Current Newsletter
Horizons Newsletter -Current Articles
Helpful Links
Founded in 1993, The Cobb Community Foundation (CCF) is a philanthropic foundation through which individuals, families, organizations and corporations, support the well-being of our community. As a nonprofit 501(c)(3) organization, CCF invests in solutions to solve Cobb County’s civic, educational, health, human service, and cultural challenges.
Capital Markets Review—Third Quarter, 2009
In early March the stock market reversed its downward spiral after six consecutive quarters of decline. Since then the S&P 500 Stock Index average has gained more than 50% from the low. Presently the stock market is up 15% for the year. The extent of the rebound has caught many investors (including us) by surprise.
The Cobb Community Foundation investments have added value in this period. Through 7-30-09 the fund return was +5.7%. The full third quarter will disclose a considerable increase in value for Cobb. The addition of Bay Resources as a new manager in early July has been very rewarding as the return is over +20% so far.
At this juncture the Dow Jones Industial Average is over 9800. Quarterly earnings reports are are again exceeding expectations. However the economic private and public debt issue remains. Bank lending has been contracting in spite of the Federal Reserve’s efforts to encourage banks to lend so the economic recovery is struggling to get started. We are grateful for the markup in stocks since March but remain cautious.
Ernie Montford has more than 30 years of experience in the investment business. His firm concentrates exclusively on investment consulting to institutional funds and accepts fees only from their clients. Ernie works closely with the Community Foundations’ Investment Committee and all reports are overseen by the Boards of both Foundations.