The Diocesan Common Trust (DCT) was established in 1956 as a pooled investment fund to provide for regular income while maintaining investment value versus inflation. It is a vehicle that is especially useful for those without expertise in investments. Any diocesan congregation or affiliated entity may participate in the DCT. While individuals may not invest, they are are encouraged to contribute towards a fund held by a congregation or entity in the trust.
Oversight |
The Trustees of the Episcopal Diocese of Fond du Lac oversee the investment strategy working with professional Investment Managers. They serve in a fiduciary capacity.
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What THE DCT Does |
Pooling assets allows for more effective and efficient investing. Benefits from economies of scale, discounted administrative fees and increased ‘purchasing power’ from access to the institutional share class level resulting in reduced expense and improved performance versus solo entity investing.
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INVESTMENT STRATEGY |
Assets under management are pooled for investment but accounted for on a segregated fund basis (similar to a mutual fund). Investment strategy is reviewed regularly and adjusted for an optimal mix of equities, bonds and alternative assets to meet the long-term goal of the DCT: providing income and maintaining investment value versus inflation. A long-term horizon accommodates fluctuating market conditions.
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Quarterly Distributions |
Participants may determine to take distributions on a quarterly basis. The amount of the distribution is determined on an annual basis by the participant, but limited to no more than five percent of market value. If the participant elects to have no distribution, assets remain in the account and continue to grow.
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Contributions & Withdrawals |
Participants may contribute to or withdraw from their account(s) at any time. Contributions must be made by submitting information found on the contribution document. Withdrawals must be requested by submitting the withdrawal form with required documentation. Processing takes 3-5 business days.
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Preformance |
Over six decades, DCT performance (net of fees) has been able to exceed the rate of inflation while providing regular income to its participants. Past performance does not guarantee future results and assets in the fund are subject to risk and may lose value. The performance for the first three quarters of 2019 was 13.36% net of fees. Participants may request a detailed performance report by contacting the Diocesan Office.
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Administration & Fees |
The Trustees and Diocesan Office receive no fees for oversight or administration. Professional investment management fees of Graystone Consulting, a unit of Morgan Stanley Wealth Management, are currently 0.47% per year.
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Fixed Distribution Election |
Determining Distribution: Participants may determine an annual fixed amount of distribution from each of their DCT accounts for the upcoming year. This may be any amount from no distribution up to 5% of the market value of a DCT account at the end of the 3rd quarter of the current year. The annual fixed amount is to be communicated to the Diocesan Office by the end of December. If no communication is received, the Diocesan Office will not generate distributions.
Making Distributions: The Diocesan Office will administer distributions with the Investment Advisor. A distribution of ¼ of the annual fixed amount will be made into the designated bank accounts of participants by the 15th of the first month of each quarter (so January, April, July, October). The Diocesan Office will notify participants when distributions have been made.
Making Distributions: The Diocesan Office will administer distributions with the Investment Advisor. A distribution of ¼ of the annual fixed amount will be made into the designated bank accounts of participants by the 15th of the first month of each quarter (so January, April, July, October). The Diocesan Office will notify participants when distributions have been made.
Diocesan Common Trust Participants
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Diocese of Fond Du Lac Trustees
Sisterhood of the Holy Nativity St. Agnes, Algoma St. Olaf’s, Amherst St. Ambrose, Antigo All Saints, Appleton St. Anne’s, De Pere St. Francis, Eagle River St. Paul’s Cathedral, Fond Du Lac Precious Blood, Gardner Blessed Sacrament, Green Bay St. James, Manitowoc St. Matthias, Minocqua |
St. John's, New London
Holy Apostles, Oneida St. Augustine’s, Rhinelander St. Peter’s, Ripon St. John's, Shawano St. Peter’s, Sheboygan Falls St. Luke’s, Sister Bay Intercession, Stevens Point Christ the King Holy Nativity, Sturgeon Bay/Jacksonport St. Paul’s, Suamico St. Barnabas, Tomahawk Holy Trinity, Waupun St. John’s, Wisconsin Rapids |