What’s an endowed fund?
An endowment fund is a permanent, self-sustaining source of funding. Endowment assets are invested. Each year, a portion of the value of the fund is paid out to support the fund’s purpose, and any additional earnings are reinvested. In this way, an endowment fund can grow and provide support for its designated purpose forever. When you establish an endowment fund, you establish your legacy.
What can I do with an endowed fund at the DCF?
In most cases, you can support any charitable cause or organization you choose — in Delaware or around the world –– through an endowed fund. Many types of endowed funds exist, including donor advised, scholarship and designated funds.
Why should I put my charitable dollars in an endowed fund?
When you put charitable dollars in an endowed fund, they grow with the market, like any investment. Sine inception in 1986, the DCF’s portfolio has grown an average of 7.4% every year, consistently outperforming the benchmark against which we measure ourselves (see table).
Try our endowment calculator to see how your charitable fund could grow and generate more money for the causes you care about.
What does it take to start an endowed fund at the DCF?
You can create an endowed fund with just $10,000 and a signed fund agreement. (Scholarship funds require $25,000.) Our goal is to help you create a customized plan to achieve your unique charitable goals, realize tax benefits, and maximize impact.
Can my financial advisor or estate planner be involved?
Yes, we work very closely with our clients’ advisors and often partner for the long term.
Who invests the money in your endowment?
The DCF Investment Committee is responsible for implementing the DCF’s investment policy. The committee receives advice from PrimeBuchholz, an independent fee-based investment advisory firm specializing in nonprofits, with large institutional clients. For more information on our portfolio, see our quarterly investment brochure.
How can nonprofits increase their endowments?
Try our e-Tools to help donors learn about opportunities to support your endowment through immediate or legacy gifts.