2011 Annual Report

A Passion for Philanthropy

Annual Report for the year ending December 31, 2011

For this generation...and generations to come.

an issue, a need, or a cause in seemingly impossible ways. It can move minds toward unparalleled action.

And it’s through passion that formidable change in our world often happens.

PASSION

(l-r, top) Marvin I. Schotland, President & CEO and Lorin M. Fife, Chair.

Letter to the Community

What a difference passion makes. It can transform

Over the past two decades, we have witnessed unprecedented growth in the number of innovative nonprofit organizations nationwide. Inspired by a new breed of social entrepreneur, these initiatives are focused on addressing some of our society’s most vexing challenges.

Recent seed funding from The Foundation has played a key role in locally launching successful social innovations—Jumpstart, 30 Years After, LimmudLA, Jewlicious, Reboot, and JQ International, to name just a few. A defining characteristic of these organizations and many others supported by The Foundation is their passion.

Passion is also a word that describes our donors. They are driven by a desire to make a difference to translate their good fortune into good works and to sustain causes that resonate deeply within them.

The passionate philanthropist is at once inspired and inspirational.

So too at The Foundation. We connect passionate ideas with the

At the Jewish Community Foundation, donors

resources to power them. With our nearly 60-year history as

are able to fuse their passion with purpose

stewards of Jewish L.A.’s charitable assets—$737 million as of

and action—both within the Jewish community and the community at large. Like the people featured on the following pages, our donors are able to translate their passion into meaningful and lasting impact.

What’s your passion? Find out how The Foundation can help you transform your passion into a powerful and lasting legacy….

12/31/11—donors depend upon our strength, stability, continuity, and innovation to help them fulfill their charitable passions.

In this vein, The Foundation recently unveiled its Center for Designed Philanthropy, conceived to assist donors and their families in fulfilling their passions by customizing their charitable goals in profoundly personal ways. The Center’s staff helps donors magnify the impact of their philanthropy by identifying areas of interest and meaningful funding opportunities, leveraging their resources, and facilitating cross-generational dialogue among families.

As always, we thank our donors for their unwavering confidence, our Board of Trustees for its sound counsel, and the management team and staff for their tireless work—and of course, their passion for philanthropy.

Sincerely,

Lorin M. Fife Chair

Marvin I. Schotland President & CEO

p2-3 The Foundation 2011 Annual Report

Diane and Guilford Glazer with their granddaughter Alexandra Shabtai at the Glazer home in Beverly Hills.

‘‘

For nearly 30 years,

we’ve had a donor advised fund at The Foundation,

so we know the value of The Foundation firsthand. It has been our longtime

our vision of peace in the Middle East and promoting passionate support for Israel worldwide.

philanthropic partner in fulfilling

’’

—Diane & Guilford Glazer

p4-5 The Foundation 2011 Annual Report

‘‘

Through the example my parents set for me—along with creating a Foundation fund—

giving back to the community

is paramount in my life, and I’m

striving to instill that value in my sons as well.

I’m passionate about

Jewish education, as it creates a new generation enriched with Jewish values.

I’m also very fond of our Jewish elderly. As the community’s backbone,

’’

they deserve our loyal support.

—Susan Hirsch Goldfarb

Susan Hirsch Goldfarb with her sons Linden (c) and Matt (r) relaxing at home in Sherman Oaks.

p6-7 The Foundation 2011 Annual Report

‘‘

We are passionate about our responsibility—and our privilege—

to assist those less fortunate and to further the continuity of the Jewish people. Through our fund at The Foundation, we are committed to easing the lives of Holocaust survivors, ensuring aging seniors have the online tools to keep their minds stimulated, and furthering the education and training of

’’

tomorrow’s rabbis.

—Roz & Abner Goldstine

Roz and Abner Goldstine preparing for the Sabbath in their Beverly Hills home.

p8-9 The Foundation 2011 Annual Report

Dana and Evan Schlessinger with (l-r) Shimon, Eitan, and Shira in their Westwood residence.

‘‘

Our passion is Jewish camping—it’s one of the most powerful Jewish experiences children can have and lets them own their own Judaism.

With our fund at The Foundation, we can concentrate on supporting causes like Jewish camping while The Foundation handles all the administration,

’’

to concentrate more on our family.

allowing us

—Dana & Evan Schlessinger

p10 -11 The Foundation 2011 Annual Report

‘‘

We’re two friends who created a fund at The Foundation to help fulfill

our charitable passions—supporting Jewish education and Jewish identity in Eastern Europe. The Foundation makes it easy for us to work through the Jewish community to help underprivileged children overseas. Best of all,

we are able to participate in the joy of funding

’’

without being

concerned about administrative details.

—George Adler & Jack Frydrych

George Adler (l) and Jack Frydrych together at George’s house in Manhattan Beach.

p12-13 The Foundation 2011 Annual Report

‘‘

We’re passionate about several things, and

philanthropy is at the

top of the list. As we enter the next stage of life, with our kids on their

way to being grownups and as immigrants who realized the American Dream, we think it is

our turn to give back to our community. So we recently decided to create a fund at The Foundation to help us refine our passions and to support them with greater confidence.

’’

—Farah & Steve Gozini

Farah and Steve Gozini with their children (l-r) Nicole, Natalie, and Allen outside their Brentwood home.

with our mission of meeting the community’s needs today and for generations to come, The Foundation’s investment strategy is focused on diversification and balancing the return on assets within prudent risk parameters. Our Investment Committee, composed of professionals who manage portfolios totaling billions of dollars, strives to achieve a portfolio total return that compares favorably to its benchmarks.

Donor Gifts Donors contributed a total of $77 million in 2011— a 22 percent increase from 2010—to funds administered by The Foundation through several philanthropic instruments, including Donor Advised Funds, Family Support Organizations, Endowment Funds, and Agency and Synagogue Endowments.

Asset Allocation The Foundation’s Common Investment Pool maintains a balanced portfolio consisting primarily of Foundation and agency endowment funds and concentrates on a longterm strategy of growth and preservation of capital. In 2011, the Common Investment Pool dipped 0.7 percent, with assets amounting to $234 million at year-end, the same amount as that of 2010. The Common Investment Pool’s 2011 performance exceeded its benchmark by 0.9 percent.

• Contributions to new and existing Donor Advised Funds amounted to $49 million. This helped to raise total assets held in Donor Funds to $355 million.

• Sixteen million dollars in gifts funded 38 new Donor Advised Funds, Life Income Funds, Restricted Endowment Funds, and Agency Funds. This represents a 31 percent increase in the number of new funds from the prior year.

fact

P14-15 The Foundation 2011 Annual Report

At year-end 2011, total assets at the Jewish Community Foundation grew to $737 million. Grants totaling $54 million were distributed to more than 1,800 organizations with programs spanning the entire range of philanthropic endeavors. This assistance provided critical support to the Jewish community and the community at large, especially during yet another economically difficult year for many individuals and nonprofit organizations.

At year-end 2011, total assets at the Jewish Community Foundation grew to $737 million.

Grants totaling $54 million were distributed to more than 1,800 organizations.

737M

• The 40 Family Support Organizations affiliated with The Foundation accounted for total assets of $134 million. Additions to Family Support Organizations totaled $19 million. Family Support Organizations are designed to create a permanent legacy of family philanthropy, carried forth from generation to generation, and require a minimum of $2.5 million.

2 0 0 2- 2 0 1 1 R at e s o f R e t u r n Common Investment Pool

Donor Funds Portfolio

(0.7) 11.8 18.8 (29.6) 7.8 11.8 8.5 9.6 15.5 (0.5)

0.6 1.1 2.2 3.8 4.7 3.8 2.6 2.3 2.5 2.8

(Total Return)(%)

Marvin I. Schotland President & CEO

2011 2010 2009 2008 2007 2006 2005 2004 2003 2002

Donor Funds Endowment Funds

(Current Yield)(%)

Investment Philosophy Our investment portfolio’s financial objective is to preserve and strengthen the purchasing power of the fund. Consistent

Family Support Organizations Institutional Endowments

To strengthen performance when the market is on the rise and to reduce losses when it is down, the Investment Committee relies on investment management firms with proven expertise in specific asset classes. The Investment Committee—supported by an independent institutional investment consulting firm—routinely analyzes fluctuations in financial sectors and market conditions and meets quarterly to evaluate manager performance and to monitor portfolio risk.

Michael Januzik

CFO/SVP, Finance & Administration

fact

p16 -17 The Foundation 2011 Annual Report

The Foundation exemplifies its commitment to the precept of tikkun olam...by supporting programs not only in the Jewish community, but also in the community at large.

FOUNDATION LEGACY GRANTS In 2011, The Foundation awarded a total of $5 million to seed new programs and to support initiatives that enhance the health and well-being of Jewish Los Angeles, the community at large and Israel. Together with Foundation staff, the Grants Committee strives to maximize the impact of these awards. This year, funding was provided for Community Grants, Israel Grants, and Restricted Grants.

Community Grants Providing support to address important issue areas in both the Jewish community and the community at large, Community Grants are awarded annually through a competitive process. In 2011, nearly $2.5 million was distributed in the categories of Cutting Edge, General Community, and Israel Grants.

nt Pool Common Investme 0

10

20

30

40

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60

70%

30% Partnership Investments

In 2011, The Foundation provided funding for seven Cutting Edge Grants totalling $1.2 million, including a $185,000, three-year Cutting Edge Grant to the Jewish Federation for Caring Community: Help When and Where You Need It, which will enable 1,000 Jewish families in need to access a social worker and supportive services at selected area synagogues. The program enhances local synagogues’ ability to provide emotional and practical support for congregants in need through short-term case management, a comprehensive Community Resources Guide, referrals and workshops for congregants and synagogue professionals.

Additionally, BTS Communications—a program developed

by Beit T’Shuvah, a nonprofit specializing in recovery and rehabilitation for Jews afflicted by addictions— received a $250,000, three-year Cutting Edge Grant to help transform the lives of 50 interns as they maintain sobriety, learn practical skills, and enter a new career.

The interns will participate in a year-long vocational training program for careers in graphic and Web design, online advertising, and social media marketing. In addition, the interns will gain practical work experience by providing marketing and communications services to Jewish organizations and synagogues.

International Equity 24% Fixed Income 23%

by Field of Interest - $5 million

Foundation Legacy Grants 70%

60

50

40

30

20

10

0

Social Services 63%

Domestic Equity 18%

Religious Life 18% Education 11%

odity 5% Exchange Traded Comm

Arts & Culture 5% Health, Science & Environment 2% Civic Life 1%

Daniel Rothblatt

SVP, Philanthropic Services

Cutting Edge Grants To inspire social entrepreneurs, creative thinkers, and innovative organizations to develop significant, transformative programs for the Los Angeles Jewish community, The Foundation provides seed funding to launch new, high-impact programs. Through its Cutting Edge Grants Initiative, awards of up to $250,000 are distributed over a maximum three-year period. In addition to the funding itself, The Foundation’s grant professionals also provide special assistance and guidance to the grant recipients throughout the duration of the grant award, helping to strengthen the program and its outcomes.

Amelia Xann

General Community Grants The Foundation exemplifies its commitment to the precept of tikkun olam—repairing the world—by supporting programs in the Jewish community as well as in the community at large through its General Community Grants. These grants offer funding to nonprofits that develop programs designed to successfully address high-priority needs in the greater Los Angeles community. In 2011, The Foundation awarded a total of $200,000 in General Community Grants to 11 nonprofits for work in two major areas: programs and services for veterans and soldiers

VP, Center for Designed Philanthropy

One such grant in the amount of $20,000 went to the Military Families Programs, operated by ZERO TO THREE, an organization that informs, trains, and supports professionals, policymakers, and parents in their efforts to improve the lives of infants and toddlers. In coordination with UCLA’s Veterans Family Resilience Center, Military Families Programs trains 45 professionals to help young children of military families to manage the stress and impact of parental deployment and parents’ reintegration into society. Professionals will also learn tools that parents can use to support their own children and to strengthen their entire family.

Moving Forward, a program of Girls & Gangs—which provides support and advocacy for young females affected by the juvenile justice system—received a $20,000 grant to teach life skills to girls in South and East Los Angeles after their release from incarceration. The program helps young women develop life skills for healthy decisionmaking, independence, and self-sufficiency.

employment in Jerusalem. The professional tracks include the government/public sector, economics and business, high technology, architecture and design, biomedical industry, and tourism. The goal is to encourage young adults to live and work in Jerusalem and to keep the city vibrant and prosperous.

To foster economic growth in the Negev and Galilee, The Foundation awarded a $215,000 Israel Grant to the OR Movement to create and track thousands of jobs in those communities. While the Negev and Galilee regions represent about 60 percent of Israel’s land mass, only eight percent of Israelis live there. The Foundation’s grant will help promote some 13,500 job opportunities in the Negev and Galilee and aims to fill 85 percent of them.

fact

p18 -19 The Foundation 2011 Annual Report

of the Iraq and Afghanistan wars and their families and financial literacy for low-income youth and women.

In 2011, Restricted Endowment Fund distributed $2.5 million in grants to meet a broad range of needs locally, nationally and in Israel.

by Sector - $49 million

donor Grants 70%

60

50

40

30

20

10

0

Jewish - Local & National 53% Community at large 25% Jewish - Israel 22%

by Field of Interest - $54 million

Donor & Foundation Legacy Grants 0

10

20

30

40

50

60

70%

Education 31% Social Services 29% Religious Life 14% Civic Life 12% Health, Science & Environment 8% Arts & Culture 6%

Israel Grants The Foundation’s Israel Grants support organizations addressing issues related to Jewish identity and those working to encourage economic development and selfsufficiency. These grants provide up to $250,000 over three years to organizations in Israel. A total of $1 million was awarded in Israel Grants in 2011.

Baruch Littman VP, Development

One recipient, New Spirit (Ruach Hadasha), received a $195,000 Israel Grant to provide more than 2,000 university students with practical work experience and help them more easily enter the job market and find

Restricted Grants To fulfill donors’ philanthropic goals of supporting specific issue areas or organizations and programs they are passionate about, The Foundation works with funders and their families to create Restricted Endowment Funds.

In 2011, these funds distributed $2.5 million in grants to meet a broad range of needs locally, nationally, and in Israel. Funds were directed to support Jewish education, Jewish identity, social service needs, and medical assistance through such organizations in the local community as Bet Tzedek, Builders of Jewish Education, City of Hope, Jewish Big Brothers Big Sisters, Jewish Family Service, Jewish Free Loan Association, and Jewish Vocational Service, as well as Magen David Adom and Jewish National Fund in Israel. For example, more than $350,000 from a restricted endowment fund created by the late Mickey Ross went to nine organizations providing food, shelter, medical care, and education for needy Angelenos. Several recipients of Ross Endowment grants included Jewish Home for the Aging, L.A. Regional Food Bank, Homeless Not Toothless, and Meet Each Need with Dignity.

Elliot Kristal

VP, Charitable Gift Planning

by Field of Interest - $49 million

donor grants 0

10

20

30

40

50

60

70%

Education 33% Social Services 25% Religious Life 14% Civic Life 13% Health, Science & Environment 9% Arts & Culture 6%

Grants by Fields of Interest • Education represented nearly $16 million, or 33 percent.

The Foundation has never wavered from its commitment to serve the needs of the community and those seeking to strengthen the community. Safeguarding the philanthropic legacy of our donors and the security and impact of their charitable assets is our primary institutional priority.

The Foundation has operated at or under budget every year for more than a decade. In 2011, our operating expenses were $5 million, 70 basis points of total assets.

fact

p20-21 The Foundation 2011 Annual Report

Donor Grants In 2011, The Foundation distributed $49 million in donorrecommended grants to more than 1,800 nonprofits for programs spanning the human lifecycle.

Fifty-three percent of donor grants supported causes in the local and national Jewish communities; 25 percent funded the nonsectarian community at large; and 22 percent supported causes in Israel.

The Foundation’s Board of Trustees has fiduciary responsibility for the integrity and fairness of the financial information provided herein and for engaging the independent auditors, PricewaterhouseCoopers LLP, to ensure that management fulfills its responsibilities in providing accurate and reliable financial information.

The Board assigned oversight responsibility for this function to its Audit Committee. The Foundation’s 2011 audited financial statements can be found at www.jewishfoundationla.org/2011auditedfinancials.

• Social services accounted for nearly $13 million, or 25 percent of donors’ total giving.

• Arts, culture, and civic life amounted to $9 million, or 19 percent.

• Religious life made up nearly $7 million, or 14 percent.

• Health, science, and the environment constituted more than $4 million, or 9 percent.

Grants by Sector • Fifty-three percent, or nearly $29 million, supported causes in the local and national Jewish communities.

• Twenty-five percent, or approximately $13 million, funded programs and organizations in the nonsectarian community at large.

• Twenty-two percent of all donor grants, or nearly $12 million, supported worthy causes in Israel.

Lewis Groner

Director, Marketing & Communications

Ensuring Continuity and Stability The Jewish Community Foundation was built to last for generations to come. Since it was established in 1954,

Susan Mattisinko General Counsel

p22-23 The Foundation 2011 Annual Report

L e a d e rs h i p a n d S t a f f o f t h e J e w i s h C o m m u n i t y F o u n d a t i o n As of 9.12

Officers Lorin M. Fife Chair

Kate Martin

Executive & Board Liaison

Daniel M. Rothblatt

Elliot B. Kristal

Senior Vice President, Philanthropic Services

Executive

Vice President, Charitable Gift Planning

Baruch S. Littman

Marvin I. Schotland President & CEO

 Kenneth A. August Vice President

Vice President, Development

Leah M. Bishop

Vice President Professional Advisors Outreach Committee Co-Chair

Anthony Chanin

Development

Vice President General Community Grants Chair

Marvin I. Schotland President & CEO

Max Factor, III

Susan Mattisinko

Vice President

General Counsel

Georgina Baquet Development & Database Coordinator

Elana Wien

Senior Program Officer

Heather Glynn

Development Assistant

Center for Designed Philanthropy

William R. Feiler

Vice President Investment Committee Co-Chair

Bertrand I. Ginsberg

Naomi Strongin

Vice President

Program Officer

Bonnie Samotin Zev Manager, Marketing & Communications

Marketing & Communications

Harold J. Masor

Vice President Audit Committee Chair

Scott H. Richland Vice President

Amelia Xann

Alan Stern

Vice President, Center for Designed Philanthropy

Vice President Cutting Edge Grants Committee Chair

Beth Bernstein Program Officer

Daniel M. Rothblatt Preston Canter

Coordinator, Center for Designed Philanthropy

Senior Vice President, Philanthropic Services 

Lewis Groner

Director, Marketing & Communications

Pamela Weiss

Heather Baroff

Marketing & Communications Specialist

Manager, Donor Relations

Fay Althausen Support Foundation Account Executive

Michael J. Januzik

CFO/Senior Vice President, Finance & Administration

CFO/Senior Vice President, Finance & Administration

 Elliot B. Kristal

Vice President, Charitable Gift Planning

Renee Ing-Akana

Jessica Vroman Director, Accounting

Ripsima Talverdian

Donor Relations

Michael J. Januzik

Executive Assistant

DeWayne Nash

Controller

Assistant Controller

 Baruch S. Littman Vice President, Development

Amelia Xann

Vice President, Center for Designed Philanthropy

Selwyn Gerber

Finance & Administration

Secretary Israel Grants Committee Chair

 Lawrence Rauch Iris M. Rodgers

Janices Brown

Foundation Secretary

Database Manager/ IT Specialist

Cynthia A. Jones Investment Accountant

June del Rosario Accountant/ Payroll Specialist

Treasurer Finance Committee Chair

Board of Trustees Martin S. Appel * Kenneth A. August Melanie Bialis Lynn Bider Leah M. Bishop Anthony Chanin Allan B. Cutrow * Max Factor, III William R. Feiler Abby L.T. Feinman

Center for Designed Philanthropy Committee Co-Chair

Lorin M. Fife Beth C. Friedman Selwyn Gerber Bertrand I. Ginsberg Herb Glaser Lisa Greer Linda Volpert Gross Mark Lainer * Harold J. Masor Lawrence Rauch Scott H. Richland Karen Sandler Evan Schlessinger Annette Shapiro * Brian Shirken Michael G. Smooke

Capital Grants Committee Chair

Eugene Stein Alan Stern Peter Weil Cathy Siegel Weiss * Adlai W. Wertman

Center for Designed Philanthropy Committee Co-Chair

Raymond J. Zolekhian * PAST CHAIR

Jewish Federation Ex Officio Trustees Richard Sandler Chair

Jay Sanderson President & CEO

Advisory Board Paul S. Aronzon Lionel Bell Elaine Berke

Howard M. Bernstein Robin Broidy George T. Caplan Philip W. Colburn Jonathan Cookler Fred Cowan Sonia S. Cummings Irwin Daniels Hugo D. de Castro Cliff Einstein Irwin S. Field David A. Gill Bram Goldsmith Glenn Golenberg Steven C. Good Daniel V. Goodstein Dorothy S. Goren Osias G. Goren Lee Hausner Nathan J. Hochman Ronald M. Kabrins Mitchell T. Kaplan Mark S. Karlan Richard A. Kayne Martin Kellner Martin L. Kozberg Luis Lainer Ronald L. Leibow Jeffrey L. Levine Jordan L. Lurie Francis S. Maas Todd M. Morgan Jack M. Nagel James A. Nathan

Investment Committee Co-Chair

Joyce R. Powell Herbert A. Reznikoff Stanford K. Rubin Nathan Sandler Richard A. Schulman Mark N. Schwartz Frederick L. Simmons Richard S. Volpert Barbi Weinberg Sylvia Weisz Bruce F. Whizin Douglas C. Williams Marilyn Ziering

p24-25 The Foundation 2011 Annual Report

The Jewish Community Foundation offers variety and flexibility in designing charitable gift plans.

By offering personalized service and extensive professional expertise, we help to fulfill your philanthropic objectives while effectively addressing

Whatever issue, topic, or field of interest you’re

your financial, tax, and estate planning needs.

passionate about—whether it’s Jewish education,

OPTIONS & OPPORTUNITIES FOR DESIGNING A PHILANTHROPIC PLAN. To learn how The Foundation’s team of experienced professionals can help you design a philanthropic strategy that fulfills your charitable passions and ambitions, please contact The Foundation:

the elderly, Jewish youth, Israel, those less fortunate, or a myriad of other causes—The Foundation can help you shape and refine your passions and bring them to life.

What’s your passion for philanthropy?

We invite you to join those committed individuals

Phone: 323.761.8704

who have ignited their passion for philanthropy

E-mail: donate@jewishfoundationla.org

by creating a charitable fund at The Foundation.

Web: www.jewishfoundationla.org We welcome the opportunity to help design a philanthropic plan that will fulfill your passions and goals.

Amelia Xann

VP, Center for Designed Philanthropy

Daniel Rothblatt

SVP, Philanthropic Services

Jewish Community Foundation 6505 Wilshire Boulevard, Suite 1200 Los Angeles, California 90048 • 323.761.8700

www.jewishfoundationla.org

Design:

Kenji Studios Writing/Editing:

Lew Groner Photography:

Max Gerber Photography (pp.1—21; 24—25) Howard Pasamanick Photography (p. 22)