Stellar investment return rates in 2020

The past year may have been challenging in many ways, but for the Quad Cities Community Foundation, it’s been an opportunity to witness new levels of generosity within our community—and the remarkable results of that generosity. That is, in part, because Community Foundation donors saw exceptional growth of their funds.

Investment Returns (in percent)

In fact, returns for two investment pools surpassed the 10 percent national average in 2020, with the Strategic Growth Pool and Socially Responsive Pool returning 15.5 percent and 15.6 percent, respectively.

“These stellar returns are one example of how the Community Foundation can leverage donor generosity and local investment expertise to grow endowment,” said Michelle Payne, vice president of finance. “And, what we’re able to do for the community with considerable fund growth demonstrates the benefits of donors partnering with us to live out their generosity.”

Governed by a highly engaged, experienced, and local investment committee, the Community Foundation’s $170 million portfolio is devised to match the wishes of donors with the needs of the community—with minimal investment costs. Thanks to the strategic actions taken by the investment committee over the past two years, the Community Foundation has seen significant reduction in investment fees. In 2020, the all-in investment fees totaled only 0.37 percent.  

“Many donor funds are seeing as low as 0.11 percent in investment expense fees annually. These lower fees, coupled with our great investment return rates in 2020 and overall historic performance since the inception of our pools, have allowed us to build our accounts and endowments even further. That ultimately affects how much can be granted out to the community and the causes donors care about,” said Payne.

The impact of this growth goes beyond mere numbers—it is also seen in the work of people and nonprofits all over the bi-state region who are transforming their communities.

“We’ve worked with so many organizations over the past year who’ve said, ‘You know, we don’t think we could have kept our doors open through the pandemic if it wasn’t for the grants from the Community Foundation.’ Knowing how much our donors have helped the community in such tangible ways is incredibly inspiring. We’ve seen donations of all sizes, and they’ve all added up to allow nonprofits to sustain their services throughout a truly challenging year,” said Payne.

With diverse investment portfolios and strategies, more and more individuals, corporations and organizations are seeing the Community Foundation as the place to conduct their philanthropy in a meaningful way.

“We’re proud to offer numerous ways for donors to give back to the community. I personally want our donors to know that their funds are safe, secure, and being put to good use at the Community Foundation,” said Payne.