CFA Institute Offers Investment Guide for Endowments and Charities

December 1, 2010 ( - CFA Institute has partnered with industry experts to develop a framework for establishing investment oversight practices for charitable organizations, donors, and beneficiaries.

The Investment Management Code of Conduct for Endowments, Foundations, and Charitable Organizations contains specific investment management standards that are supplemented by best practice guidance and examples, according to a press release.   

It requires members of a governing body to:  

  • Act with loyalty and proper purpose; 
  • Act with skill, competence, prudence, and reasonable care; 
  • Abide by all laws, rules, regulations, and founding documents; 
  • Show respect for all stakeholders; and 
  • Review investment strategy and practices regularly. 


In developing the Endowment Code, CFA Institute partnered with industry groups such as the Council on Foundations, Institute for Private Investors, Philanthropic Foundations Canada, Philanthropy Australia, and European Foundation Centre.   

The announcement said the Endowment Code is appropriate for charitable trusts, endowments, independent foundations, non-governmental organizations, philanthropies, and public funds.  

Charitable organizations that wish to claim compliance with the Endowment Code are asked to inform CFA Institute, which will provide an online list of all that have adopted the Endowment Code or whose existing code of ethics comply with it.  

The Endowment Code is at