T H E

FALL 2008

B APTIST

FOUNDA TI ON

OF

OKLA H O M A

VOLUME TWO, ISSUE TWO

GENEROSITY Your Foundation

Fall 2008 | Volume 2, Issue 2

T

he Foundation’s first full-time Executive Secretary-Treasurer, Dr. Auguie Henry, served with a strong conviction that Oklahoma Baptists could take care of their agencies, institutions, and ministries. He never lost sight of that belief in his almost 20 years of service. Dr. Henry saw Oklahoma Baptists repeatedly respond from their hearts to meet needs in our state, across the nation, and around the world. Dr. Henry believed in Oklahoma Baptists, which are the Foundation, said Mrs. Bette Graham, Dr. Henry’s oldest daughter (see related story on Page 4). Once he began his term, he served with fervor, spending most Sundays in the pulpit, encouraging and educating the state’s congregations about the Foundation’s purposes and services to Southern Baptist ministries. His leadership left an indelible mark on the Foundation; his footsteps still serve as a guide for those of us who have followed him. In honor of the late Dr. Auguie Henry and his commitment to furthering gifts for Southern Baptist ministries from 1949-1967, the Foundation has created the Auguie Henry Society. This society comprises those very people Dr. Henry believed in: Oklahoma Baptists who support in their estate plans the agencies, institutions, and ministries that further the message of Christ.

Auguie Henry Society Dr. Henry’s legacy is interwoven in the stories in this issue of Generosity: the story of a military family who created an estate plan and kept in mind the needs of children at the Boys Ranch Town; a widow who honored her late husband’s wish to begin a scholarship fund for students who want to go into the ministry; and a church that chose to build its new facility with funds it borrowed from the Foundation in order that the interest would go back to Baptist causes. In addition, read more about Dr. Auguie Henry on Page 4 and celebrate with us the list of causes the 170 members of the Auguie Henry Society have designated in their estate plans. Dr. Henry’s conviction was on target and The Foundation continues to hold his belief that Oklahoma Baptists have a generous heart for causes that improve and influence the lives of people they will perhaps never meet.

Robert Kellogg Foundation President & CEO

A magazine for clients and stakeholders who support The Baptist Foundation of Oklahoma’s mission to promote Christian stewardship and provide financial management for the gifts that strengthen Southern Baptist ministries.

Production

Barros Design Group| Design Layout Bill Pope| Photographer Taprina Milburn| Editor

Send questions/comments to: Editor, Generosity 3800 N. May Avenue Oklahoma City, OK 73112 [email protected]

Administration

Robert Kellogg| President & CEO Jim Wilsie| Executive Vice President & CFO Janna Charles| Executive Assistant to the President Dan Allen| Senior Vice President Donor Services & Tulsa Regional Office Shryln Treadwell| Senior Vice President Beneficiary Services Jerry Vaughan| Senior Vice President Foundation Loan Services & Real Estate David Depuy| Vice President, Controller Michael Romero| Vice President, and Trust Counsel John Schantz| Vice President, Operations

Area Managers

Curt Gathright| Northwest Area Manager Kathy Lee Hatchett| Estate Stewardship Counselor, Central OKC Area Paul Kersh| Southwest Area Manager David Polk| Southeast Area Manager Jerry Zumwalt| Northeast Area Manager Generosity is published in the fall and spring by The Baptist Foundation of Oklahoma, Oklahoma City, Oklahoma. Recipients include approximately 10,000 clients, stakeholders, and churches in Oklahoma. To request a copy or to update mailing information, please call 405.949.9500. “…through us your generosity will result in thanksgiving to God.” II Corinthians 9:11

CONTENTS COVER STORY

2

Protecting Family and Country

Deployment Spurs Couple to Take Care of Business

FEATURES

4 6 2 8

6

Anguie Henry

A President’s Legacy Rooted in Desire to Give Back

A Wish Becomes Reality

Wife Creates Scholarship Fund in Husband’s Name

Estate Planning for Every Season of Life More than Wills

THE

FALL 2008

BA P TIST

FOUNDATION

OF

OKLAHOMA

VOLUME TWO, ISSUE TWO

ON THE COVER

Joy, Jackson and Will Doggett. Will is serving in Iraq.

DEPARTMENTS

10

www.bfok.org

Donor Services

Revocable Living Trusts How Endowments Minister to Future Generations by Dan Allen, Senior Vice President, Donor Services

Investments

Market Commentary Tale of Two Sectors by Robert Kellogg, Foundation President & CEO

10 The Baptist Foundation of Oklahoma

12

More than Brick and Mortar

Generosity

11

Church Building Loans & Investment Funds

1

Protecting Country and Family

re of Business

Deployment Spurs Couple to Take Ca “My faith makes this situation easier,” said Joy Doggett

This is his second tour of duty with the Army National

about her husband Will’s deployment to Iraq in October

Guard. The first was in Afghanistan in 2003-2004. He also

2007. He is currently serving as a platoon sergeant for the

served for six weeks in New Orleans after Hurricane Ka-

Intelligence, Surveillance, and Reconnaissance Platoon for

trina.

the 1-179 Infantry Battalion at Camp Bucca, Iraq. The Baptist Foundation of Oklahoma

said.

Generosity

“I don’t understand how people without faith cope,” Joy

would be nearly impossible.”

2

“Serving my country means…protecting the people of the United States, whether overseas or at home,” he writes.

Responding in an e-mail from Iraq, Will Doggett told

Joy and Will live in Vinita and are active members of

Generosity, “My family is supportive of what I do. My

First Baptist Vinita. They met at Bluejacket High School in

church, I am sure, has kept me and the other deployed

Bluejacket, Oklahoma.

soldiers at the top of the prayer list. My faith has kept me focused on the job at hand and the job of getting home. Without the Lord I think keeping my sanity in this place

“We’ve pretty much known each other forever,” she said. After the couple married in 1995, Will was out of the Army for a few years and then reentered military life when Strength for today and tomorrow

he signed up for the Army National Guard, in which he has served for nine years. The first deployment certainly was not easy as a spouse, Joy said. The second deployment is different and has its own set of challenges because she and Will are now parents of threeyear-old Jackson. Joy spends her days keeping up with her energetic blond, curly-haired

January is Make a Will Month

“We chose to support our church and the Boys Ranch

Do you have a will?

Town,” Will writes in his email. “The Boys Ranch Town

The Foundation reimburses a portion of your legal fees if you choose to leave at least a 10 percent charitable gift to Baptist ministries, including the Southern Baptist church where you and your family worship each Sunday. If you would like to make an appointment to talk with a Foundation representative about your estate plan, please call 800.949.9988 for more information.

was a favorite of our late pastor, Larry Wallace, and we did it in honor of him.” It was a painless process, Joy said. “We had everything in line so that Jackson would be provided for spiritually and physi-

son. When Jackson sees or

cally, and the financial part

hears a fire truck, he points and

would not be an issue for his

says, “That’s like Daddy.” Will’s “real-life”

guardian. It was a weight off our shoulders.”

job is as a firefighter for the Broken Arrow

Will added in his e-mail, “The will and estate

Fire Department. In the evenings Jackson

plan have given me a peace of mind while I have

listens to books read by Will that the couple

been here; one less thing to worry about. If some-

video recorded before he left. They are mak-

thing happens to me, my family is taken care of. I

ing the best out of the situation and anticipate

would tell people not to put off taking care of their

Will’s return in October 2008.

estate plan a moment longer. We aren’t guaranteed

“Last time I was only responsible for

tomorrow.”

myself,” Joy said. “The biggest pressure now is that I’m the sole parent.” This made contacting the Foundation to set up an estate plan important before Will left for Iraq. Jackson was our motivation, but the deployment was the thing that really forced us to take care of the will and

Joy and Jackson anticipate a reunion with Will

The will and estate plan have given me a peace of mind while I have been here; one less thing to worry about. Sgt. Will Doggett

this fall. They plan to take walks on the family farm, have dinner together, and read stories to Jackson at night. “I’m just looking forward to sitting together in church,” she said. “It’s the everyday things that I really miss.”

not put it off any longer, Joy said. A Foundation representative sat down with the Doggetts and walked them they had a firm plan in place. firm plan in place, they signed their documents and paid their attorney. The Foundation reimbursed a portion of the couple’s legal fees. This is the arrangement made available by the Foundation if clients leave at least a 10 percent charitable gift to Baptist ministries in their estate plan. www.bfok.org

The Baptist Foundation of Oklahoma

Once the Doggetts met with the Foundation and had a

Generosity

through the process step-by-step. When the couple left,

oung my c ron i v r e S p ans… try me the peog tectin e United th f o r ple hethe w , s e at Stat as or e s r e v o . home gett ill Dog W . t g S

3

“My father’s beginnings with the Foundation came about through a lot of prayer,” said Bette Graham, Bar-

“I had a hard time planning a wedding because be-

tlesville, daughter of the late Dr. Auguie Henry, the Foun-

tween May and September that year there were only two

dation’s first full-time Executive Secretary-Treasurer. “He

weekends he would be available,” she said with a laugh.

prayed about it a lot and we as a family joined him in

“I think because of his dedication to the Foundation and

those prayers.”

its purposes we learned in our family the needs of Bap-

Dr. Henry accepted the position and served the Foun-

Generosity

The Baptist Foundation of Oklahoma

dation from 1949-1967. He came to the organization

4

pew the Foundation’s purpose, Graham said.

tists and the necessity of the Foundation’s support of those causes.”

with strong convictions that fueled his dedication to the

Jeanne Palmer, Owasso, Dr. Henry’s youngest daughter,

Foundation long after his retirement. One conviction was

agreed, “He taught us the importance of leaving a legacy

that Oklahoma Baptists were able to provide the neces-

through the Foundation. He was a wonderful Christian

sary endowment and funds to help Baptist agencies, in-

father dedicated to his family and home. The work of the

stitutions, and ministries. And, that the Foundation could

Foundation meant a great deal to him too and he was

provide responsible administration and distribution of

dedicated to helping people.”

these funds.

In his autobiography “My Life and Labors Among Okla-

During his tenure, Dr. Henry helped to increase the

homa Baptists,” Dr. Henry writes of his years with the

Foundation’s assets from $xxx to $xx million. He ap-

Foundation: “One is never satisfied with accomplishments,

proached the churches throughout the state, preaching

but we are grateful for the privilege of pioneering in a new

almost every Sunday and explaining to the people in the

work, involving an important part of biblical stewardship, Strength for today and tomorrow

and for the opportunity of helping to grow an organization

plans.

that has the respect of Oklahoma and Southern Baptists.”

Currently, the Auguie Henry Society has 170 mem-

In honor of Dr. Auguie Henry and his dedication to

bers who as a group have named more than 80 charitable

furthering gifts for Southern Baptist ministries, the Foundation’s Auguie Henry Society was formed in 2006. The

causes in their estate plans.

“I really believe my father felt the Foundation

Auguie Henry Society recognizes those families who have

could enrich the lives of our Oklahoma Baptist institu-

taken an additional step of stewardship by including a

tions through Oklahoma Baptist people. They are the

gift to their favorite Baptist ministry as part of their estate

Baptist Foundation,” Mrs. Graham said.

Auguie Henry Society The following are organizations supported by the Foundation’s Auguie Henry Society. The conviction Dr. Auguie Henry brought with him to the Foundation continues today: Oklahoma Baptists can and will provide for their agencies, institutions and ministries.: Baptist General Convention of Oklahoma

Associations

Baptist Village Retirement Communities

International Commission Foundation

•Chaplaincy Ministry •Edna McMillan State Missions Fund •Falls Creek •Baptist Collegiate Ministries •Cooperative Program

•Needy Widows of Ordained Ministers

Oklahoma Baptist Homes for Children •Guidestone, Retired Minister’s Support Fund

Churches

First Marietta First Muskogee First Shattuck First Wetumka First Mooreland First Missionary Baptist Church, Ardmore First Southern Baptist, Del City First Southern Baptist, Eudora, KS First Stillwater Grace Place Baptist, OKC Goldsby Baptist Immanuel Baptist Church, Ardmore Madisonville Baptist, Madisonville, LA Meadowood Baptist, Midwest City Mentor Baptist, Rogersville, MO Norwood Baptist, Norwood, LA Northeast Baptist, Norman Northeast Baptist, Ponca City Olivet Baptist, OKC Quail Springs Baptist, OKC Rancho Village Baptist, OKC Second Baptist, Okmulgee Southern Hills Baptist Victory Baptist, OKC Verdigris Baptist, Claremore

•Southern Baptist Convention •Women’s Missionary Union •North American Mission Board •Annie Armstrong Offering

Village Baptist, OKC Woodland Acres Baptist

Colleges, Universities & Seminaries Baylor University Moody Bible Institute, Chicago, IL Oklahoma Baptist University Ouachita Baptist University, AR Southwestern Baptist Theological Seminary Southwest Baptist University, Bolivar, MO University of Central Oklahoma William Jewel College, Liberty, MO

Ministries

Billy Graham Evangelistic Association Baptist Medical Center, Kansas City, MO Dennis Swanberg Events Fellowship of Christian Athletes Gideons International Katie Cemetery, Katie, OK Salvation Army, OKC Salvation Army, Tulsa

The Baptist Foundation of Oklahoma

www.bfok.org

•International Mission Board •Lottie Moon •World Hunger •North American Mission Board

Generosity

Baptist Temple, OKC Capitol Hill Baptist Council Road Baptist East 7th Street Baptist Church, NYC Emmanuel Baptist Church, Enid Enon Baptist Church, Pittsville, MO First Baptist Rolling Hills, Catoosa First Cleveland First Commerce First Crescent First Durant First Elmore City First El Reno First Inola First Grove First Midwest City First Oklahoma City First Ponca City First Tulsa First Wanette First Enid First Kingfisher First Owasso First Port Aransas Texas

•Capital Baptist Association •Cimarron Baptist Association, Camp Lela •Tulsa Metro Association

5

Generosity

The Baptist Foundation of Oklahoma

He asked me to marry him before he left for the war. We were married almost 63 years and that wasn’t nearly enough time. Mary Jo Russell

6

Strength for today and tomorrow

Wife Honors Husband’s Wishes with Scholarship

M

ary Jo Russell’s home is filled with

boys would have problems in their lives they’d come

handcrafted items her late husband

and talk to him about it.”

L.A. Russell made for her through-

L.A. developed Alzheimer’s in the latter years of

out the years—a wooden train set, toy

his life, was bedfast, and at times did not recognize

cars, and a miniature church. “These are little things, but they make me think of him every time I look at them,” Mrs. Russell said. Mary Jo and L.A. met when L.A.’s dad was the pas-

“That’s awful when it gets to that place. And sometimes Alzheimer’s patients have a look about them that is just blank,” Mrs. Russell said.

tor of First Baptist Purcell. L.A. lived in Oklahoma

That’s why a particular day still stands out in her

City and visited his parents in Purcell on the week-

memory. One day L.A. called to her and when she

ends. Mary Jo had become close friends with L.A.’s

entered the bedroom he was sitting on the edge of

mother and was at the house often when he visited.

the bed.

Eventually she and L.A. became friends, started dating, and fell in love.

“This day his eyes were bright and sparkly. He said ‘You know what I want to do? I want us to establish

“He asked me to marry him before he left for the

a scholarship fund for boys who want to be preach-

war,” she said. “We were married more than 60 years

ers,’” she recalled. “I didn’t think we had that kind of

and that wasn’t nearly enough time.”

money because I thought to start a scholarship and

The couple married on January 17, 1944. They had

to have enough in there to go on for years would

two daughters, Pat and Gwen. After the war, L.A.

take lots and lots of money. So I really didn’t think

started an insurance agency in Purcell, which he ran

about it much any more.”

until his retirement. Mary Jo assisted her husband for years in the family business.

After L.A. died in the summer of 2006, Mrs. Russell went over her finances with her daughter and

As they raised their children, the Russell home

decided to make a gift to First Purcell, the church

was the setting for many church youth activities. In

in which she and her husband had met, raised their

fact, their den was equipped with a ping pong table

family, and attended all their married life. The Foun-

and L.A. was often a champion, Mrs. Russell said.

dation invests and manages the L.A. Russell Scholarship Fund for Mrs. Russell. “I just pray that through the scholarship some boy

posite of what it was for a right-handed person. He

or girl who wants to go into the ministry will bring

loved that,” Mrs. Russell said with a smile. “L.A. felt

glory to God. That’s my prayer,” she said. “I know

a friendship with those kids. Many of them would

L.A. would be so happy about this because this is

come back to town and visit. Sometimes when the

what he wanted.” she said.

The Baptist Foundation of Oklahoma

get used to his serve because the cut on it was just op-

Generosity

“He was left handed and it was hard for people to

www.bfok.org

his wife.

7

Estate Planning for Every Season of Life: More than Wills

Bob and Nancy Lee knew in the early 1970s the impor-

the idea of staying active. Bob works in his yard and helps

tance of making a will. They were raising two children and

a few widowers, and Nancy is confident that she will find

had the same concerns most parents have, “What would

“meaningful work” to do as a new retiree.

happen to our children if something happened to us?” the

Generosity

The Baptist Foundation of Oklahoma

Lees said.

8

Both acknowledge that in this stage of their lives, the basic will they created decades ago is not enough. They

Therefore, they met with The Baptist Foundation of

expanded their estate plan by creating a Revocable Living

Oklahoma and secured their plans for the children, Kathy

Trust. They are surprised that, “… people don’t realize that

and Kevin.

not only does the Foundation help families create wills

“We have tried to spread the word that families need

but also helps Oklahoma Baptists create trusts,” Bob said.

to take care of these things—wills and trusts,” Nancy

In both wills and trusts, the Foundation reimburses

said, “because it has helped us so much to have a peace

a portion of a client’s legal fees. This is an arrangement

of mind.”

made available by the Foundation if clients leave at least

Today Bob and Nancy are in a different season of their lives. Their children grew up, went to college, moved out,

a 10 percent charitable gift to Baptist ministries or to the Southern Baptist church where they attend each week.

and started families of their own. Bob retired in 2004 after

What are the advantages of a Revocable Living Trust?

33 years as the Baptist General Convention of Oklahoma’s

“While the terms of a trust read very similarly to a will,

Baptist Collegiate Ministry specialist, and Nancy recently

in that it distributes assets at your death, the legal distinc-

retired after 35 years as a professor at Rose State College.

tion of the two documents is significant,” said Dan Allen,

They have grandchildren and enjoy travel. The Lees like

Foundation Donor Services senior vice president. “When

Strength for today and tomorrow

a person dies the assets owned in their individual name

about that.”

must be probated before they can be distributed. Since the

The Lees also know that the Baptist ministries and oth-

trust entity does not die, the assets it owns are rarely sub-

er causes important to them are supported by their Revo-

jected to the probate process.”

cable Living Trust. Baptist collegiate ministries are dear to

In addition, a Revocable Living Trust:

Bob, and Nancy established a scholarship provision in the

• Permits a prompt distribution of trust assets. The plan

trust for the non-traditional female student who returns

of distribution you designed in your trust is set in motion

to college at Rose State College.

immediately upon your death. • Allows flexible planning and control. The trust may be

Nancy explained that the steps taken to create a trust opened their eyes.

amended or revoked. The owner can name beneficiaries and successor trustees.

“Ordinary people would not know the ins-and-outs. However, the people at the Foundation take the time to

• Allows investment management input.

explain everything to you and walk you through the pro-

“This has provided a peace of mind. We don’t have to

cess. And they continue to help you even after the trust

worry about all the probate issues,” Bob said. “I’ve known

is set up,” she said. “We talk up the Foundation to every-

a number of people who did not have a trust in place and

body. People need to know how much service they get

when a death occurred, I saw all the wrangling they had

back from the Foundation and that establishing a trust, if

to go through as far as the courts are concerned. It was a

done properly, can be an easy process. There’s a peace of

mess. I feel comfortable that if anything happened to me,

mind that comes with that kind of help.”

Nancy would not have to worry about that. If anything happens to us, Kathy and Kevin wouldn’t have to worry

It cements your future and that of your children and grandchildren, she said.

Your Charitable Gift Has A Foundation Charitable Gift Annuity Secure fixed payments for life Charitable income tax deduction Worry-free investment management A meaningful gift to Southern Baptist ministries

800.949.9988 w 405.949.9500

www.bfok.org

Your Baptist Foundation

CHURCH BUILDING LOANS & INVESTMENT FUNDS More than Brick and Mortar

Last spring, Immanuel Baptist Church opened the doors

to its new facility, a place that is more than brick and mortar, said Pastor Todd Fisher. Greeters welcomed old-timers as well as many new fac-

million as we built. Then we planned to borrow $2 mil-

a culmination of years

is to pay off the loan

of discussions, plan-

within five years and

ning, and hard work.

then turn our focus to

Choir members, with

Phase II.”

a clear view of people

As Immanuel raised

filing into an already

money, it opened a

full sanctuary, wiped

Church Building Loan

tears from their eyes

Investment Fund with

as they sang before the

The Foundation, where

congregation.

the money grew un-

Some members will

til the church needed

say that talk about a

it. “We had incredible

new church building has been going on for more than 20

returns on our account. With the Foundation, you know

years, said Pastor Fisher.

that your money is going to be invested professionally, you will have a nice return, and it will be invested with standards,” Pastor Fisher said.

space. And as our church continued to grow, space be-

When it was time to borrow the remainder of the mon-

came even more of an issue. Our vision is to reach people

ey to complete Phase I, Immanuel chose the Foundation

and you can’t do that with physical limitations.”

for its loan. All interest paid on a church building loan is

In 1999 the church purchased 32 acres on 45th Street in

returned to Southern Baptist causes.

north Shawnee at a “God-thing price,” Pastor Fisher said.

“I think the hardest thing for a church in borrowing

But the church stayed in a “fund-raising holding pat-

money is the thought of paying interest,” Pastor Fisher

tern” because it was without a pastor for more than a

said. “If you have to borrow money, it takes a little bit of

year.

the sting away when you know that the interest you pay is

“Being without a pastor is tough on a building program. Momentum is lost,” Pastor Fisher explained. The Baptist Foundation of Oklahoma

raised,” Pastor Fisher said. “We knew we could raise $1 lion to finish. Our goal

“because we knew for a long time that we were out of

Generosity

“When we broke ground we had about half the money

es into the new church,

“The decision does have a long history to it,” he said,

10

worship center and a gym.

going back to ministry.” Although the past years have been filled with a con-

Fisher was called as Immanuel’s pastor in July 2003

centrated effort on raising money for the building and

and helped revive the lost momentum, which included

completing Phase I, Pastor Fisher is quick to remind his

revamping the original plans. Instead of building the

congregation, “This church is not a monument to us and

church in its entirety, an expensive endeavor, the building

is more than brick and mortar. It’s about people and we

committee agreed on phasing the construction. The com-

are here to welcome people and see people’s lives trans-

pleted Phase I allowed the church to make the move from

formed.”

its Main Street location to 1451 45th Street. It is a 60,000-

For more information of the Foundation’s Church Build-

square-foot facility that includes education space and a

ing Loan Investment Fund or Church Building Loan pro-

temporary worship center. Phase II will be the permanent

gram, please call 800.949.9988 or visit www.bfok.org. Strength for today and tomorrow

DONOR SERVICES

Making a Lasting Impact How Endowments Minister to Future Generations By Dan Allen Senior Vice President, Donor Services If we took the time to think of all the people in our lives

established in 1988 from an estate, that fund would have

that have made a positive impact on our Christian walk

distributed over one and a half times the original gift by

we would no doubt remember believers familiar and long

the end of 2007. More specifically, the ministry benefiting

forgotten. Either way, these people made an intentional

from these distributions would have received $178,656

investment of time and wisdom to help grow in our faith.

and the fund would have been valued at $263,584 at the

This type of investment is one that is truly selfless in that

end of 2007.

it is made with no expectation of return in the form of

I encourage you to consider what lasting impact you

profit or gratitude. Thankfully there are Christians sur-

want to have on God’s kingdom. In addition to the per-

rounding us who are willing to invest themselves in our

sonal investment you make in other believers, you can also

future. Paul assisted Titus, a Gentile, in this way by in-

make a lasting financial impact on ministries you love.

troducing him to a relationship with Christ and helping

An endowment gift, as part of your estate plan, is a simple

him prepare to minister in Crete. Paul wrote in Titus 1:4

way to provide a future gift of a percentage of your estate.

“To Titus, my true son in

Your gift does not have to

our common faith: Grace

be $100,000 as the example

and peace from God the Father and Christ Jesus our Savior. The reason I left you in Crete was that you might straighten out what was left unfinished and ap-

“The initial value of the gift is not as important as the knowledge that your gift has a lasting impact on every generation touched by the ministries you love.”

point elders in every town, as I directed you.

above. The initial value of the gift is not as important as the knowledge that your gift has a lasting impact on every generation touched by the ministries you love. My wife and I have made

Paul

similar arrangements in

must have known that he would not return to Crete to see

our estate plan for our church and several Baptist min-

Titus’ progress as he wrote but yet he was still willing to

istries that are special to us. We have even talked to our

mentor him.

13 year old son about these future gifts and why we value these ministries. For us, our estate plan served as a teach-

helped me as I work with endowment donors at the Foun-

ing opportunity with our son. After we are gone, we trust

dation. These committed believers have made arrange-

that our gifts will minister to others and serve as a testi-

ments for gifts that will minister beyond their own lives.

mony of our life of service in Christ. If you already have a will or revocable trust you can add

The principal gifts are invested for long term growth while

this type of gift through a codicil or an amendment. If

also providing income now for the ministries that benefit

you have not planned your estate, then the desire to leave

from them. As the value of the fund grows, the income

an endowment gift is one of several reasons you should

available to these ministries also increases. Over time, it

take care of this important step of stewardship. For more

is not unusual for these funds to distribute more than the

information on how you can make a lasting impact please

original gift. For example, if a $100,000 endowment was

contact us.

www.bfok.org

The Baptist Foundation of Oklahoma

An endowment gift is unique in that it is a perpetual fund.

Generosity

I am often reminded of those Christians who have

11

INVESTMENTS

Market Commentary With Robert Kellogg Foundation President & CEO

Tale of Two Sectors

Following a dismal first quarter in which the U.S. eq-

uity markets lost -9.94 percent as measured by the S&P

The current market downturn, which began in October

500 Index, the second quarter appeared to be poised for a

of 2007, officially became a bear market in early July. The

rebound with the index posting positive returns in April

economic outlook for the remainder of 2008 is tenuous

and May. However, the S&P 500 Index lost -8.34 percent

amid concerns about a recession and stagflation.

in the month of June alone resulting in a second quarter

The economic recovery will likely be gradual as the Fed-

loss of -2.73 percent, and a cumulative loss of -11.91per-

eral Reserve struggles to stimulate economic growth and

cent for the first half 8.00%

tion of the second

6.00%

quarter reveals a tale of

4.00%

two sectors. The ener-

2.00%

gy sector was the best

0.00%

20.16 percent for the quarter bolstered by $140 a barrel oil prices and record corporate

4.21%

flation appear to be sta-

3.89%

bilizing. The downside is that the extent of the

-1.11%

-0.61%

-1.21%

sub-prime

-1.07%

-1.81%

and consumer confi-

6.00%

-6.20%

dence remains shaken

-6.32%

8.00% 10.00%

-10.21%

12.00%

sector continued its

mortgage

crisis may not be over,

-3.13%

4.00%

the financial services

2Q

YTD Spending Policy Pool

2Q

YTD

General Investment Pool

Foundation Portfolio

downward spiral in the wake of the sub-prime mortgage crisis posting a loss of -16.78 percent for the quarter.

The Baptist Foundation of Oklahoma

dollar, oil prices and in-

6.38%

2.00%

earnings. Conversely,

Generosity

good news is that the

As of June 30, 2008

A closer examina-

performing sector up

control inflation. The

Key Portfolio Performance

of 2008.

12

of 1.13 percent for the first half of 2008.

2Q Total Equity Pool Composite Index

YTD

as investors have seen the value of their retirement portfolios and home values decline as the cost of food and fuel has increased.

There is a silver lining among these storm clouds for our clients. The performance of the Foundation’s spend-

The negative market performance experienced during

ing policy pool, general investment pool and total eq-

the first half of 2008 was not limited to the S&P 500 Index

uity pool significantly outpaced their industry accepted

but encompassed large and small company stocks, growth

benchmarks for the first half of the year. Most notably the

and value stocks, as well as domestic and international

Foundation’s investment performance ranks in the first

stocks. The fixed income markets failed to provide a safe

percentile among its peer group of other foundation and

haven for investors. As the yield curve steepened during

endowments with $100 to $500 million of assets.

the second quarter, bond returns went negative eroding most of the first quarter gains. The Lehmann Brothers Aggregate Bond Index, which posted a -1.02 percent for the second quarter, managed to eke out a positive return

In the midst of this market volatility, the Foundation continues to practice what we preach: Diversification of assets, a disciplined investment process, and a long-term investment horizon.

Strength for today and tomorrow

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3800 North May. Ave. Oklahoma City, OK 73112

No. 1489 Okla. City, Ok