Endowments

Investing for the Future

The most important function of Diablo Regional Arts Association Endowment is stewardship of gifts to the performing and visual arts. Donors who have confidence their gifts are being invested wisely and directed to the purposes for which they're intended will continue giving.

DRAA accepts gifts in many forms, including cash, securities, real property, and in-kind goods or services. Gifts fall into three basic categories that determine how they are invested: current-use gifts, endowment gifts, and trust gifts.

Current-use gifts are those used for their intended purpose in the near term. With endowment gifts, the principal is held in perpetuity, and only a portion of the annual investment income is spent for the gift's intended purpose. Trust gifts are also invested, and investment income is distributed to the donor or beneficiaries. When the trust matures, the principal is available as a current-use or endowment gift as specified by the donor.

DRAA’s investment policies and strategies are determined by the DRAA Endowment. Committee members bring a wealth of expertise in financial management to the organization.

A single principle defines DRAA’s philosophy in investing endowment and trust gifts. The investment goals, objectives, and policies are designed to provide a stable, predictable, and growing stream of resources for current use while preserving the purchasing power of endowment assets for the future. In other words, DRAA seeks to provide financial support for the arts and designated beneficiaries today and, at the same time, ensure that the assets will grow in perpetuity.