Endowment

IT’S AN INVESTMENT, NOT A GIFT

Since Inception, the Dream Forward Foundation receives voluntary income and donations from holding companies. Over the next decade, the endowment shall grow in its value, after charitable activities and costs.

The Board of Trustees has developed an investment strategy for the endowment which provides for investing in a diverse portfolio of financial investments with a long-term horizon. The endowment investment objectives are to:

1. Seek inflation-adjusted return of at least 6% per annum over a 10-year rolling period.
2. Ensure appropriate liquidity and risk controls while also permitting illiquid investments with the potential for high returns.
3. Diversify investments across a range of asset classes and industry sectors.

The Foundation continues to target total annual disbursements equal to 7% of the rolling five-year average assets which has resulted in year on year growth in grant disbursements.

INVESTING RESPONSIBLY

The Trustees recognize that investments in certain sectors may be harmful to the foundation’s charitable objectives and mission. Therefore, investments in such companies or entities are prohibited where an investee or company:

• Generates any turnover from the business of manufacturing tobacco products and tobacco marketing.
• Markets breast milk substitutes unless they have committed to adopt the World Health Organisation’s International Code of Marketing Breast Milk Substitutes.
• Generates 10% or more of turnover from extracting, stockpiling, distributing or trading fossil fuels.
• Generates 25% or more of turnover from the development, production, manufacture, distribution, stockpiling, transfer or sale of arms.

If a company in which the foundation is invested falls into one of these categories or commences business in such a category, our investment manager will aim to divest from such an investment within 12 months