Donors have the option to recommend an investment manager when establishing a fund. They may also defer this decision to the Foundation's Finance and Investment Committee.
Approved Investment Managers
(Those holding funds as of September 2008)
- Arbor Investment Advisors
- Bank of America
- BB&T
- Boys, Arnold & Company (CLT only)
- Calibre
- CornerCap Investment Counsel
- DB Alex. Brown
- Edward Jones (CRT only)
- First Citizens Bank (CRT only)
- Merrill Lynch
- Morgan Stanley
- Salem Investment Counselors
- Scott & Stringfellow (CLT only)
- Sheets Smith & Associates, Inc.
- Smith Barney
- Wachovia Bank
- Wachovia Securities
- Winston-Salem Foundation Investment Pool
The selection of an investment manager must conform to The Foundation's Investment Manager Policy.
Performance for each manager is benchmarked against a 65% equity and 35% fixed income asset allocation.
The Winston-Salem Foundation offers a diversified investment portfolio option for most donors. This portfolio is actively managed with strategic asset allocation decisions and manager selection carried out by the Finance and Investment Committee of the Foundation.
In certain cases, however, donors wish to have investments managed by their own investment manager. In the interests of flexibility and donor responsiveness, the Foundation will consider these requests, subject to the following parameters:
- The fund must be larger than $500,000;
- The fund will bear its own expenses (the general fund will not underwrite additional costs of having a separate manager);
- The investment manager must be registered with the SEC, under the Registered Investment Advisor Act of 1940;
- The manager must have at least $100 million under management and have been in business for five years;
- The Winston-Salem Foundation, Inc. will serve as trustee of the fund.
It is preferred that the fund be custodied by The Winston-Salem Foundation. This allows the Foundation to provide quarterly statements to the donor or recipient organization. - The investment manager will be benchmarked against the Foundation's asset allocation model and will be monitored by its investment consultant.
- Investment fees will be netted out of the fund's performance by the investment manager. Investment manager fees are not controlled by the Foundation.
The donor grants to the Foundation the right to review and evaluate each manager. Once the gift is made, due diligence is the responsibility of the Committee and, if performance deteriorates or for any other reason the manager is out of compliance with the Foundation's policies, the Committee can vote to terminate the manager and transfer the assets to the general program.
Policy adopted by The Winston-Salem Foundation Committee, December 13, 1994.
Amended by The Winston-Salem Foundation Committee, March 3, 2001.
Amended by The Winston-Salem Foundation Committee, May 19, 2005.