Forward in Faith, Hope, and Love and Endowments
Forward in Faith, Hope. and Love is establishing seven endowments as part of its campaign. What is an endowment?
This is one of the most frequently asked questions when talking to potential donors about participating in the campaign. Outlined below is information regarding the diocesan foundation, which is managing the endowments established as part of the Forward in Faith, Hope, and Love effort.
The diocesan foundation was established to provide a means for individuals and organizations to provide long-term financial stability for the diocese and its churches, schools, agencies and organizations. Through the creation of individual endowments, the Foundation provides a means to generate income to help sustain the long-term strength and viability of these Catholic institutions in western North Carolina.
The Foundation uses the strict definition of endowment: a permanent fund, the principal of which is never touchedbut the income from which can be used in accordance with the wishes of the donor organization or individual. The principal as it is defined includes the initial contribution given to establish the endowment as well as all additional contributions to the endowment. The assets of the Foundation grow through sound investment policies and from additional gifts. An endowment fund should not be confused with a capital fund, a reserve fund or a special projects fund, all of which generally allow expenditures of principal.
By creating an endowment, a Catholic entity such as the diocese, a parish or school can tell the community that the diocese, parish or school is providing for the future and intends to continue serving the community for many years to come.
In specific terms, an endowment fund provides a permanent and secure source of income, which can ensure the future of our Catholic parishes, schools, agencies, ministries and organizations.
Over the past 25 years, the most stable and effective colleges have established endowment funds. Likewise, it is important that our diocesan programs such as our seminary program and our other Catholic programs have endowments to ensure their stability and effectiveness into the future.
This is an exciting time for our Catholic community in western North Carolina. With the tremendous growth we have seen, it is necessary that we continue to invest in the future of our Church.