Endowment Report Writing: Find the Story

Shannon Morris
Manager, Donor Communications
Cincinnati Museum Center

In donor relations, I think that all of us could claim the job title of Storyteller. From a relationship manager telling the story of a successful program to a donor, to a board member sharing their testimonial with someone in their network, to a stewardship officer crafting an annual report, we’re all constantly telling stories that inspire. Endowment reports are no different.

Different types of endowment funds

Before you can identify the impact stories for your endowment report, it’s important to identify the type of fund. Depending on your organization, you may fluctuate between different types of endowments. Overall, there are four key types of endowed funds: restricted, unrestricted, term, and quasi. Knowing the difference between the types equips you to tell the most compelling and accurate story for donors to those funds.

• Restricted endowments are specified by the donor and the principle is held in perpetuity while the earnings are spent based on the restriction.
• Unrestricted endowments are funds that are used at the discretion of the organization.
• Term endowments specify that funds from the principle can only be spent after a certain period of time or after a specific event.
• Quasi endowments are restricted by the organization for a specific purpose.

Just as there are different types of endowed funds, there are also different types of endowment reports. From the traditional financial summary chart to the personalized report, all endowment reports aim to tell the financial story of how an endowed fund made an impact. Different types of stories resonate with different people. It’s important to know how a particular donor wants to receive information. Sometimes the financials are enough to make a donor happy, while other donors might only want to hear the narrative story of the impact their gift made that year.

Different types of stories

Traditionally, endowment reports consisted of a printout of the principle and interest for funds. Some organizations and some donors still prefer this method of storytelling, but for others, it lacks personality. This is why more and more institutions are pairing the traditional financial summary with personal impact stories.

Depending on the type of organization, you may be writing multiple endowment reports and telling different types of stories. For instance, a university may have one type of endowed fund for professorships and another for scholarships. A hospital may have one for fellowships and one for chairs. Each of these funds offers many different types of stories. There’s the story of how an endowment enabled a doctor to save lives or produce research, and the story of a patient who was cured by a fellow funded by an endowment.

At the museum where I work, we have a combination of endowment funds. Some of our endowments are for collections, some are for programs and exhibits, and some are for curatorial positions. Each report presents a unique opportunity to showcase different types of stories. For example, there’s the story of a curator in an endowed position who used a new artifact in our collections to support historical research and tell stories about the past to museum guests. Or the story of a child who was inspired by an endowed program to search for fossils in her own backyard.

In terms of storytelling, not all endowed funds are created equal. For those who work for organizations that have endowments focused on serving people, there are stories upon stories to choose from. But even for those organizations that don’t serve people directly, there are still stories of impact. Whether it’s the story of a cat who was saved from euthanasia and found a home, or the story of a trust that became accredited and was able to protect more land, endowments always have a story to report.