Agent Service Expectations and Requirements
Services of Agents and Investment Managers
In engaging various categories of agents (“Agent”), including managers, advisors and/or other types of service providing experts, the Jackson County Community Foundation (JCCF) and the Greater Manhattan Community Foundation (GMCF) expect compliance with the following requirements:
- Those so entrusted will be expected to hold, protect, preserve and safeguard in an agency account and in a professional manner, the securities, property or other assets so deposited with each Agent by said Foundations.
- When and as required, each Agent is expected to make recommendations to the GMCF and JCCF Investment Committees from time to time regarding investment and reinvestment of the assets accounted for and held in JCCF funds and accounts. Based on and taking into account the recommendations of the Agent, the GMCF and JCCF Investment Committees shall have sole discretion to make such purchases and sales of assets, securities and other property or interests therein as they shall deem appropriate and in the best interests of GMCF, JCCF and the donors who have established funds with JCCF and the GMCF.
- When and as granted, directed and confirmed by GMCF and JCCF , each Agent shall have such powers, rights, and privileges as shall be deemed to be required and necessary for or incident to the performance of the Agent’s duties including, but not limited, to the following powers:
- To retain property contributed to a fund or account in the same form in which it was originally contributed until expressly directed otherwise;
- To collect and retain the income due and payable on the securities and property then held in each fund and account to which the Agent is entrusted, as well as all proceeds and amounts payable at the maturities of, or upon the redemptions or sales of, such securities and property, with all distributions of such income and amounts payable to be made in the manner and as directed by the GMCF and JCCF;
- To deposit all securities, or to arrange for the deposit of all securities, in a "clearing corporation", as such term is defined in K.S.A. §84-8-102(3,), and as so directed to be deposited in accordance with and as required by the provisions of K.S.A. §84-8-108;
Selection of Brokers
Brokers selected by GMCF and JCCF shall be reputable, and shall be known for acting at all times in the best interests of their clients in making purchases and sales of securities, which shall be the expectation of both GMCF and JCCF. Unless directed otherwise by GMCF and JCCF, such Brokers shall have the power and discretion to initiate and execute such transactions through their own broker-dealer or through any broker-dealer firm with which it may be affiliated, provided that such executions are all performed in a competent, professional manner.
Use of Nominee
An Agent may hold any securities or other property in the name of its nominee or in such other form as it deems legal and advisable. The Agent shall at all times be responsible for all actions taken by its nominee whether or not such actions are expressly directed by the Agent.
Employment of Advisors
ach Agent shall be authorized, with and by the prior written consent of each of GMCF Investment Committee and JCCF Investment Committee, to employ and charge to a fund or account any expenses incurred for the services of attorneys, accountants, or other advisors who may be necessary and required to assist the Agent in the proper administration of the fund. If contrary to an Agent's organizational policy to employ and charge the fund for any of the foregoing services, the Agent may recommend to GMCF and JCCF that a services provider be hired to provide such services if deemed necessary to assist Agent in the proper administration of such fund or account.
Records and Reports
Each Agent shall be required to furnish GMCF and JCCF with periodic statements for the funds and accounts entrusted to be held and managed by such Agent, not less frequently than once each calendar quarter, and showing all receipts and disbursements for that quarter, all assets held in the funds and accounts, all changes in assets since the last accounting, all fees assessed for its services, the total percentage investment return for each fund and account, and whether the methodology for the calculation of such return complies with standards established by the Association of Investment Management and Research.
GMCF and JCCF each acknowledge the right to receive written confirmation of each security transaction executed by Agent for each fund and account held by that Agent and shall so direct that such written confirmations shall be provided by Agent. As requested in writing by GMCF, these confirmations will be mailed to GMCF within three (3) business days after the trade date of each security transaction performed by Agent and shall in like manner be mailed to JCCF if so directed by GMCF.
Sub-Accounting
GMCF and JCCF have the right to require the designation and segregation of certain assets in and as a part of separately identifiable funds and accounts, and Agent agrees to hold, invest, account for, and otherwise manage such funds and accounts so segregated in appropriately designated sub-accounts.
Additions and Withdrawal
GMCF and JCCF have the further privilege and right to add monies, securities or other property or assets to any fund or account held by an Agent, from time to time, provided such additions are in a form and are made in a manner acceptable to the Agent. Upon written notice to the Agent, a Foundation may from time to time withdraw any part or all of the monies, securities or property or assets deposited and held in any fund or account.
Fees
Each Agent appointed by GMCF and JCCF shall be entitled to receive reasonable fees, compensation and/or commissions for the services performed by Agent in accordance with a written schedule of compensation in effect at the date such services are rendered, and Agent shall be authorized to charge the appropriate account for the amount of such fees.
