Investment Policy

NACDL adopted the current investment policy in 2010.


This policy statement outlines the investment objectives, guidelines and constraints of NACDL's investment portfolio. The purpose of the Policy is to establish a clear understanding of the investment policies and objectives of the Fund among the Executive Committee, the Investment Consultant, Investment Manager(s), and the NACDL professional staff.

The policy divides the investment portfolio into two pools; the Short-Term Fund and the Long-Term Fund. The purpose of the Short-term Fund is to provide a source of funds to meet the required expenditures above the amount available in operating accounts, without requiring the sale of long-term investments.

The policy outlines an overall philosophy that is specific enough for the Investment Managers to know what is expected, but sufficiently flexible to allow for changing economic conditions and securities markets. The policy defines and assigns responsibilities of the involved parties. The policy provides the long-term objectives of the Fund and serves as the standard for evaluating investment performance. The policy also provides guidance concerning the risk tolerance of the Long-Term Fund and communicates the investment restrictions to be placed on Investment Managers. In addition, the policy outlines the procedures for policy and investment performance review.

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