about in perpetuity, providing long-lasting support versus a one-time gift.
Scholarship Fund: Your fund will support education and vocational opportunities to help students achieve their full potential.
Nonprofit Endowment Fund: Enables a nonprofit organization to benefit from the Community Foundation’s diversified investment portfolio and financial expertise to create a perpetual source of support.
To learn more about our endowed charitable funds, visit our website at www.cfbroward.org or scan this QR code to download our booklet, Your Charitable Fund Made Easy.
Endowment: For Good, Forever
In 2008, Mary Mackenzie’s $12.1 million estate gift established an endowed, charitable fund at the Community Foundation. Mary trusted the Community Foundation to shepherd her fund and identify innovative opportunities for her support to transform the community. By establishing an unrestricted fund, Mary ensured that the Community Foundation could use her support to tackle new challenges and adapt to changing times.
Each year, Mary’s fund delivers more than $730,000 in grants to make life better in Broward. Mary’s impact includes support for groundbreaking classroom programs, teacher training and parental education and other innovative opportunities to help Broward students succeed.
Over time, Mary’s endowed fund has generated 272 total grants totaling nearly $9 million in critical community support. In 2022, Mary’s endowed fund balance at the Community Foundation was $12.8 million – more than her initial gift amount and able to keep growing, through the power of endowment. Had Mary treated this as a one-time non-endowed gift to a charity, their bold long-term impact would not have been possible.
For more information about creating your legacy with an endowed charitable fund at the Community Foundation of Broward, please contact our Philanthropic Services Department at 954-761-9503, email info@cfbroward.org or visit us online at cfbroward.org.
