|
For Generations to Come – The Campaign for
The Huntington was initiated to help secure a stable
financial base for the institution’s collections,
people, and programs. With the Campaign’s success,
the institution will be able both to optimize its existing
array of research, educational, and public programs
and assure their vitality for the future.
The Huntington historically has practiced careful
financial management and frugality. On average, more
than 80 percent of annual expenses go to program activities,
far above the Council of Charities’ benchmark
of 60 percent.
How Endowment Operates
Some people believe that Henry Huntington left a large
endowment at the time of his death and that we have
significant endowment resources today. In truth, Henry
Huntington left only a third of the endowment that was
required to run an institution of the scope that he
and his Trustees envisioned. His real legacy was in
the collections that he bequeathed to the institution.
Fortunately, the endowment that Huntington did leave
has been managed with care throughout the decades and
it currently underwrites about 30 percent of our operating
expenses. However, the Huntington’s long-term
financial health depends upon increasing the size of
the endowment and the proportionate contribution it
makes to operations.
The Huntington’s endowment today is a collection
of individual funds (including Henry’s original
gift) that donors have asked The Huntington to hold
and invest in perpetuity. Members of the Endowment Investment
Committee of the Overseers are responsible for the management
of the endowment; their stewardship is consistent with
the highest standards of modern endowment management
practices. The funds are invested for long-term growth,
with the following goals:
- To maximize long-term total investment return,
- To maintain and increase the purchasing power of
the principal, and
- To produce relatively stable returns in order to
minimize the impact of significant market shifts on
the endowment income available for operations.
The market value of each individually endowed fund
is tracked on a monthly basis. At the beginning of the
fiscal year, a portion of the annual return (the “spending
rate”) from individual endowments is withdrawn
to support the purposes specified by the donors of the
funds. All new gifts to endowment will have a spending
rate applied to them of no more than 5 percent in order
to protect the endowments from erosion over time. Our
goal is to manage endowment funds so that they will
be available to support The Huntington in perpetuity.
Endowment Minimums
Contributions for the following endowments are actively
sought and gratefully received. These minimums, effective
Nov. 8, 2004, seek to establish parity among the many
divisions and programs at The Huntington.
| Divisional Directors |
$3,000,000 |
| To endow the position of a Divisional
Director by providing support for the position and
related expenses of the Named Director |
| Curators |
$2,000,000 - $2,500,000 |
| To endow the position of a member
of the curatorial staff by providing support for
the position and related expenses of the Named Curator
|
| Specialists |
$1,500,000 |
| To endow the position of a specialist
member of the program or administrative staff by
providing support for the position and related expenses
of the Named Specialist |
| Educators |
$1,000,000 |
| To endow the position of a member
of the education staff by providing support for
the position and related expenses of the Named Educator |
| Named Funds |
$50,000 and up |
| To endow a Named Fund to provide for
the ongoing operations and maintenance of a variety
of projects, including: |
- a specific building, gallery, garden, or space.
- a specific collection of art, plants, or books.
- programs specific to a particular division in special
areas of research, education, or exhibitions.
- ongoing support through pooled funds of the Huntington’s
annual operations or for specific divisions, collections,
programs, or discretionary funds.
|
