The Power of Endowment
The Community Foundation of Whistler's role in the community is to grow legacies that benefit the community both now and for all the years to come.
An endowment fund is an investment that is created to generate perpetual income for a donor's chosen cause. We are like the savings account for the community.
The power of an endowment fund is that it grows over time, while making grants to good things for years to come. They are permanent resources for the causes you value in the community.
To demonstrate how powerful this can be, we will use the Kathy Barnett Endowment Fund, whose value as of December 2013 is almost $150,000, thanks to donations from friends, family members and members of the community.
Over the next 25 years, the fund is estimated to generate grants totalling over $200,000 and it will have an estimated market value of $278,000 (based on an assumed 8% rate of return), even with no further donations made to the fund. The $278,000 remains invested and will keep on generating grants year after year, beyond the 25 years.
This is how an endowment fund can turn a one-time gift into a gift that keeps on giving forever.
Note that actual fund growth will vary based on market conditions. Grants are based on 3.5% disbursement.