UK philanthropy body, the Association of Charitable Foundations (ACF) has published a new report on how foundation investments can be more closely integrated with a foundation’s mission and grant-making.
‘Investment: The Pillars of Stronger Foundation Practice’ is the fifth report emerging from ACF’s Stronger Foundations initiative. It sets out seven characteristics of excellent practice, which include prioritising mission when setting investment objectives, holding investment managers to account, and seeking to influence the investment behaviour of others.
‘As UK charitable foundations, some of the most capital-rich organisations in the charity sector representing over £67 billion, the reality is that most of our assets are invisible, even to us. But investment strategy is integral to foundation strategy,’ said Chair of the Investment working group Danielle Walker Palmour, who is guest editing Alliance’s September issue, which will focus on foundation investments.
‘As members of this working group, we have explored how investments can be brought into our strategic arsenal to be of true service to our missions. It is vital we engage with and shape that work to ensure it is consistent with our objectives.’
Informed by 18 months’ gathering evidence, the report also emphasises the role of each and every trustee in engaging with the foundation’s investments, and seeks to demystify investments by providing clear explanations and examples. It also highlights the importance of seeking a wide range of views, ensuring diverse voices are heard and learning from peers in the foundation sector and beyond.
It complements previous reports from the Stronger Foundations initiative which encourage foundations to consider using ‘all the tools in their toolbox’ to achieve impact.
To download and read the report, visit here.