BisNow reporting on SONI findings:
Raffa Wealth Management surveyed over 150 associations and nonprofits about their investment strategies in 2012. Raffa president Dennis Gogarty says the nonprofit sector is in good shape in terms of the percentage of its budget it puts into reserves. (The average is 60% to 80%) The average ROI lagged traditional indexes by 1% to 2%. Why might that be? Many organizations don't have investment guidelines and they reacted to market trends by moving around their investments. Some other findings: 38% of respondents lack guidelines on investment diversification; 30% of orgs made changes to their asset allocations in 2012, most to be more aggressive; and 70% reinvested all of their dividend income in 2012.