MBC reserve fund shielded from Wall St.
By Staff
JEFFERSON CITY—The reserve fund of the Missouri Baptist Convention (MBC) has been built up to $2.1 million and is “stable as stable can be” in the midst of the current national financial uncertainty, according to a report given by the MBC controller Oct. 2 at the Baptist Building.
Jay Hughes told the members of the MBC Administrative Committee that the reserves are in Federal Deposit Insurance Corporation (FDIC)-insured savings and money market accounts, as opposed to being in risky stock or bond market funds or in banks that take greater risks in the credit markets.
“Our reserves are safe,” Hughes said.
Specifically, the money is in savings accounts, money market funds, and Working Capital Management Accounts (WCMA), he said. He also noted that in terms of the daily operation of the MBC in these financially turbulent times, “our cash flow is stable.”
The $2.1 million in reserves represents about 3½ months of operational expenses, Hughes said.
Meanwhile, Cooperative Program giving through the MBC continues to be flat, coming in around $16 million per year. The recommended budget for 2009 is $16.3 million.