Advisor lightning round: Q&A with Greg Murray on investment performance
Oct 14, 2020
Q: Why should charitable investments matter to clients?
If your client wants to minimize fees and maximize their charitable giving over the long term, then they should be thinking about low-cost, high-quality charitable investments. And that’s where a Vanguard Charitable donor-advised fund (DAF) comes into play.
Q: How do I measure the performance of charitable investments?
With our high-performing investment lineup, you don’t need to take my word for it. Listen to independent analysts. Over the last five years, 82% of the funds underlying our investment pools have outperformed their Lipper peer groups. And this number climbs to 100% when you look at our multi-fund, automatically rebalanced Portfolio Solutions.1
Morningstar, meanwhile, has rated all of our underlying funds bronze, silver or gold. In fact, 72% were rated gold. That means Morningstar has a high degree of confidence that these funds will outperform their peer groups in the future.2
As an advisor, you want to spend as much time as possible building relationships and adding value for your clients. We make charitable investing easy and straightforward, so you can do just that. |
|---|
Q: What are the long-term benefits?
The bottom line for your clients is charitable impact. This past February, when we granted our ten-billionth dollar to charity since our founding, we had generated an additional $4B in charitable investment returns for our donors’ accounts. These investment options matter. And they can make the charitable piece of the puzzle a lot easier—for both you and your clients.
Footnotes
- All data as of June 30, 2020. Results will vary for other time periods. Only funds with a minimum of five-year history were included in the comparison. TIFF-MAP and Totally Equity were also excluded. Past performance does not guarantee future returns.
- Morningstar is a leading independent investment authority. It uses at least three key “pillars” or indicators (process, people, and parent) to rate every fund. Funds that Morningstar expects will outperform peer group averages are classified as either bronze, silver, or gold, depending on Morningstar’s confidence in its projections.
Maintenance fee may be applied
Accounts having a balance below $25,000 may be subject to an annual maintenance fee of $250.
You are eligible for special rates
Our premier clients enjoy reduced pricing to further maximize their impact.
Our representatives are happy to guide you through.