Quaker Growth & Income
The Quaker Growth & Income Fund is a balanced, diversified, co-mingled fund managed for Quaker meetings, churches, schools and organizations with a long-term investment time horizon. The Fund’s target asset allocation is 70% Equity, 25% Fixed Income and 5% REITS. Its primary objectives are stable current income and long-term growth consistent with protecting principal investments against inflation over time. It is designed with a significant amount diversification – by sector (large, mid and small cap), geography (domestic, international, and emerging markets), investment approach (active and passive management), and style (growth, core, and value).
The Quaker Growth & Income Fund operates with a semi-annual standard distribution rate of 4.0%, paid in June and December. The standard distribution rate is reviewed annually by the FFC Board of Directors and reflects our outlook on long-term capital market returns and inflation, and it takes into consideration the fund’s unique asset mix and expected volatility. The rate is set at a level that is intended to balance current distributions with preservation of principal over time. The standard distribution rate is intended only as a guideline for constituents who have invested their funds with FFC. Constituents may, and some do, take more or less than the announced standard distribution rate.
Unit Values as of: 01/24/2022
|Fund Name||Fund Type||wdt_ID||Unit Value|
|Quaker Growth & Income Fund||Balanced||1||$65.82|
Quaker Growth & Income Fund unit value is net of operating expenses and a daily income accrual factor for the Fund’s semi-annual distributions.
Performance as of: 12/31/2021
|wdt_ID||Fund Name||Fund Type||Current Month||Year to Date||Last 12 Months||3 Yrs.||5 Yrs.||10 Yrs.||Since Inception||Inception Date|
|1||Quaker Growth & Income Fund||Balanced||3.25%||14.96%||14.96%||17.66%||12.74%||10.98%||7.32%||12/31/1998|
|wdt_ID||Market Indices||Index Type||Current Month||Year to Date||Last 12 Months||3 Yrs.||5 Yrs.||10 Yrs.|
|1||S&P 500 Index||Equity||4.48%||28.72%||28.72%||26.08%||18.48%||16.56%|
|2||Barclay's Aggregate Bond Index||Fixed Income||-0.26%||-1.54%||-1.54%||4.79%||3.57%||2.90%|
|3||MSCI All Country World ex-US Index||International||4.13%||7.83%||7.83%||13.18%||9.61%||7.28%|
Investment returns for periods exceeding 1 year are annualized.
- Investment performance is presented gross of fees and is inclusive of dividends and interest. Investment returns represent past performance and do not guarantee future results. Returns and principal values will fluctuate such that, upon redemption, units may be worth more or less than their original cost. Indices that comprise benchmarks are unmanaged and are inclusive of dividends and interest. Investors cannot invest directly in the indices.
- Quaker Growth & Income Fund Benchmark: 30% S&P 500, 9% Russell Mid-Cap, 8% Russell 2000, 20% MSCI ACWI ex-US, 3% MSCI World, 5% FTSE NAREIT, 18% Barclays Aggregate Bond, and 7% Barclays Global Aggregate Bond as of 1/31/21; formerly 28% S&P 500, 9% Russell Mid-Cap, 8% Russell 2000, 25% MSCI ACWI ex-US, 5% FTSE NAREIT, 18% Barclays Aggregate Bond, and 7% Barclays Global Aggregate Bond.
- Fees: The Quaker Growth & Income Fund estimated expense ratio for 2020 is based on budgeted investment fees and administrative expenses totaling 0.79% (79 basis points). The Fund’s total expense ratio for the past five years has averaged 0.76% (76 basis points).
Chart data as of: 9/30/2021
The Quaker Growth & Income Fund invests in stocks and bonds through SEC registered, third-party advisory firms and, as such, is subject to various risks related to the capital markets and to firm specific risks associated with advisors to the fund. Portfolio construction, asset allocation and portfolio management practices may not deliver desired results. The market prices of domestic and international equity investments may fluctuate and may decline along with moves in the broader equity markets or due to economic, industry or company specific events. International and emerging market investments are also subject to geopolitical risks, country specific economic events and adverse changes in currency values. The fund’s fixed income investments (i.e. notes and bonds) are subject to interest rate, credit, and liquidity risks. As interest rates rise, the value of fixed income investments will decline and may turn negative. Investment managers who work in an advisory capacity may not deliver investment results as anticipated. Investors in the fund could experience a decrease in the principal value of their investment or go through a period of underperformance relative to the benchmark.
|wdt_ID||Date||Distribution Per Unit|
As a service to constituent investors, the Quaker Growth & Income Fund operates with a total return semi-annual distribution. Semi-annual distributions occur in June and December and are reviewed and approved annually by Friends Fiduciary’s Investment Committee and Board of Directors.
The distribution rate is set a level that balances FFC’s view on projected long-term capital market returns, market volatility, and inflation. The per unit distribution amount is established nine months in advance and applies to the trailing twelve-quarter rolling average of the Quaker Growth & Income Fund unit value. Using a trailing average has a smoothing effect that evens out the impact of large market swings and results in a more stable and predictable distribution pattern. FFC strives to provide enough notice of any planned change so constituents can budget and plan accordingly. Investors may elect to receive all or some of the distribution and may choose to reinvest. Withdrawals beyond the standard distribution can be made at any time.
A total return distribution includes capital appreciation as well as interest and dividends earned. During years when the Fund’s return is greater than the distribution rate the principal value will grow by that difference. Conversely, during years in which the Fund’s performance is less than the distribution rate, the difference reduces the principal portion of the investment. Under a total return spending policy, prior years’ accumulated capital appreciation in excess of distributions is considered principal.