Endowments are permanent funds in which the principal is preserved and invested, with a portion of the earnings distributed annually for charitable purposes.
Providing for community needs in perpetuity
Endowments carry an inherent power to provide for community needs in perpetuity through continued growth. Over time, distributions exceed the original gift, while the fund balance continues to grow, thanks to responsible management.
- The Edward B. Burr Foundation, a private foundation converted to a donor advised fund in 1988 with $160,506 in assets, has distributed more than $167,000 in grants during the past 29 years and has a balance of $364,173.
- The Holbrook Pyle Foundation, a donor advised fund at ACF converted from a $1.6 million private foundation in 1988, has awarded $2.1 million in grants and maintains a balance of $2.7 million.
- The Raquel Piekarski Fund, an endowed fund established at ACF in 1993 with estate gifts totaling $804,777, has awarded $843,235 in grants over its history and has a fund balance of $890,014.
- The Anderman Family Charitable Fund was established with a charitable gift of real estate valued at $300,000 and a portion of the fund’s assets was later used to create a separate endowment to benefit, in perpetuity, the Phoenix Art Museum. As illustrated below, the balance in the two charitable funds has grown from the original gift of $300,000 to a combined total of $433,550, all while generating grants totaling $467,600.