What is an Endowment?

An endowment is a fund established by a non-profit organization (often a church) which invests donations to the fund and uses the income generated from it for specified purposes.

The assets donated to the endowment become the “principal” or “corpus” of the fund, which is designed to grow and generate income over time to enable sustained long-term funding for specified purposes without having to rely on the organization’s operating funds.