1. Purpose
The purpose of this investment policy statement is to provide guidelines and procedures for the prudent management and investment of Esharelife Foundation ‘s funds to support its mission and objectives.
2. Objectives
– Preserve and grow Esharelife Foundation ‘s assets over the long term to support the organization’s programs and initiatives.
– Generate investment income to fund current and future charitable activities.
– Maintain liquidity to meet operational and programmatic needs.
– Minimize investment risk while achieving reasonable returns.
3. Investment Principles
Prudence: Investments will be made with the care, skill, and diligence that a prudent person would exercise under similar circumstances.
Diversification: Esharelife Foundation will diversify its investment portfolio across different asset classes, such as equities, fixed income, real estate, and alternative investments, to reduce risk and enhance returns.
Risk Management: Investment decisions will consider the organization’s risk tolerance, time horizon, liquidity needs, and financial goals. Risk will be managed through asset allocation, investment selection, and ongoing monitoring.
Socially Responsible Investing (SRI): Esharelife Foundation may incorporate environmental, social, and governance (ESG) factors into its investment decision-making process, aligning investments with the organization’s mission and values.
4. Investment Guidelines
Asset Allocation: The investment portfolio will be structured based on an appropriate asset allocation strategy, considering factors such as risk tolerance, time horizon, and financial objectives.
Investment Selection: Investments will be selected based on thorough analysis, including financial performance, credit quality, liquidity, and alignment with SRI principles. Investment managers and vehicles will be evaluated based on their expertise, track record, and fees.
Liquidity Management: Sufficient liquidity will be maintained to meet operational and programmatic needs, while excess funds may be invested in longer-term assets to optimize returns.
Monitoring and Review: The investment portfolio will be monitored regularly to assess performance, rebalance asset allocations.