Nonprofit Investment Policies: Practical Steps for Growing Charitable Funds (AFP/Wiley Fund Development Series) » (REV)

ROBERT P. FRY, Jr. is a senior philanthropic consultant with the philanthropic services group of an international financial firm in Los Angeles, California.

If a nonprofit organization has any money in the bank, the organization already has an investment policy, however informal. For many nonprofits, managing extra money is such a novel concept that they don’t take full advantage of their on-hand resources. But as organizations grow and their financial conditions improve, decision-makers must consider how best to manage and invest these additional funds. The nonprofit organizations Robert P. Fry, Jr. works with understand investing and how to spot and avoid shady investments, as Well as how to safeguard assets. Written in language that both financial and nonfinancial managers can understand, Nonprofit Investment Policies explains the basics of investing, how investing for nonprofits is unique, and how to work with an investment manager. This is not another get-rich-quick book about picking stocks and bonds. Rather, it is a book on how nonprofits can make good decisions. In the world of investments, good decisions are ultimately more important than the occasional wizardry of an outstanding portfolio manager, for unlike such wizardry, good decisions can be replicated in good times and bad by any organization that is committed to doing so—now, months from now, and years from now. Clearly written investment policies codify these good decisions, increasing returns on investments and protecting boards and executive directors from possible litigation over the handling of the nonprofit’s assets. Fry’s principal goal is to provide sufficient information on the overall investment environment so that any organization can comfortably implement investment policies. Nonprofit Investment Policies includes sample investment policies plus analysis and guidance on these policies to help organizations develop the policies that most closely fit their goals and objectives, resources, time constraints, risk tolerance, and limitations.