An endowment fund is a perpetual fund.
It is created by charitable donations in the form of cash, stocks, mutual funds, real property, or other personal property given to a foundation, such as the Catholic Development Foundation (CDF), to support a specific goal or program. The CDF is a securely structured publicly supported 501(c)3 organization.  It ensures that all donated funds will be used for their intended purposes. Common CDF endowment recipients are parishes, parish programs, cemeteries, Cardinal Muench Seminary or other Diocese of Fargo programs.

How does an endowment work?
The practice of investing the principal, rather than spending it, creates a perpetual fund. Most of an endowment’s annual earnings are distributed to the designated benefactors or programs. Endowments provide a “forever giving” funding source to Catholic programs and activities.

Why support an endowment?
There are many advantages. Endowments offer a solid base of funds that will be available now and in the future. They continue forever since only the interest earned is spent, allowing the fund to continue in perpetuity. Donors receive tax benefits in the form of charitable deductions. An endowment can allow the donor to honor or memorialize a loved one, parish or diocesan cause as a permanent philanthropic legacy.