Annual Fund Costs and Fund Minimums

The Calgary Foundation pays for service and investment management costs by recovering those costs from all its funds. The recovery of costs, as per the schedule below, is calculated and charged monthly on the prior month’s ending market value. Policies regarding cost recovery are subject to ongoing review and change by The Foundation’s Board of Directors.

Permanent Endowments: Annual Cost Recovery % Applied to Each Tier

1st tier	1.25% on the first $1 million
2nd tier	1.00% on the next $5 million
3rd tier	0.90% on the next $14 million
4th tier	0.80% on the balance over $20 million

        

Charitable Organization Managed Funds
1st tier	1.50% on the first $1 million
2nd tier	1.25% on the next $5 million
3rd tier	1.05% on the next $14 million
4th tier	0.85% on the balance over $20 million

Flow-Through Funds - 1.00% of gift amount and 100% of interest income earned on fund balances.

Term Endowments - Same as permanent endowments, plus 0.25% per annum.

Charitable Organization Endowment Funds - Same as permanent endowments.

Student Award Funds - 1.5%; $500 setup cost for Designated awards, $750 setup cost for Foundation Administered Awards.

Fund Minimums*

Permanent Endowment: $5,000 Flow-Through Funds: $5,000 Charitable Organization Endowment Fund: $5,000 Charitable Organization Managed Fund: $250,000 Student Award Designated Endowment: $5,000 Student Award Foundation Administered Endowment: $25,000	Term Endowment: 15-year: $100,000, 30-year: $250,000

*The President has the authority to allow a Fund to be created with less than the fund minimum provided the donor has a plan in place to grow the Fund to the required minimum.

Cost Recovery Policy - Board approved December 8, 2011

Additional Resources:

Annual Fund Costs (printable)