Board Education and Fiduciary Training for Nonprofits and Associations
Fiduciary education tailored to your nonprofit or association’s governance structure and investment program is designed to support your finance committee in engaging more effectively with oversight, reporting, and policy decisions.
Fiduciary Education for Nonprofit and Association Finance Committees
Nonprofit and association finance committees oversee investment programs that often span multiple reserve pools, time horizons, and spending objectives. Committee members rotate, market conditions shift, and the questions your board faces evolve over time. Fiduciary education tailored to your organization’s governance structure and investment program helps your committee stay current on the topics that matter most to their oversight role.
We provide this education as part of our advisory relationship because we believe the investment program works better when the people overseeing it have the context they need. Sessions are tailored to your nonprofit or association committee’s experience level and can cover everything from fiduciary fundamentals for new members to focused discussions on reserve strategy or ESG investing for experienced committees.
Investment Education Topics for Finance Committees
Nonprofit and association finance committees have different levels of investment experience, different governance structures, and different questions depending on where they are in their oversight cycle.
The topics below represent the areas we cover most frequently with our clients. Each session is customized based on your committee’s priorities. Custom sessions are available upon request.
Fiduciary Responsibility
Investment Policy Oversight
Role of Your Investment Advisor
Investment Strategy Fundamentals
Portfolio Benchmarking
Reserve Structure and Spending Policy
Peer Benchmarking
ESG and Values-Based Investing
How We Deliver Fiduciary Education for Nonprofits and Associations
Nonprofit and association finance committees benefit most from investment education that fits within their existing governance process rather than being treated as a separate event. How education is delivered matters as much as what is covered. We offer several formats depending on your committee’s experience level, meeting cadence, and the topics most relevant to your organization’s investment program.
Committee Meeting Education
Educational context is incorporated into your nonprofit or association’s regular committee meetings alongside reporting and performance review. Topics are tailored to what your committee is working through at the time, allowing education to happen within your existing governance cadence.
Annual or Strategic Reviews
Annual policy reviews and strategic planning retreats give nonprofit and association finance committees an opportunity to go beyond routine agenda items and focus on broader topics like reserve strategy, spending policy changes, or ESG investing. These sessions allow for more in-depth discussion than a typical quarterly meeting.
New Member Orientation
Focused sessions for new nonprofit and association committee or board members joining your investment oversight structure. These cover how the investment program is structured, how policy decisions were made, and the current state of the portfolio so new members can participate meaningfully from their first meeting.
Custom Sessions
Topic-specific sessions designed around your nonprofit or association committee’s questions or a particular issue your organization is working through. These can be scheduled as standalone sessions or incorporated into an existing meeting.
Raffa Learning Community Webinars
Monthly webinars on a range of topics relevant to nonprofit and association executives. These sessions are open to all industry professionals. Sessions frequently include CAE credits and cover topics beyond investment management, including governance, financial strategy, and organizational leadership. Learn more about our Raffa Learning Community.
Raffa Insights & Resources
Created for the Nonprofit and Association Community
FAQs
What are a nonprofit board member's fiduciary duties for investment oversight?
Nonprofit and association finance committee and board members have a fiduciary obligation to oversee the organization’s assets in its best interest. This includes (but is not limited to), the duty of care (making informed decisions), the duty of loyalty (putting the organization’s interests first), and adherence to the organization’s mission and governing documents. An organization’s Investment Policy Statement is useful in providing a clear framework for fulfilling these duties.
How should a nonprofit finance committee evaluate investment performance?
Nonprofit and association finance committees should evaluate portfolio performance relative to the benchmarks and allocation targets defined in their Investment Policy Statement. This includes understanding whether returns are in line with expectations, whether asset allocation remains within policy ranges, and whether market conditions or changes in the organization’s financial position warrant a policy discussion. Performance should be reviewed in the context of your reserve structure and time horizons, not just compared to broad market indexes.
How often should a nonprofit finance committee review its investment program?
Nonprofit and association finance committees typically review their investment program on a quarterly basis. These reviews cover portfolio performance relative to IPS benchmarks, asset allocation compliance, and any developments that may affect the organization’s investment strategy. An annual or strategic review provides an opportunity to address broader topics like reserve structure, spending policy, or changes in organizational direction.
What should new nonprofit board members understand about investment oversight?
New finance committee and board members at nonprofits and associations should understand how the organization’s investment program is structured, what policies govern it, and what their fiduciary oversight responsibilities are. Familiarity with the Investment Policy Statement, the current reserve structure, and how performance is reported gives new members the context to contribute meaningfully to committee discussions.
What role does an investment adviser play in nonprofit board governance?
An investment adviser for a nonprofit or association typically manages the portfolio within the parameters defined by the organization’s Investment Policy Statement. The finance committee and board retain policy authority and oversight responsibility. The adviser handles day-to-day execution, provides reporting, and brings relevant market or regulatory developments to the committee’s attention. Understanding this division of responsibilities helps your committee focus on governance rather than portfolio decisions.
What is peer benchmarking and how does it help nonprofit finance committees?
Peer benchmarking allows nonprofit and association finance committees to compare their organization’s reserve levels, asset allocation, spending rates, and other financial metrics against similar organizations. This context goes beyond portfolio performance and helps committees evaluate whether their investment program is structured appropriately relative to peers. Tools like Raffa’s Study on Nonprofit Investing (SONI) Dashboard provide this type of data specifically for nonprofits and associations. For additional information on reserves and using benchmarks to add valuable context, read our recent article “Are Your Investment Reserves Where They Should Be?”
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Disclosures:
This material is provided for informational and educational purposes only and is intended to support general understanding of nonprofit board governance and investment oversight topics. It is not intended as, and should not be relied upon as, investment, legal, or tax advice, or as a recommendation to buy, sell, or hold any security or to adopt any investment strategy.
Any references to fiduciary practices, investment strategies, or governance frameworks are illustrative in nature and may not be appropriate for all organizations. Each nonprofit or association should evaluate its own circumstances, objectives, liquidity needs, and risk tolerance when making decisions regarding its investment program.
Discussion of environmental, social, and governance (ESG) or values based investing considerations may involve subjective judgments and may result in different investment outcomes compared to strategies that do not incorporate such factors. There is no guarantee that ESG or values based approaches will achieve their intended objectives.
Raffa Wealth Management, LLC, doing business as Raffa Investment Advisers, is an SEC registered investment adviser. Registration does not imply a certain level of skill or training. Advisory services are offered only pursuant to a written advisory agreement.