Investment Policy

Investment Policy & Investment Guidelines [7/1/2010]

Mission to Serve YMCA People Drives Investment Policy
For employees who spend most of their careers with the YMCA, the Fund's benefits are the major source of your retirement income. Therefore, the Fund's investment policy is to maximize returns and minimize risk, ensuring your financial security.

To balance risk and return potential, the Fund has adopted four investment objectives:

Achieve total return of 3% above inflation;

Invest at least 80% of portfolio in liquid securities (stocks, bonds and short term investments) to ensure the ability to pay benefits;

Maintain asset diversification through periodic rebalancing, while maintaining conformity with the target policy portfolio (the asset allocations set by the investment committee);

Complement core expertise of in-house investment managers by hiring outside money management firms.

Investment return is measured against the performance benchmark for each asset class and the entire portfolio over one, three and five-year rolling periods. In addition, performance is measured against a peer group of portfolios from similar organizations over the same time periods.