05 annual report V4 - Chester County Community Foundation

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INVESTMENT MANAGEMENT
The Community Foundation continually strives to provide the highest level of stewardship possible for all funds of the Community
Foundation. Our Investment Committee is comprised of community leaders who volunteer their time and share their expertise
with the Community Foundation to make sure our funds realize their optimum return. The Investment Committee oversees the
performance of five portfolio investment managers. They include:
Hirtle, Callaghan & Co. serves as the Community Foundation’s Chief Investment
Officer. Hirtle Callaghan invests the majority of the Community Foundation’s long term
funds, compiles investment figures from all of our investment managers, and helps the
Investment Committee see that the Community Foundation’s asset allocation and diversification goals are met.
As a firm, Hirtle Callaghan’s first investment objective is to protect principal. Hirtle Callaghan’s second investment objective is
significantly to out-perform inflation net of all fees. Hirtle Callaghan’s third investment objective is to achieve attractive returns
relative to appropriate benchmarks and manager peer groups.
INVESTMENTS
First National Bank of Chester County’s investment philosophy blends equity and fixed-income
securities in an effort to provide the growth and income necessary to meet clients’ stated objectives.
For growth, First National’s investment strategy focuses on containing risk and providing attractive
inflation-adjusted returns through a diversified portfolio of high-quality, large capitalization equity
issues. First National believes that investments with above-average earnings and dividend growth will produce lower volatility
and will result in consistently creditable returns relative to appropriate benchmarks. First National’s fixed-income approach also
stresses risk management, by using issues with above-average credit quality and limiting portfolios to short/intermediate maturities.
Throughout continually changing economic and market conditions, First National uses a disciplined approach in assessing
the relationship between risk and return, in allocating assets, and in monitoring performance.
HISTORIC LAFAYETTE SYCAMORE OF BRANDYWINE BATTLEFIELD, 1787
“It is every man’s obligation
to put back into the world at least the equivalent
of what he takes out of it.”
Albert Einstein
Domini Social Investments manages more than $1.8 billion in assets for investors who wish to integrate
social and environmental criteria into their investment decisions. In addition to applying strict
exclusionary screens to certain industries such as tobacco and nuclear power, Domini applies a comprehensive
set of social and environmental screens to investments, in the belief that meeting certain
baseline standards of corporate citizenship is both good for society and good for the bottom line. Domini believes its screens help
identify companies that are led by more visionary management teams with more enlightened policies and practices. In the long
run, Domini believes companies with fewer environmental liabilities, more diverse boards and workforces, generous employee benefits,
and authentic commitments to their communities are better positioned to succeed and prosper. Domini is guided by the
knowledge that it is possible to earn a competitive return while using investments to make a difference in the world. It is no
longer necessary to choose between your principles and your investments.
Haverford Trust adheres to a successful investment strategy that is characterized by
consistent, predictable growth and the containment of risk. By investing in “blue-chip”
growth stocks, and, when appropriate, high quality bonds, Haverford Trust maximizes
investment returns and minimizes downside risk over the long term. Central to Haverford Trust’s equity philosophy is the belief
that company earnings drive stock prices, and that high quality blue chip growth stocks provide the most attractive risk-adjusted
returns over the long term. Haverford Trust focuses on companies that have a long history of predictable and consistent earnings
growth in good and bad economic times and avoid cyclical companies whose earnings growth is closely tied to the economy.
Weathervane Wealth Management provides highly customized portfolio management to an elite
cadre of investors. Located in Exton, Weathervane’s investment philosophy is to adhere to a disciplined
approach to investing, diversifying among multiple asset classes and investment styles in
order to manage risk and produce attractive risk adjusted, long-term results. While Weathervane’s
goal is to achieve attractive long-term results, Weathervane understands that managing risk is the key to creating and preserving
long-term wealth.
The Community Foundation is proud of our investment managers, who understand the value of community legacy philanthropy. We are
always interested in learning about new investment managers who promote legacy philanthropy. To request a copy of our Investment
Policies and Guidelines, please contact the Community Foundation at (610) 696-8211 or info@chescocf.org.