Socially responsible investment announcement from CFO Tom Ferguson

In keeping with The Episcopal Church’s commitment to socially responsible investing, and as approved by Executive Council at its September 20, 2016 meeting, the diocese completed the co-investment of the diocesan endowment with the endowment fund of The Episcopal Church (aka DFMS Fund) in late December. The total transferred was in the amount of $19.62 million: $16.07 million from TIFF net of a half-percent exit fee and $3.55 million from FundX.

The diocese waited to receive TIFF’s fourth quarter distribution of $756,570.98, which was not subject to an exit fee, before making the transfer from TIFF in order to avoid an exit fee on those funds.

Including previous TIFF distributions in 2016 and some endowment cash the diocese retained, the current holding is a little over $1 million locally. It will be used to make the 2017 distribution to the various beneficiaries, which should be just sufficient for the purpose. You may recall that the endowment also includes real estate valued at about $1.1 million.

The DFMS Fund conforms to the mandate of Resolution C045, “Environmentally Responsible Investing,” passed by the 78th General Convention of the Episcopal Church, and therefore honors recent diocesan resolutions to align investments with The Episcopal Church’s social and moral values. The move to the DFMS Fund was the result of a robust discussion and study by the diocese’s Task Force for Socially Responsible Investing.

The diocese thanks Janet Brown for offering the services of FundX to manage the socially responsible portion of the endowment for the last three years at no cost to the diocese. That arrangement worked very smoothly and those funds enjoyed excellent returns.

The diocese also thanks John Quarterman again for steering the diocese through its socially responsible investing discussion and Bob McCaskill for identifying DFMS as a good solution for our endowment requirements.