Supporting a wide range of community projects and initiatives!
Every year, the Community Foundation supports a wide range of community projects and initiatives. In 2024, the foundation granted $1.8 million for programming and initiatives on behalf of donors. Our role is to be the connector for donors with charities to enable them to do their good work.
Our Endowment Model
Donations made to the Community Foundation are held in trust and pooled together into funds called endowments. Endowments generate income that is used to make grants.
As of December 31, 2024, our board, staff, and investment committee managed $39.9 million in endowed and non-endowed funds, earning an average net rate of return in the last ten years of 6.95%. A portion of the investment income provides a steady stream of grants that will benefit Kingston & Area for the future.
What makes up the Main Pooled Fund?
The fund is made up of donors’ endowed funds, agency endowed funds, and funds established by the Community Foundation. Invested together as a larger pooled fund, the collective impact of the smaller funds is greater.
How is the Pooled Investment Fund invested?
The fund is invested following the Community Foundation’s Investment Policy, as overseen by the Investment Committee and our Board of Directors.
The long-term goal of the Investment Policy is to generate sufficient returns, consistent with the Trustee Act of prudent and professional portfolio management, to allow steady and reliable granting, support the Community Foundation’s operations, and to preserve the endowed capital.
We maintain a portfolio consistent with a moderate risk investor. A moderate risk investor believes in managing risk by balancing a portfolio through strategic asset allocation (a prudent blend of cash & equivalents, equities, and fixed income investments) and diversification of investments across geographies and business sectors.
Our key investment beliefs are as follows:
Significant returns from tactical asset allocation (or market timing) are not reasonable given the objectives of the Community Foundation.
Asset allocation rather than security selection is responsible for most of the portfolio performance.
Portfolio diversification is achieved by diversifying across asset classes and geographic location
The scale of the portfolio does not permit significant investment in alternative asset classes.
For detailed information refer to our Investment Policy.
How does the foundation make decisions on spending the Pooled Investment Fund?
The Board of Directors, based on its Spending Policy, sets the Foundation’s granting rate annually, based on the Finance & Audit Commitee’s recommendation. The aim is to protect the fund against inflation for long term community benefit and provide stability in the granting amounts available for recipients.
For detailed information refer to our Spending Policy.
