REALLY?

Several of you inquired post meeting about our RCS Foundation's corpus rate of return at 24.9% as reported during the Foundation Day presentation. First and foremost, it is a bit of a complicated calculation, taking into account sales, deposits, the reweighing of our portfolio's various asset classes from time to time throughout the 2010-11 "fiscal" (not calendar) year, at the recommendation of our investment advisor, The Savant Investment Group, and some good timing. The number is actually an internal rate of return (IRR) and if you were to compare it with what the rest of the market did during that same period of time (between 23 and 30 % depending upon the complexion and risk of the investment) the bottom line is your Foundation held its own, in these tumultuous times, beating the INDEX (what our portfolio would have done if there had not been any buys or sells) of 24.5 %.

Your Foundation investment guidelines trend to the conservative side with a Foundation philosophy of "in perpetuity" (we are in it for the long haul). The Foundation's objectives are not to capitalize on "flash in the pan" (high risk with perhaps high yield) opportunities but rather "steady as she goes" with an underlying effort to cultivate a long term and continuous stream of financial legacies (bequests and so forth as a result of your estate planning). Your financial legacies are truly the crux of the long term growth and sustainability of your Foundation (any Foundation).

If you missed RCS Foundation Day, a copy of your Foundation's Annual Report awaits you in the office or you may view and share it on line, by link, at your Club website.

Congratulations are in order to Rick Davis as your Clubs newest Sacramento Rotary Fellow (the highest honor bestowed upon a RCS Rotarian for service above self). Read all about Rick's achievements below in this weeks Pulse.

Your Cambodian clean water and sanitation project progresses. The village of Doun On, Cambodia with 227 families (1086 people) has been selected to benefit from this project (with your clubs significant financial contribution). The next step, map those wells and repairs then begin digging. We look forward to visiting this finished project en route to the Rotary International Convention in Bangkok (May 6-9, 2012).

A computer project is also launching at this time through an anonymous $5,000 donation to the Club. Set in Calauag, Queens Province, Phillipines, a skills and vocational training center is under development including 16 computers (that's where the $5,000 bucks comes in) emblazoned with the Rotary emblem as the permanent screen saver, on the CPU and the monitor. The "I's" and "T's" are being dotted and crossed on the MOU with the Calauag Rotary Club and with sustainability mechanisms being put in place through the Mayor's office and municipal government. Training personnel are also identified for all classes. Thanks to John Phair and Clayton Lee for their tenacious work on making this project an evolving reality.

The numbers are in for this past October's polio week, raising just over $2.5 million dollars in 8,077 transactions in just 5 days, 105 countries participating on line (a first) in 12 different currencies bringing Rotary to within $4.8 million dollars of the $200 million dollar Bill and Melinda Gates matching grant challenge.

Many thanks to Diana Borroel and guest Marco Rodriguez for sponsoring the meeting, to Dick Noonan becoming a hiker (find that badge Dick) for clearing the air on his mortality and the Bee's obit.

Thanks to your Foundation Trustee's and The Savant Investment Group for a professional, informative and comprehensive recap of your RCS Foundation.

Enjoy a terrific week, remember to bring cash (1 toy for $5 or 2 for $20) or unwrapped toys to the meeting on the 12th and the 19th, sign up for Daughters Day (Dec 19th) as seating is limited and strive for those summits !

Ken Noack, Jr.