Choose From a Number of Investment Options

Just as an individual investor or family has an established time horizon and risk tolerance for its personal investments, a donor advised fund can benefit from the same thoughtful approach. We offer a wide array of investment management options to ensure your fund is invested to best advance your giving goals.

The Minneapolis Foundation maintains a variety of investment portfolios designed to meet a range of philanthropic goals, time horizons, and risk tolerances. Some portfolios attempt to maximize return and some to minimize volatility.

Below are the investment strategy options available at the Foundation.

(Click on each of the options below for a PDF file with details.)

• Social Impact Growth: The investment goal of this portfolio is to achieve a steady total rate of return by preserving capital and managing the risk-return relationship in order to maintain real purchasing power over time with a goal of outperforming an absolute benchmark of the CPI plus an annual payout ratio of 5.00%. This portfolio invests in a diversified portfolio of global stocks and bonds issued by companies with strong financial and social records and favors forward looking companies that confront society’s challenges and avoids those set in unsustainable ways. This option is suitable for donors who want to maximize their fund growth and give only from their income over a period of 10 or more years.
  
  
• Long-Term Growth: The investment goal of this portfolio is to achieve a steady total rate of return by preserving capital and managing the risk-return relationship in order to maintain real purchasing power over time with a goal of outperforming an absolute benchmark of the CPI plus an annual payout ratio of 5.00%. This option is suitable for donors who want to maximize their fund growth and give only from their income over a period of 10 or more years.
  
  
• Balanced: The investment goal of this portfolio is to achieve moderate growth and income by investing in a diversified blend of equity and fixed income securities. The equity portion of the portfolio serves as the growth engine by seeking toinvest in high quality growth companies that have solid prospects for achievinghigh returns on invested capital with superior growth in business value. The fixed income portion of the portfolio seeks to reduce volatility and provide income. The portfolio is appropriate for donors with a moderate gifting horizon.
  
  
• Short Horizon: The investment goal of the Short Horizon portfolio is to minimize asset value fluctuation and to pay a moderate level of income commensurate with a low volatility portfolio. This portfolio has exposure to U.S. Treasury Infl ation Protected Securities (TIPS) in an attempt to mitigate the impact of inflation on fixed income and bond investments. This option is structured to minimize exposure to risk, while potentially realizing some limited growth. It is suitable for donors with a short giving horizon.
  
  
• Money Market: The investment goal of this portfolio is to maintain a non-fluctuating value and constant liquidity commensurate with that of money market funds. The portfolio may earn some current income commensurate with investments that are designed for principle preservation. It is appropriate for donors who do not wish to see any fluctuation in the value of their donor advised fund.

An investment committee, made up of professionals in the investment industry, guides the investment strategies of the Foundation and utilizes the expertise of an investment consultant, currently Colonial Consulting. Each investment strategy is carried out by hiring suitable and recommended managers in each asset class.

Need help choosing the right investment option for you? This simple questionnaire can help match your preferences with an investment strategy that’s right for you. Or contact us and we’ll connect you with a philanthropic advisor who can help you align an investment strategy with your giving goals.