4-H Endowment Trust
The Foundation’s Endowment
While the Massachusetts 4-H Foundation’s primary focus is to provide financial resources to help meet the immediate needs of the state’s 4-H programs, it also anticipates the future needs of Massachusetts 4-H. The Foundation’s ability to achieve both of these critical objectives is due, in large part, to the visionary efforts of its leadership in establishing and growing the Endowment Trust.
The 4-H Endowment Trust is a pooled investment fund comprising over 20 separate permanent endowment funds. The principal of each fund is held in perpetuity in accordance with the donor’s intent. Income from the endowment funds, which includes interest, dividends, and capital appreciation, provides supplemental funding for 4-H programs and to cover the Foundation’s overhead. The Endowment Trust is managed to grow the principal and to generate income for the purposes cited above.
The 4-H Endowment Trust is currently valued at over $7 million. Through the years, the Endowment has grown steadily as the result of both a sound investment strategy and a stream of new contributions to both existing and newly created funds. In the last five years, the income from the Endowment has contributed over $1.44 million to 4-H programs throughout the Commonwealth. By policy of the Foundation Board of Trustees, we calculate the average market value of the Endowment Trust as of September 30 of the most recent three years. Then the Board approves a withdrawal (currently at a 4.0% spending rate) for the upcoming year.
The Endowment Trust dates back to the early 1980’s when the Foundation received a significant gift from the estate of Henry Ellis Warren, a business owner and the inventor of the electric clock. Inspired by Mr. Warren’s extraordinary generosity, other donors have established funds with the intention of providing a sustainable financial base for the good works of the Foundation in support of 4-H programing across the Commonwealth. The Foundation’s Endowment Trust currently includes 22 permanent endowment funds.
Opportunities for Donors
Opportunities are always available for interested donors to help strengthen the Endowment Trust. This will ensure that the Foundation’s ability to fund 4-H programs will continue well into the future.
For more information about how you can support the 4-H Foundation’s Endowment Trust, contact Steve Borgeson, President of the Foundation’s Board of Trustees, at [email protected] or 508-881-1244.