Investment Policy Summary

The investment policy of the Community Foundation for Rockbridge, Bath, and Alleghany (CFRBA) is explained in a written Investment Policy Statement approved by the Board of Directors (Board) of the Foundation. This Statement (a) explains the primary investment objective of the Foundation (the preservation of capital while providing for the long-term growth of principal without undue exposure to risk); (b) identifies appropriate investment benchmarks against which performance will be measured; (c) establishes asset allocations by type of investment (equity, fixed income and cash, and alternative investments); (d) provides guidelines for investing in each of these asset classes; and (e) identifies the administrative procedures for managing these investments and the associated costs and fees.

The implementation of this written Investment Policy is overseen by an Investment Committee (IC), consisting of at least three members of the Board. The IC may also include others not serving on the Board, in order to maximize the financial insight, wisdom, and expertise available to the CFRBA. The work of the IC is guided by the investment firm of Morgan Stanley, which will provide the CFRBA with investment advice and trading, custodial, and investment accounting/tax reporting services.

The IC meets quarterly to review an accounting of all invested assets, the actual asset allocations compared to asset allocations allowed by the Investment Policy Statement, proposed changes to actual asset allocations to realign them with allowable allocations, proposed changes to model allocations (for further recommendation to the full Board), and any other relevant issues.

In addition, the IC meets at least annually with Morgan Stanley for a detailed discussion of the investment portfolio and related issues. The IC, as a result of this annual meeting, prepares a synopsis of the meeting and any recommended changes for formal presentation to and review by the Board.

The Foundation’s Investment Committee presently consists of:

Russell S. Tompkins of Buena Vista, Chairman of Investment Committee
Mr. Tompkins enjoyed a 25-year career on Wall Street while working as a Senior Equity and Fixed Income Analyst and Senior Portfolio Manager. He oversaw all operations of two major institutional investment advisory firms (Fox Asset Management and Osprey Partners Investment Management) as the Chief Operating Officer and member of the Investment Committee of both firms. He holds a BA in Economics and Political Science from Utah State and a Graduate Diploma (Maestria) in International Economics from the National Autonomous University of Mexico. He is a member of the NY Society of Security Analysts of the CFA Society.

Susan E. Whitsitt of Lexington, Secretary of Investment Committee
Ms. Whitsitt began her career in commercial banking with First National Bank in St. Louis, moving on to work with Caterpillar Tractor Co. in Peoria (international financial analyst) and then the US Export-Import Bank in Washington, DC (Deputy VP, Policy and Planning, with a focus on international banking and capital markets). During her time in Washington, she also worked as a Legislative Fellow with the Senate Banking Committee and at the Office of Management and Budget. At the American Association of Retired Persons (AARP), she managed various programs aimed at improving the economic security of the 50+ population. She holds a BS in Business Administration and an MBA from the University of Missouri and has taught courses at Georgetown and American Universities on trade finance and financial management.

Michael L Bozeman of Lexington, Treasurer of Investment Committee
Brigadier General Bozeman (Ret.) served nearly 30 years in the US Army in active and reserve status. He commanded both Battalion and Brigade units, with his last assignment as Deputy Commanding General of the 97th Army Reserve Command, where he was Chairman of the Program Budget Advisory Committee which managed and allocated resources to over 5,000 soldiers spread out over an eight-state geographic area. He holds a Life Underwriter’s Certificate in Business Insurance (specializing in key-man and partnership buy/sell agreements). BG Bozeman also holds a BS in Business Administration from The Citadel and a Masters in Marketing & Distribution from the University of South Carolina. He is a graduate of the Command and General Staff College and the US Army War College.