Endowment Fund of
Viking Charities, Inc.
Past
Present
Future
Performance
Investment
Growth
Historic Fund Balances
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1,000,000
900,000
800,000
700,000
600,000
500,000
400,000
300,000
200,000
100,000
0
10
20
09
20
08
20
07
20
06
20
05
20
04
20
03
20
02
20
This chart reflects the Annual totals for each year, 2002 – 2010. The data
shows the economic downtrend in 2008 and the fund’s recovery.
The Principal of the Viking Endowment Fund has followed a steady
building path that speaks loudly to the awareness and interest in the
persistent growth of the Fund by Viking members. As the Fund has
matured, so has the concept of investing in a perpetual Fund which will
become a critical element in the level of Viking charitable operations.
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Historic Fund Income
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120,000
100,000
80,000
60,000
40,000
20,000
0
2002
2003
2004
2005
2006
2007
2008
2009
2010
The earnings, separately charted here, have been available to
the Gold Cuppers for charitable distribution as indicated in any
yearly period. However, the earnings, by Endowment Committee
recommendation and Gold Cupper policy, stay with the principal
to compound growth.
The following slide pairs our trend line with the market’s
performance.
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Comparative Fund Performance
Objective
Actual
Benchm ark
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800,000
600,000
400,000
200,000
0
2002
2003
2004
2005
2006
2007
2008
2009
2010
A picture may be worth a thousand words. Endowment Fund Policy, the
Blue line, has been to earn CPI plus 5% while still maintaining our
investment portfolio risk at a tolerable rate. The Red Line is the marketoriented Benchmark of 60% S&P 500 + 40% T-Bill and is a reflection on
how the markets are doing with similar risk parameters. The Green line is
the Viking Endowment investment portfolio.
It is fair to say that this portrayal validates the Endowment Fund
investment strategy as our portfolio out-performs the market benchmark.
It also brings recognition to our investment advisors who continually
shape our portfolio to achieve a balance of the highest value securities
and fixed income.
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Investment Mix - 2nd Qtr 2009
US Small Stock,
10.00%
US Large Stock ,
International Large
20.00%
Stock, 10.00%
High-Yield Bonds ,
5.00%
US High Quality
Bonds, 15.00%
Emerging Markets
Stock, 5.00%
Real Estate , 10.00%
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Commodities, 5.00%
Absolute Return,
20.00%
The original investment mix policy was set at 60% securities and
40% fixed income. That ratio was in development for two years
until we had completed the systematic policy shift of assets
managed by Frontier Asset Management.
The policy is now guided more by value opportunity than
arbitrary ratio. The constant balancing (re-balancing) of our
portfolio by Frontier has resulted in a strategy that has kept the
Endowment Fund positioned above almost all measurements of
market performance.
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Investment
The Endowment Fund was ordained with a theme that it
would be just one of Viking Charities fund raising
components. The Endowment Committee has remained
sensitive to that philosophy. The Fund presented a
complete departure from the programs that Vikings had
historically operated.
Over time individual Vikings have embraced the notion of
investing in a Principal that could not be invaded and
would produce a perpetual income stream.
The
Endowment Fund has become a widely accepted longrange mechanism.
The Endowment Committee uses the term “investment”
for donations because every donation will remain in the
Fund forever; which will be a legacy to those who have
helped build the Fund.
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Endowment Investment Groups
Over $ 1,000
27%
Not Yet
Contributed
23%
Less Than $ 100
13%
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$ 100 to $ 999
37%
This chart depicts the four general levels of individual Viking
cumulative participation in the Fund as of January 1, 2010.
 In dark blue, 27% have contributed over $1,000
In med. blue, 37% have contributed between $100 and $1,000
In light blue, 13% of members have contributed $100 or less
In red, 23% of members have yet to contribute.
Your giving is tracked on a cumulative basis – every $$ counts!
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Commitment to Achieve
From a marketing and interest perspective, the
vision of developing the Endowment Fund falls
squarely on the shoulders of the Endowment
Committee. The commitment to achieving that
vision however falls on the individual Viking
members.
The previous chart reflects the stark reality; not
all members can or choose to invest at the same
level.
The Endowment Committee closely holds the
dream that over time, all Viking members will
invest at their best level.
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Growth Potential
At Grow th Rate
Grow th Rate +$100/Mbr/Yr
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1,700,000
1,200,000
700,000
200,000
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
With that thought in mind, this chart reflects the Fund growth
possibility over the next ten years. The orange line depicts
potential growth using historic annual earnings only (no
additional investments). The green line shows the level of Fund
growth if all Vikings were to contribute $100 annually for the next
ten years.
Amazing, isn’t it?
Sure makes $1 Million look easy!
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Your Impact
Annual $1000 Contributions
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16,000
12,000
8,000
4,000
0
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
This chart is a bit more personal. The chart projects the affect of
one Viking investing $1,000 per year, plus the cumulative
earnings, over 10 years.
Want to multiply that by 180 Vikings?
That’s $2,607,660 in principal earning $208,613 each year in
interest!
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Camp Impact
100% of Members Annual $1000 Contributions
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3,000,000
2,500,000
2,000,000
1,500,000
1,000,000
500,000
0
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
While it may not be realistic to expect that every Viking will contribute at
least $1000 each year, this slide demonstrates the powerful future that
the Fund can provide Viking Charities as members contribute and the
Fund grows.
Contributions (or Investments in our future) help to build the principal of
the Fund and expand future earnings that can be made available to the
Vikings to carry on our mission of “providing help for the medically
related needs of qualified individuals and health care organizations to
provide others within Santa Barbara County a better quality of life.”
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Short & Long Term Goals
Our short range target for the Endowment Fund was $500,000.
We passed it once and, after the Market plunge, have achieved
that number a second time. ($500,495 at June 30, 2009)!
The long range target for the Endowment Fund is $5,000,000. At
that level a 5% income stream available to Viking Charities would
bring $250,000 annually to fund charitable giving.
That’s worthy of being a dream!
In pursuit of that goal, we strongly believe that each Viking who
has earned the Endowment Gold Pin has done so by believing in
our dream. The Endowment Committee hopes the En Tusind Pins
are worn proudly. We are honored to present every Gold Pin.
We also encourage all Vikings to give annually within your means.
There are a variety of ways to give and any member of the
Endowment Fund Committee would be happy to advise you.
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HOW CAN I CONTRIBUTE
Contributions become part of the corpus of the
Endowment Fund and are available forever to
provide future earnings in support of the Viking
Charities philanthropic mission.
There are
about as many ways to contribute as you can
imagine. We recommend that you seek the
advice of your tax professional in choosing
which avenue would be most beneficial for you.
If you are ready to make a contribution at this
time, you can utilize the form on the next page to
declare your intention and a member of the
Endowment Committee will work with you to
provide appropriate documentation for your files.
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ENDOWMENT FUND OF VIKING CHARITIES, INC.
Contribution Commitment
Name: _______________________________________
(Printed Name)
Direct Contribution – Attached please find cash, check or money order in the amount
of $____________ to be treated as a tax deductible donation to the Endowment Fund of
Viking Charities, Inc. from the undersigned.
Pledge Contribution – The undersigned hereby pledges to contribute a total of
$__________, over a ______ year period at an annual rate of $ ___________ per year.
Tax deductible pledge contributions will be paid annually in the month of ____________
in cash, check or money order payable to the Endowment Fund of Viking Charities, Inc.
Stock Contribution – The undersigned hereby commits to transferring stock or other
securities with an estimated value of $ ___________ as a tax deductible donation to the
Endowment Fund of Viking Charities, Inc. Transfer of these securities will be executed in
the month of ____________, _______.
Life Insurance Benefit – The undersigned hereby commits to adding the Endowment
Fund of Viking Charities, Inc. as a beneficiary in the amount of $ __________ to either
an existing or a new life insurance policy. The undersigned will execute this order in the
month of _____________, _______, and will provide the Chairman of the Endowment
Fund with a copy of the insurance rider acknowledging this commitment.
Bequest – The undersigned hereby commits to adding the Endowment Fund of Viking
Charities, Inc. to his last will and testament as the intended recipient of a bequest of
$___________ to be paid from his estate upon his death. The undersigned shall submit
a notarized letter to the Chairman of the Endowment Fund indicating the location of the
last will and testament which includes this bequest provision.
___________________________ _______________________________
Date
Signature
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Endowment Fund of
Viking Charities, Inc.
Past
Present
Future
Proud of our past,
Committed Today and
Confident in our Future