As a Community Foundation, Olympic View Community Foundation holds charitable endowments for the community in perpetuity. As stewards of the community’s funds, we have three main investment priorities:
- Protection of capital
- Maximization of return commensurate with safety
- Ensure capital growth
To meet investment goals, the Foundation follows a total return strategy, with the intent of maximizing the long term return of funds both from market-value increases (realized and unrealized gains) and from current-yield (interest and dividends). Following the national norm for most community foundations, assets are allocated among a number of equity, bond, and cash positions to produce the highest return and lowest risk. Investment decisions optimize the total rate of return and limit year-to-year risk of income and market fluctuations. The optimal portfolio allocation is one that carefully equates expected rate of return with expected risk of all investment categories used in the funds’ allocations.