Your Nonprofit is Robust
Your organization is managing day-to-day finances effectively with ample emergency funds. Financial resources are likely allocated based on time horizon, liquidity and risk to ensure the organization’s initiatives are appropriately funded. Policies to establish investment and liquidity guidelines need to be developed, validated and/or updated.
Recommendations
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Ensure you review your policies against reality at least once per year. To learn about the importance of an Investment Policy Statement, review What’s an Investment Policy Statement and Why Your Nonprofit Needs One.
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Schedule an outside assessment of your liquidity and investment programs at least once every three years. For more information on choosing an advisor to review your current investments, review How to Choose an Advisor for Your Nonprofit Board Fund or Endowment.
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To keep your nonprofit board and leadership up to date on how your nonprofit funds are affected by the economic landscape, subscribe to Fairlight’s monthly nonprofit economic snapshot below.
