I hope your 2019 is off to a great start. As we look back over the past 12 months, I want to share some perspectives with you.
We closed the giving season strong! In calendar year 2018, we invested $14.7 million in grants in our community. Donors gave a total of $30.5 million to all DCF funds (compared to $23.6 million in 2017), including $9.4 million in gifts and bequests of appreciated stock (compared to $1.6 million in 2017).
While it was a good year for giving, we all recognize that the markets are unstable and not performing as well as we would like. Despite the market volatility, the DCF’s investment portfolios remain competitive. SEI, our outsourced chief investment officer, continues to monitor markets closely and is not projecting a downturn in 2019. Please see the letter SEI has prepared for DCF fundholders.
Fund statements* for the period ending December 31, 2018 (Q2 FY19) are now available on DonorCentral®. Statements include e/SEI_letter_1-2019ach fund’s relevant investment pool performance. Each pool’s full dashboard, along with SEI’s Quarterly Review, is at delcf.org/investments.
One of the DCF’s important roles is to build a permanent source of charitable resources to help address Delaware’s current and future needs. Our responsibility includes preserving capital to ensure that assets are available for the future. To that end, as of July 1, 2019, the DCF will – with funds over which we have full discretion (discretionary grant funds and DCF operating funds) – begin granting 4.5 percent, rather than the 5 percent allowed by our spending policy.
At the same time, we are not changing our official spending policy or practice for any other funds – including agency funds, donor advised funds and others. While DCF fundholders will still be permitted to make grants based on the 5 percent payout rate (i.e., 5 percent of the average balance for the previous 12 quarters), you may want to consider reducing the rate to 4.5 percent to preserve the longevity of your fund. If you would like to adjust the spending calculation for your endowed fund, please visit delcf.org/spending.
If you’d like to discuss your options more fully, or if you have any questions about your statement or spending policy, please contact Marie Stewart, donor services manager, 302.504.5230.
With best regards and thanks for all you do,
President & CEO
* Please consider “going green” by viewing statements online only.