Ever wonder if we're speaking different languages?  It happens!  Check out this glossary of common terms and expressions.


Allocation Date: also known as valuation date, is used to calculate your spending draw. Example if averaging 12 months, the average value will start as of the allocation date and calculate an additional 11 months back from that date.  

Book Value:  Fundriver considers book value to be the value of the funds excluding unrealized gains/losses the funds have incurred.

Capital call: The broker is calling on you to send them money. Typically you have an upfront commitment that says you are going to guarantee $X dollars to the broker. The broker then throughout the year will "call" on you to send these funds in installment payments. 

CRUT (Charitable Remainder Trusts):  An irrevocable trust that generates a potential income stream for you, as the donor to the CRT, or other beneficiaries, with the remainder of the donated assets going to your favorite charity or charities.  Fundriver is software designed to track Endowments. Having your CRUT's in Fundriver to track MV is an option, but we are not set up to track the payment portion of the trust. You will need to maintain your rollforward payment schedule.

Custom Reports:  These reports are typically specific to each client and often times billable projects. 

Deactivating a fund:  When you close a fund, you will still be able to search for it on the Fund tab. It will just have CLOSED in the name. It can also be reactivated easily, if need be, by clicking the REACTIVATE FUND button (which replaces the DEACTIVATE FUND button on the FUND PROFILE once a fund is deactivated).

Department Module: Was developed to give organization administrators read-only access to specific funds, usually related to their departments.  Each institution can set up Department Module access for any individual they want (such as donors, advancement office staff, department heads, etc.).  

DLT:  Data Load template used by clients to upload information into Fundriver on your initial set-up. You can also use it in the future to import data sets into Fundriver.

Due to/Due From:  Gift is recorded but money may not have been transferred to the investment pool yet. A due to/due from is recorded to show that money is owed the investment pool from operations. Similarly, distributions may be recorded to each endowment, but the funds may not be pulled out of the investment pool the same period it's recorded. A due to/due from is recorded to show that money is due to operations from the pool.

Endowment:  A donation of money or property to a nonprofit organization for the ongoing support of that organization. Usually the endowment is structured so that the principal amount is kept intact while the investment income is available for use, or part of the principal is released each year, which allows for the donation to have an impact over a longer period than if it were spent all at once. An endowment may come with stipulations regarding its usage.

Historical Gift: The original philanthropic contribution given by a donor to establish an endowment fund. It is also commonly referred to as the Corpus or Principal. The balance of a gift's corpus can be increased through additional gifts to the endowment. A donor may also stipulate that they want a certain amount of a fund's income to be reinvested in the corpus, which also increases the historical gift. Additional gifts and reinvestments are the only two ways to increase historical gift values.

Inception Date: Is normally the date the Fund was created. It is up to you which date you want to use. Note that inception dates having no bearing on anything within your Fundriver database. They do not drive reports, distributions, etc.

Journal date: Informational and not a requirement.

MDLT (Manager Data Load Template): Used by clients to load Manager Information (for those that have the Investment Portfolio Module) in Fundriver.

Post date:  Determines which post period your transactions are posted to in your database.

Quasi Endowment:  Board designated or set aside by institution from an institution's own funds. Invested with endowment funds. Sometimes used for matching donors gifts. (Net Asset Classification: Unrestricted. An organization cannot permanently restrict its own funds.)

Reinvest Threshold:  Limits spending from fund until minimum dollar threshold for historic gift or market value has been reached. The default setting on this is for principal/historical gift, but client can choose to reset for market value.

Return of capital: The broker is returning your money to you (think returning an item in a store; they give you your money back- this not a taxable event).

SOW (Statement of Work):  Written document created by Fundriver for project which will require programmer time and testing time for an additional cost.

Standard Reports: Reports that are built on set templates and available in all databases.

Term Endowment:  A gift is invested with endowments because it will not be spent in the near term, but will ultimately be spent in its entirety (i.e. to fund a future capital project). (Net Asset Classification: Temporarily Restricted)

True Endowment: Outside donor gives a restricted gift with the intention that only the earnings/income from that gift will be used to fund programs, operations, or scholarships, etc. (Net Asset Classification: Permanently restricted)

UDR (User Defined Report):  A tool users can select existing or data sources to create new reports. The user can select fields, sort by, group by, and filters for these new reports based upon existing data sets.

Underwater:  Current value (market value) is less than the value at the time of original funding (historical cost).

Unitization: Form of endowment investing that has mechanics similar to that of a mutual fund. A unitized endowment pool allows multiple endowments to invest in the same pool of assets. Each endowment owns individual units in the unitized investment pool, and the units are generally valued monthly. New endowments entering the pool can buy in by receiving units in the pool that are valued as of the buy-in date.

User Defined Reports:  These reports are built directly in the client database and often times are not billable, however they do have certain limitations over custom reports.

Yale Method Spending Rule:  Blend of the average market value and prior year spending rules. It can be configured in Fundriver to work on the fund or pool level. The system default is calculated based on the pool. This training will show the set up in the Fundriver interface as well as how both the pool and fund-level calculations work.

FAS 117

Unrestricted:  Assets donated to nonprofit organizations that are not subject to use restrictions.

Permanently Restricted:  Must be maintained permanently—not used up, expended, or otherwise exhausted—is classified as permanently restricted net assets.  only earning and income from gifts may be used.

Temporarily Restricted:  The portion of a term endowment that must be maintained for a specified term is classified as temporarily restricted net assets. These funds are not spent now, but will spent in in entirety (capital projects)

ASU 2016-14

Without Donor Restriction:  The part of net assets of a not-for-profit entity that is not subject to donor-imposed restrictions.

With Donor Restriction:  The part of net assets of a not-for-profit entity that is subject to donor-imposed restrictions.