The Wilson Historical Society Endowment

The underlying philosophy for investing Endowment funds is based on having a fully invested, broadly diversified, low-cost portfolio that does not attempt to predict when to be "in" or "out" of the equity and fixed income markets. On the equity side, we invest in domestic equities to essentially match the returns of all publicly-traded U.S. firms. Due to our investment in the Vanguard Extended Market Index Fund, we are slightly over-weighted in mid- and small-cap firms. On the fixed-income side, we take more credit risk than would occur by investing solely in government and corporate bonds. Through leveraged short-term closed end funds (Brookfield Real Assets Fund, Guggenheim Strategic Opportunities Fund, and Pimco Dynamic Income Fund), we anticipate outperforming the returns from government and corporate bonds over a full business cycle.

As of December 31, 2021 the Endowment was invested as follows:

    $ % Target
Stocks Vanguard Total Stock Market Index Fund 198,109 57.2 55.0
  Vanguard Extended Market Index Fund 18,665 5.4 5.0
Bonds Brookfield Real Assets Fund 46,674 12.6 13.3
  Guggenheim Strategic Opportunities Fund 42,893 12.4 13.3
  Pimco Dynamic Income Fund 41,405 11.9 13.3
  Vanguard Federal Money Market Fund 1,746 0.5 0.1
Total value   346,492 100 100

In 2021, the value of the Endowment experienced a 20.4% increase in value, from $287,677 to $346,492. Also in 2021, the Endowment distributed $3,600 to help defray a portion of the Museum's on-going operating expenses.