2. Endowment Consolidated Report A very useful tool in monitoring the overall status of your Endowments

3. But First Some-Definitions  Endowment – A special fund whereby the principal is held for investment and the (payout) interest earned on the principal is spent as directed by the donor. Requires *$40k to set up a basic endowment, $100K Fellowship, $300K Professorship, $2.5M Chair. True – Donor specifies principal is to be invested and maintained in perpetuity; only the income distribution (Payout) may be expended as per the designations in the signed endowment agreement. True – Donor specifies principal is to be invested and maintained in perpetuity; only the income distribution (Payout) may be expended as per the designations in the signed endowment agreement. Quasi – funds functioning as an endowment, that are set aside by the institution from either donor or institutional funds, and will be retained and invested and the payout expended as per the institutions designation. Quasi – funds functioning as an endowment, that are set aside by the institution from either donor or institutional funds, and will be retained and invested and the payout expended as per the institutions designation. Setup Forms and Naming-Approval Forms Setup Forms and Naming-Approval FormsNaming-Approval *Policy effective date 8-1-06

4. Fiduciary Responsibility  With the acceptance of endowment funds from an outside donor does the University have a Fiduciary Responsibility? Yes! We need to make sure the funds are held and expended in compliance with donors wishes Yes! We need to make sure the funds are held and expended in compliance with donors wishes  Do all endowments have a governing document which indicates how the payout is to be spent?  Yes!  Please let me know if you need a copy of the endowment agreements or need to know the purpose/restriction on any of your endowment

5. Consolidated Endowment Report Handout  Handout - Please copy the handout for your staff. Handout Make sure everyone that deals with endowments is aware of this report and that it can be run ANYTIME Make sure everyone that deals with endowments is aware of this report and that it can be run ANYTIME

6. Endowment Consolidated Report

7. Principal (35,55,72)  Donations (Cash, Gift in Kind)  Transfers in by Department

8. Endowment Income Fund 32  Fund 32 Income shows capital appreciation/interest earned on the invested principle Investment Pool (Account 1120) Ensign Peak (Church Entity) Investment Pool Buys and Sells-Net Claim on Cash Monthly earnings Journal entry

9. The Financial Services web page The Financial Services web page Checking the Investment Pool

10.  Click on “Organizations and Services” > “Services” > “Banking, Cash, and Investment” Checking the Investment Pool

11.  Click the link “Investment Pools Monthly Performance Return Chart” Checking the Investment Pool

12.  Shows returns in the Investment Pool  Claim on cash – Proposed Endowment Checking the Investment Pool

13. Subtotal  35,55,or 72 + 32  Shows balance that cannot be spent

14. Operating Fund 31  Shows the balance that should be spent as per restriction. We are monitoring spending/restriction  Payout-occurs in January of each year (32 to 31)  When is payout available for new endowments?  Setup in 2007, payout January 2009  Can unused funds be moved back to the 32?  Yes but on 72 (True Endowments) the funds should be spent  Send me an email and I will make journal entry

15. Total  Fund 72,55,72 +Fund 32 + Fund 31

16. Any Questions or Comments?

17. Yet a bit of comic relief…