BBT Board Meeting

At the April board meeting of the Church of the Brethren Benefit Trust, directors acted on three items to be presented for approval at the 1998 Annual Conference.

• Revisions to the Articles of Organization
• The Nomination of a New Board Member
• The Proposal to Establish the Church Workers' Assistance Plan

Articles of Organization

The new purpose statement for the Articles of Organization reflects an expanded vision. "Brethren Benefit Trust is to support the financial well being of the Church of the Brethren and other persons and groups that share the values of the Church of the Brethren". President Wil Nolen, said, "While the revisions will allow the BBT to provide services to outside groups, our primary function is to serve the Church of the Brethren."

New wording lists possible financial programs and services and specifies that fees for services will be the principal source of funding. The range of possibilities includes:

• pension benefit plans
• welfare benefit plans
• financial assistance programs
• legal and tax information
• financial management consulting and training
• financial operations administration and support
• information systems development and management
• investment management
• mutual insurance products
• financial and estate planning
• deferred gifts development and management

Board Nomination

The board nominated Richard Pogue, retired executive of the Investment Company Institute, Washington, D.C., to a four-year term on the board (subject to Annual Conference approval). Pogue, recognized for his distinguished career in the field of public mutual funds, is currently serving 1 1/2 years of the unexpired term of Jim Replogle, who resigned in December 1996. Gail Habecker, investment committee chair, said "Dick's investment expertise has been appreciated by the Investment Committee and will prove invaluable in the implementation of any expanded services."

Expanding the Ministry of the Retired Church Workers' Fund

When reporting on the Retired Church Workers' Fund, Wil Nolen, BBT President, said "The return on our investment has been so exceptional that we have earned more than we can give away." Forty three recipients are currently receiving grants from the fund.

The board reviewed the proposal to be submitted to Annual Conference recommending that the RCWF be expanded and renamed. The expanded purpose states that the new plan will provide:

• financial assistance to active pastors and other church workers with extraordinary financial needs,
• assistance with legal and tax issues, and
• personal financial and retirement planning.

It will be renamed the Church Workers' Assistance Plan. Since the current method of funding the RCWF plus the reserves on hand are adequate to address the additional needs, no additional source of funding is being recommended.

International Investment Manager -- The board retained the services of the international investment management firm of Walden Capital Management, located in Boston, Massachusetts. Walden's president, Geeta Bhide Aiyer, is noted for her leadership in the field of socially responsible international investing (SRI). The firm will use the Walden social screens in the management of Foundation and pension investments. While the domestic common stock managers continue to use their complementary styles of value, growth, and core investing, Walden's international expertise will benefit Foundation clients and Pension Plan participants by providing for even greater diversification of their assets.

By July -- The Pension Plan will add Walden as the fourth manager on its team of common stock managers. It will allocate approximately 15 percent of the common stock fund, which is presently in domestic investments, to Walden's international SRI common stock index fund.

Brethren Foundation will offer clients who use the Asset Management Service a fifth fund choice, Walden's international SRI common stock index fund. Currently Foundation clients have four fund selections for their asset allocations: a (domestic) common stock fund, a balanced fund, a bond fund, and a short term fund. By July, they will have the opportunity to reallocate a portion of their portfolios to a second common stock fund dedicated solely to international investments.

The Walden international SRI index fund approximately parallels the international EAFE index, which is the standard index for Europe, Asia, and Far East markets. It is similar to the S&P 500 index in the U.S.

In other business, the board heard reports on:

• the repayment of the Bethany Seminary Loan (See Today's News at brethren.org/BBT,
• the work of the General Board Site committee,
• the launching of the BBT Web site at brethren.org,
• staff priorities for 1998 through 2001.

For more mnformation contact Marilyn Nelson, Director of Interpretation, at 1-800-746-1505.