Jack's Journal - February 2021

 

The Financial Intersection of COVID Expenses and the (inflated) Stock Market

Jack Horak
Director of Nonprofit Education & Consulting
TANGO

Nonprofit organizations which are fortunate enough to have an endowment typically have two formal policies: an Investment Policy and a Spending Policy.

The first goes to the actual investments (what stocks and bonds to own), and the second goes to the percentage of the endowment’s value that will be spent in any one year.

In this month’s video edition of Jack’s Journal, I interview two TANGO Partners to discuss what impact, if any, should unusual expenses arising from the Pandemic have on the spending policy? Is it prudent, or imprudent, to tap the extraordinary market appreciation of the last 12 months? What are the investment and the legal implications in a situation of this type?

My guests are Ben Kille from Private Capital Group and Ed Spinella, Esq. from Murtha Cullina. We hope you enjoy the interview and please reach out directly to Ben or Ed with any questions you may have.

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TANGO

Jack Horak
Director of Nonprofit Education & Consulting

TANGO – The Alliance for Nonprofit Growth & Opportunity
135 South Road
Farmington, CT 06032
877-708-2646
tangoalliance.org

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With over 1,800 nonprofit organizations throughout New England, TANGO has become a powerful community helping nonprofit organizations reach their mission.

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