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Fundriver Client Data: Distributions

When an organization's endowments are unitized, there are two general approaches for handling distributions:  1) the distributions can impact the number of units or 2) the distributions can impact unit price.  As you can see in the data below, which represents the practices of 204 current Fundriver clients, the size of the organization's endowment often plays a part in which method they choose.  Very few client organizations with endowments lower than $100 million choose to have their distributions impact unit price.  At the $500 million level, more institutions choose to have distributions impact unit price than impact units.

Do Distributions Impact Units or Unit Price?  

Do Distributions Impact Units or Unit Price?  

n=204

n=204

The majority of clients have distributions reduce the number of shares in the pool. The advantage of this approach is that it allows for different distribution rates.  The slides below show what methods are used by different non-profit sectors.

n=145

n=145

n=9

n=9

n=23

n=23

n=15

n=15

n=12

n=12
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