Long-term growth of capital shall be defined as achieving a 5% return net of the rate of inflation and the combined administrative/investment fees in order to grow the Foundation's assets, as measured over a rolling five-year time horizon. This 5% net return target is derived from historical asset class returns and the asset class allocation adopted by the GHCF Investment Committee. The Foundation also seeks to exceed a weighted benchmark return based upon policy asset allocation targets and standard index returns over rolling five-year periods. GHCF recognizes that, because of overall market conditions, there may be certain periods of time that it may not achieve this performance goal. Risk management is an important element in the investment of Foundation assets. Short-term volatility will be tolerated inasmuch as it is consistent with the volatility of a comparable market index.

The responsibility of managing GHCF assets is vested in the Governing Board through its Investment Committee. This Committee, which is comprised of board members and volunteer investment professionals, has established policies and benchmarks for the Foundation's investment pool. This Committee meets at least quarterly and evaluates the performance of our investment managers against those policies and benchmarks. This Committee also rebalances the portfolio when asset class percentages change as provided in the investment policy.

GHCF currently employs an independent investment consultant, Jeffrey Slocum & Associates, to provide advice on the management, oversight, and administration of its portfolio. With Slocum's assistance, the Investment Committee determines the portfolio's risk tolerance and investment horizon, establishes asset allocation targets, selects and monitors the performance of individual managers, and establishes performance objectives and benchmarks for each manager. Solicitors for investment management services are referred to Slocum for consideration.

When a donor opens a new fund at GHCF, they choose from one of the six different investment pools, and are invited to change their pool choice once each year. The pools allow us to provide investment returns to all our donors and also enable us to offer a variety of investment fees. To view the pools, click here. For more information on the pool construction and fees, click here.

In addition, donors who have funds of at least $1 million may have the option of recommending GHCF work with their own financial manager. For the steps on establishing this option, click here.

For additional information on GHCF's investment policy and practices, a list of Investment Committee Members, and information on investment managers, please contact Bob Paddock at 713-333-2203.