By Errol Castens/NEMS Daily Journal
OXFORD – The city of Oxford’s municipal reserve and trust fund ended its first calendar year with a $1,210,552 gain on its $30 million endowment. The original capital came from the sale of the hospital jointly owned with Lafayette County.
“Equities over time have proved to be a good investment if you have patience,” said trust fund committee member Lawrence Chandler. “We feel good about the future of this fund.”
Special state legislation authorized the fund with the priorities of “preservation of capital, real growth after inflation, capital appreciation and liquidity.”
Earnings can go into the city’s general account, but its capital can be used only under very limited terms in case of emergency.
Glenmede in Philadelphia, Penn., was chosen as the fund’s investment management firm. The fund’s guidelines require it to invest in a mixture of cash (money market instruments), fixed income (investment grade and international) and equity (large cap, small cap and international). Glenmede officials report to a committee made up of Oxford’s mayor, mayor protem, another alderman, and six volunteer residents with extensive business experience.
“Proceeds from that fund, we hope, will be used for decades to come,” said Mayor George “Pat” Patterson. “We owe a huge debt of gratitude to the community-minded individuals that helped us get that fund started.”