Private Foundation investments have almost erased the impact of 2008

The 2013 Common Fund/Council on Foundation study of private foundation investments is available here, and it’s generally pretty good news.  

According to a summary article at Chronicle of Philanthropy, private foundation investments grew on average 15.6% in 2013.    The five year annual return, including 2013, is now at 12%; compare that to last year’s five year annual return, which was only 1.7%.    The article notes that the disasterous retuns of 2008 have now rolled out of the 5 year running average.  In additional good news, foundation debt is down and spending is up.  

The bad news – nonprofit grant recipientss are still in a rough state, which is part of the reason why foundation giving is up.  In addition, the report warns of increasing volatility and, therefore, likely lower returns in the coming year.

EWW