Endowment Fund Distribution Policy

WHEREAS in June 2013 the Board of Governors resolved that an annual distribution of 4.5% would be made from the Endowment Fund to the operating income of the Jewish Agency; and

WHEREAS It was then resolved that the 4.5% distribution would be calculated on the basis of 2.25% of the closing balance of the Endowment Fund as of March 31, and 2.25% of the closing balance of the Endowment Fund as of September 30 each year; and

WHEREAS The inherent uncertainty in this method, due to the fact that the exact amount of the future distribution is not known when the budget of the Jewish Agency is produced, creates differences each year between the budgeted and actual distributions.

Therefore, following the approval of the Budget and Finance Committee, the Board of Governors resolves as follows:

As from 2020, the annual 4.5% distribution rate will be implemented by making each of the semi-annual distributions of 2.25% to be calculated as being 2.25% of the closing balance of the Endowment Fund as of June 30 of the previous year; and

The said distribution rate and method of implementation apply for subsequent years as of 2020, unless revised by resolutions of the Budget and Finance Committee and Board of Governors.