Investment Performance

Waco Foundation measures its performance in a number of ways...

Waco Foundation’s overall goal is to earn a return of between 8.0% and 8.5%, allowing for inflation of 2.0%–3.5% and an annual distribution of approximately 5% income. This performance benchmark was established in 2008, the year when the investment portfolio was adjusted and the investment consultant was hired. Although the new portfolio has performed well in a number of comparisons, the measurements on the long-term horizon (the seven year data) ultimately matters most, and all evidence indicates that we will be able to maintain the real value of assets over time.

Performance Measure #1 - Comparison to universe of peer organizations:

Waco Foundation compares itself to the Russell Mellon Universe of Foundations and Endowments: other organizations that have the same requirements and business as Waco Foundation.  You can see from the following chart that Waco Foundation's portfolio performed in the median range for most time frames.

All fundholders receive a quarterly statement which indicates the performance of their fund. In addition, Waco Foundation's Executive Director frequently attends nonprofit board and finance committee meetings of fundholder nonprofit organizations to provide information on fund management and investment performance. Fundholders or other interested parties that would like to receive a presentation or additional information about investment performance may contact Waco Foundation’s office for more information.

09.30.2016 1 yr 3 yr 5 yr 7 yr
High 1.2% 7.4% 7.1% 10.1%
25th% -0.6% 5.8% 5.7% 9.1%
Median -1.8% 4.9% 5.1% 8.4%
75th% -3.1% 4.2% 4.4% 7.6%
Low -4.5% 2.8% 3.2% 6.1%
Waco Foundation -2.9% 4.1% 4.9% 8.2%

Performance Measure #2 - Comparison to 5% plus CPI:

In order determine if the investments are meeting the 8.0% to 8.5% target range described above, the Foundation’s performance is compared to the a benchmark of the CPI (Consumer Price Index, or inflation) plus 5%, on a monthly, quarterly, annual, three year, five year, and seven year time horizon.  The most recent performance of the Foundation shows that our investments are performing better (beating) this benchmark in most time horizons.

09.30.2016 1 mo 3 mo YTD 1 yr 3 yr 5 yr 7 yr
Endowment 0.7% 4.7%
6.9% 9.1%
3.7% 8.5% 7.2%
CPI plus 5%
1.8% 5.1% 6.6% 6.1% 6.3% 6.7%

Performance Measure #3 - Comparison to aggregate benchmark:

In addition, Waco Foundation's investments are compared to an aggregate benchmark, comprised of an appropriate ratio of the benchmarks used for each investment class. Waco Foundation's Investments are performing better than this composite benchmark over most time horizons, including the long-term, seven year time horizon.

09.30.2016 1 mo 3 mo YTD 1 yr 3 yr 5 yr 7 yr
Endowment 0.7% 4.7% 6.9% 9.1% 3.7% 8.5% 7.2%

Total Endow. Benchmark

0.6% 3.8% 6.0% 8.7% 4.3% 7.8% 6.7%

Phone: 254-754-3404
Fax: 254-753-2887


1227 N. Valley Mills Drive
Suite 235
Waco, TX 76710

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