Toigo Foundation 2014 Annual Report

TOIGO FOUNDATION | 2014 ANNUAL REPORT

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“Diversity and inclusion matters very much.

Without it, we are not infusing our wealth

into the communities that need it most.

Without action, we will continue to fuel a

two-tiered system that compromises—and

erodes—the strength of our country.” —Sue Toigo, Founder | Robert Toigo Foundation

AND COUNTING25 YEARS STRONG1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

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The right to learn and lead, mentor and

invest, to launch and grow business

belongs to every individual, equally and

unequivocally. Toigo is resolute in its

mission to make these rights a reality

for the next generation of talent.

25 STRONG—25 MORE

AND COUNTING1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25

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2014 marked a memorable and meaningful milestone for the Toigo Foundation: 25 years strong delivering on our mission to support the academic and leadership aspirations of promising minority talent pursuing careers within all areas of finance.

For decades, we’ve prepared and connected outstanding talent to forward-thinking

organizations that believe in the power diverse teams deliver to their companies,

communities and our country. We know there is immense talent which can and should

be tapped as leaders—a generation of highly capable individuals each armed with new

ideas and new possibilities that will drive our global economy, the next generation that

represents our country’s changing demographics.

The strength of the Toigo brand is evident in our deep, longstanding commitment to

identifying rising leaders focused on careers in finance. Excellence, ethics and integrity

have been the cornerstone of our interactions with Fellows and the finance industry, alike.

To date, more than 1,000 minority men and women—selected from more than 10,000+

applicants—represent Toigo. Working in boutique and bulge bracket investment firms, on

finance teams at top technology companies, as CIOs and investors with public pension

plans and more, Toigo talent delivers.

Over the past 25 years, we’ve encountered—and countered—resistance to change and

the assumption that diverse talent simply does not exist and if it does, it comes with an

inherent risk or quality tradeoff. By showcasing talent, by proving that diverse men and

TOIGO: 25 STRONG

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women have the leadership drive backed by proven quantitative and analytical skills to

succeed, we have helped finance teams and firms open their doors and benefit from

believing and acting. Would we hope that at this important milestone we’ve accomplished

our goal and our work is no longer needed? In a perfect world, yes. But we know the

efforts and dialogue and systematic change which results with greater diversity at the

table in the classroom, in the C-Suite and in the boardroom remains essential—and far

from done.

We look forward to the next 25 years with pride, humility and determination. Pride, most

of all, in all that our Fellows have accomplished—and will accomplish in the years ahead.

Humility for the fact that our agenda is not complete and there is always opportunity for

ongoing evaluation and innovation. Determination in knowing that our strength is fueled

by the collective efforts a broad range of stakeholders who, like Toigo, are absolute in

their belief in diversity and in the value diverse thinking and experiences bring to the

business of finance.

Nancy Sims

President & CEO

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1989 Robert and Sue Toigo see the need and have the vision—the Financial Services

Fellowship Program (FSF) is launched. First class of Toigo Fellows—seven in all—start at

Columbia Business School.

1993 Organization renamed in honor of the late Robert Toigo.

1995 Angel Stewart named second Executive Director for the fellowship program.

1998 Toigo’s board creates new strategic leadership role—Nancy Sims joins as

President & CEO.

2001 Toigo hosts its first annual Gala in New York.

2006 Toigo Alumni launch an endowment fund with initial $500,000 in pledges.

2007 Toigo’s Retention Returns thought leadership report on diversity practices draws

national attention. The Honorable William Jefferson Clinton serves as Gala keynote to a

rapt audience of 1,100+.

2008 By 2008, Toigo has self-funded nearly $11 million to support fellowships

and academic stipends to Toigo MBAs attending the nation’s top business school

programs.

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TOIGO Milestones

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2009 Celebrating the Foundation’s 20th anniversary, Toigo Alumnus grants

$1 million to support entrepreneurial ventures launched by fellow Alumni. Toigo

launches new post-grad Fellowship in private equity with first placement with

The Carlyle Group.

2010 500th mentor is matched with a Toigo Fellow underscoring a critical area

of support Toigo delivers to aspiring finance leaders.

2011 Toigo Groundbreakers Summit brings together top female leaders and

inspirational speakers like Abigail Disney, Anita Hill, Gwen Ifill and Michelle

Bachelet. Toigo launches All A Board, a pipeline initiative focused on presenting

women and minority board candidates to organizations seeking Board members.

General Colin L. Powell wows annual Gala audience with tales of leadership,

courage—and more.

2013 Senior Advisor to President Barack Obama, Valerie Jarrett shares candid

insights to annual Gala audience. Toigo 40 Under 40 introduced—bright, driven

Toigo Alumni making a difference in the industry and their communities. Sue

Toigo launches a $25 million endowment initiative through a new Legacy Giving

Campaign aimed at fueling 25 more years of finance industry leadership.

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THE TOTAL OF MERIT AWARDS THAT TOIGO HAS SELF-FUNDED FOR THE PAST 25 YEARS IS $11 MILLION.

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Toigo is proof of the merits of sound governance and sound financial management. We skillfully managed through one of the most profound economic downturns in the finance industry’s history. We have demonstrated strategies to protect our core mission and delivery of programming, as promised, coupled with a continued focus on delivering high impact, sustainable programs that reach diverse leaders and industry.

In the past few years, Toigo has driven thoughtful, meaningful change via both industry

partnerships and sustaining financial support. The Foundation’s reach extends beyond the

finance sector to finance functions where Alumni are working in senior roles in industries

ranging from technology to entertainment, consumer goods to non-profits.

2014 marked an aggressive effort to expand our financial foothold through the creation of

a Legacy campaign. This campaign fueled contributions and participation of organizations

and individuals who view Toigo as a vital partner to industry in years to come. Buoyed by

the importance of our work and capacity of the non-profit, new financial support emerged

to fuel and forward our strategic direction. Our 2014 fundraising strategies and Legacy

Campaign garnered more than $2M in total revenue over the previous year and net asset

change of 12% increase in revenue at year-end.

Financial Strength

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Our 25th anniversary celebrations included outreach in communities and with stakeholders

that were a key part of the non-profit’s founding and early growth. These high touch events

were the Foundation’s demonstration of appreciation for the long-standing partnerships

that have fueled our growth to date and the value we place in donor engagement.

Innovative, creative programs delivered in a focused way—always with an eye toward

excellence—has long been a Toigo hallmark. The team’s commitment to ensuring that

the greatest investment of dollars are aligned with the mission and directly benefit the

participants in the program is absolute. Our work meets all compliance requirements

with the necessary accountability, transparency and governance practices in place. With

unquestionable fiduciary care and program impact, The Toigo model is sought after by

many non-profits and leaders alike.

Management and x

Administration 15%

Fundraising 12%

73% Direct Programming

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The United States is in the midst of a demographic shift that will see ethnic minorities soon become the majority of the nation’s population. Within this changing dynamic, where does this top talent exist—and are they prepared to lead?

For 25 years, Toigo has provided a proven solution. The Toigo Foundation has supported

thousands of minority men and women as they’ve grown from high potential business

professionals into successful investors and business leaders. With seven students in our

first class of Fellows, we are proud of the increasing number year over year of applicants

to the program and our focus on providing industry education, career management and

trusted counsel on matters of importance to today’s minority professionals.

We have connected diverse talent with institutions that value difference and have elevated

the agenda on diversity and inclusion in our work with individuals and organizations to

promote leadership. As a result, we’ve helped shape and keep the diversity dialogue

vibrant and purposeful. From the classroom to the boardroom, we have introduced

innovative programs and initiatives that align with the professional ascent of our talent

and in anticipation of changing market shifts and needs, including entrepreneurship and

board service.

Despite its quantitative underpinnings, success is ultimately about people. Throughout our

growth, Toigo has excelled at preserving close, one to one touch and service investment.

This deliberate balance has resulted in a tremendous passion and respect among our

participants (current and past)—for each other and for the organization. Together, we’ve

transformed dreams into drive and realized returns too far-reaching to measure.

25 STRONG: Toigo Talent

“Toigo helped me believe I can.”—Toigo Alum

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Twenty-five years provides a cherished perspective of the ever-changing dynamics surrounding diversity and inclusion—from keen focus and embrace to reluctance and avoidance. Despite disparate viewpoints and actions, Toigo has thoughtfully engaged with industry in a variety of ways to inform, educate and challengethe spirit of diversity within the context of a solutions-based partnership.

Thought leadership issued via industry publications and published directly by the

Foundation promotes Toigo’s mission and perspective for realizing tangible success

around inclusion.

Thought Leadership Links:

PREA Mentorship, Whiteout, GlassHammer, The New IRR, All A Board

DEEP ROOTS Reach Further

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Toigo’s work is anchored by the fact that great talent abounds—but opportunities are often not equal and readily accessible for all. With the increased enrollment of women in MBA programs and rising next gen leaders, our focus on women in leadership is a natural next step.

We launched Groundbreakers: A Women in Leadership Summit five years ago as a forum

where female leaders and those aspiring to be could meet, share experiences, learn and

grow. The focus is on the individual, on leadership at work, home and in the community. Our

“Women In the Lead” segment (reminiscent of TEDTalks) have proven to be enlightening

and educational. With leaders including Abigail Disney, Professor Anita Hill, Dean Erika

James, Jacqueline Novogratz, Professor Anne-Marie Slaughter, U.S. Treasurer Rosie Rios

and others, the conversations provide a rare, personal window into what shapes our

leadership style, behavior—and dreams.

The Foundation looks forward to building on the market momentum of Groundbreakers

to reach more women leaders as they launch their careers, stretch and realize their full

potential.

Women in the Lead

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Without question, Toigo’s continued growth and relevance over the past 25th years is directly attributed to the partnerships we’ve established and maintained over this time. Long-time friends, ambassadors for change, contributors, mentors and more: institutional engagement is a cornerstone to our success. We know our strength and continued growth is derived from empowering others to share in our work and carry the merits of our mission forward well beyond our direct reach. We are forever indebted to the hundreds of organization and individuals that support Toigo, challenge our goals and leverage our talent.

The challenges ahead can be disheartening?. As our nation becomes increasingly diverse,

a spirit of inclusion may become increasingly illusive. Supporting individuals—helping

ensure each of us has both the freedom and the support needed—to exercise our right

to lead and contribute has long been heart of our mission. It was a needed force 25 years

ago, remains important today, and will be critical in the decades ahead.

Priorities for the coming five will leverage Toigo anchor programs outlined in the non-

profit’s 10-year strategic plan with a focus on scalability and expanded impact. Toigo’s

first 25 years have positioned the organization for growth fueled by new relationships

and new avenues for demonstrating the relevance of the Toigo model and its work across

a broader participant and industry base. Join us as a catalyst for positive, productive

change.

25 STRONG: Institutional Engagement

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The Toigo Foundation is proud to introduce our newest leadership council - a prestigious group of industry leaders who demonstrate through their organizational leadership, advocacy or philanthropy, how to influence change without compromise and promote by their work the unquestionable values of inclusivity.

Their participation is also an expression of their belief in the work of the Toigo Foundation—

underscoring the imperative for continuous innovation and promotion of mechanisms

which open doors for opportunity, access, and advancement.

Ronald Burkle Co-Founder and Managing Partner – The Yucaipa Companies

Russell L. Carson

Co-Founder and General Partner – Welsh, Carson, Anderson & Stowe

Ted Eliopoulos Chief Investment Officer – California Public Employees’ Retirement System

Thomas Britton “Britt” Harris IV Chief Investment Officer – Teacher Retirement System of Texas

Mellody Hobson

President – Ariel Investments, LLC

Victor MacFarlane Chairman and Chief Executive Officer – MacFarlane Partner

John W. Rogers, Jr. Chairman, CEO & Chief Investment Officer – Ariel Investments, LLC.

David M. RubensteinCo-Founder & Co-CEO – The Carlyle Group

Scott M. Stringer Comptroller – City of New York

TOIGO Executive Council

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FOUNDERSue Toigo Fitzgibbon Toigo Associates

EXECUTIVE OFFICERSChairman David Marchick The Carlyle Group

Vice Chair Denise Nappier Treasurer, State of Connecticut

Treasurer Win Neuger

Secretary Andrea Beldecos JPMorgan Asset Management

GOVERNING BOARDDan Allen State Universities Retirement System of Illinois

Stuart Bernstein Capridge Partners

Sheri Bronstein Bank of America

Mary Cahill Emory University

Ellen Blair Chube Ariel Capital

David Fann TorreyCove Capital Partners

Jose E. Feliciano Clearlake Capital Group, L.P. (and Toigo Alumnus)

Jay Ferguson Vicente Capital Partners (and Toigo Alumnus)

Jose Fernandez StepStone Group

Susan Graham Ernst & Young LLP

Leslie Hale RLJ Lodging Trust (and Toigo Alumna)

Carla Harris Morgan Stanley

Eric Holoman Magic Johnson Enterprises

David A. Hunt Prudential Investment Management

Troy Jenkins Profit Investment

Kate Jonas BlackRock

Henry Jones California Public Employees’ Retirement System

Katherine A. Lehman Lincolnshire Management, Inc.

Melvin Lindsey Nile Capital Group

Carmen Heredia-Lopez The Kellogg Foundation

Victor MacFarlane MacFarlane Partners

Janice Cook Roberts Kohlberg Kravis Roberts & Co.

Marcos A. Rodriguez Palladium Equity Partners, LLC

Dhvani Shah Illinois Municipal Employees Retirement Fund

Jim Williams J. Paul Getty Trust

Kelly Williams GCM Customized Fund Investment Group, L.P.

Paul R. Yett Hamilton Lane Advisors

ADVISORY BOARDChristopher J. Ailman California State Teachers’ Retirement System

Joe Alejandro Patrolmen’s Benevolent Association

Solange F. Brooks California State Teachers’ Retirement System

Janet Cowell Treasurer, State of North Carolina

Moctesuma Esparza Maya Entertainment

Lisa Mazzocco University of Southern California

Carol Moody CalPERS

Shelley Ilene Smith GrayShell Consulting

Leslie Spencer City of Dallas Employee Retirement System

Scott Stedman Yucaipa Companies

Scott Stringer New York City Employees Retirement

Ash Williams Florida State Board Administration

PRESIDENT & CEONancy Sims Robert Toigo Foundation

TOIGO Board of Directors 2014

180 Grand Avenue, Suite 450 | Oakland, CA 94612

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