UFF Foundation Non-Endowed Funds

Published: March 3rd, 2009

Category: Memos

Paul Robell, Vice President, Development and Alumni Affairs

The Foundation Board of Directors has revamped the structure of the non-endowed funds in response to campus input. Below are the changes:

  1. Beginning April 1, all new non-endowed gifts and endowment spendable transfers will no longer be invested in the non-endowed Pools A and B. These new monies will remain in the cash account of each Foundation fund. Future spending from non-endowed funds will be taken first from each non-endowed fund’s cash position, then from its Pool B investment and finally from its Pool A investment. You will be able to view the breakdown in each fund on the UF Foundation Financial Accounting System.
  2. All monies currently invested in non-endowed Pools A and B will remain in those pools until spent or until the investment pool is liquidated. We have requested that UFICO liquidate those investment pools, which they will do; they estimate this will take 12-18 months. Once completely liquidated, Pools A and B will be closed and all remaining monies transferred into each fund’s cash account. At that time, the Foundation will open a new investment Pool C for non-endowed funds to be held longer term; this pool will include an investment in the UFICO long term investment pool so potential market returns (or losses) may be earned; fund administrators may elect to invest in this Pool C.
  3. As previously planned, on July 1, 2009 the annual management fee on Pool B will be reduced from 3% to 2%. There will be no annual management fee and no earnings or losses on monies in a fund’s cash account or on monies already invested in Pool A.

If you have any questions, please feel free to contact Leslie Bram at lbram@uff.ufl.edu, Randy Settle at rsettle@uff.ufl.edu, or Alan West at awest@uff.ufl.edu.

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