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The answer is that once you make an exception to the standard policy then you best be prepared to live in a world of exceptions. Gifts of property of any sort (which includes publicly and privately traded securities) should, IMHO, *always* be valued for internal purposes as of the date of acquisition. Your auditors will almost always insist on that as well. Any gains or losses are just that - gains or losses. I could not agree more with Josh - unless the valuation was screwed up to begin with there's no valid reason to change the value after-the-fact. John John H. Taylor Principal, John H. Taylor Consulting 2604 Sevier St. Durham, NC 27705 johntaylorconsulting@gmail.com 919.816.5903 (cell/text) Serving the Advancement Community Since 1987 On Mon, Jan 7, 2019 at 10:58 AM Halverson, Michael <mhalverson@luc.edu> wrote: > Hello, all – > > > > If a donor gives a gift of stock that is not publicly traded, and the > value of the stock at liquidation (which is months down the road) is > significantly lower than when it was given to the institution, is there > EVER a case in which the Advancement office would revalue it to accommodate > for the decrease in value between when it was received and when it was > liquidated? > > > > I don’t believe this would ever be the preferred course of action for > Advancement (even if Finance DOES need to make adjustments on their side), > but I wanted to make sure there’s nothing I’m missing. > > > > Thanks, > > > > *Michael Halverson, **Ed.D.* > Senior Director of Advancement Services > Loyola University Chicago > T. *312-915-7283 *| C. 320-363-4987 > mhalverson@luc.edu | www.luc.edu/advancement > > >

Hello, all - If a donor gives a gift of stock that is not publicly traded, and the value of the stock at liquidation (which is months down the road) is significantly lower than when it was given to the institution, is there EVER a case in which the Advancement office would revalue it to accommodate for the decrease in value between when it was received and when it was liquidated? I don't believe this would ever be the preferred course of action for Advancement (even if Finance DOES need to make adjustments on their side), but I wanted to make sure there's nothing I'm missing. Thanks, Michael Halverson, Ed.D. Senior Director of Advancement Services Loyola University Chicago T. 312-915-7283 | C. 320-363-4987<tel:320-363-4987> mhalverson@luc.edu<mailto:mhalverson@luc.edu> | www.luc.edu/advancement<http://www.luc.edu/advancement>

Unless there was something fundamentally wrong with the initial valuation (i.e. fraud, misrepresentation of company finances, etc.), then I'd leave it be for fundraising purposes. -Josh _____________________ Joshua S. Greenbaum 09B, Executive Director Advancement Information Services Emory University, Advancement & Alumni Engagement 1762 Clifton Road, Office 1456, Atlanta, GA 30322 Office: (404) 712-2020, Fax: (404) 727-4876 josh.greenbaum@emory.edu<mailto:josh.greenbaum@emory.edu> From: Advancement Services Discussion List <FUNDSVCS@LISTSERV.FUNDSVCS.ORG> On Behalf Of Halverson, Michael Sent: Monday, January 7, 2019 10:58 AM To: FUNDSVCS@LISTSERV.FUNDSVCS.ORG Subject: [FUNDSVCS] Question about valuing non-publicly traded stock Hello, all - If a donor gives a gift of stock that is not publicly traded, and the value of the stock at liquidation (which is months down the road) is significantly lower than when it was given to the institution, is there EVER a case in which the Advancement office would revalue it to accommodate for the decrease in value between when it was received and when it was liquidated? I don't believe this would ever be the preferred course of action for Advancement (even if Finance DOES need to make adjustments on their side), but I wanted to make sure there's nothing I'm missing. Thanks, Michael Halverson, Ed.D. Senior Director of Advancement Services Loyola University Chicago T. 312-915-7283 | C. 320-363-4987<tel:320-363-4987> mhalverson@luc.edu<mailto:mhalverson@luc.edu> | www.luc.edu/advancement<http://www.luc.edu/advancement> ________________________________ This e-mail message (including any attachments) is for the sole use of the intended recipient(s) and may contain confidential and privileged information. If the reader of this message is not the intended recipient, you are hereby notified that any dissemination, distribution or copying of this message (including any attachments) is strictly prohibited. If you have received this message in error, please contact the sender by reply e-mail message and destroy all copies of the original message (including attachments).

Thank you, all. Michael Halverson, Ed.D. Senior Director of Advancement Services Loyola University Chicago T. 312-915-7283 | C. 320-363-4987<tel:320-363-4987> mhalverson@luc.edu<mailto:mhalverson@luc.edu> | www.luc.edu/advancement<http://www.luc.edu/advancement> From: Advancement Services Discussion List [mailto:FUNDSVCS@LISTSERV.FUNDSVCS.ORG] On Behalf Of John Taylor Sent: Monday, January 07, 2019 10:16 AM To: FUNDSVCS@LISTSERV.FUNDSVCS.ORG Subject: Re: [FUNDSVCS] Question about valuing non-publicly traded stock The answer is that once you make an exception to the standard policy then you best be prepared to live in a world of exceptions. Gifts of property of any sort (which includes publicly and privately traded securities) should, IMHO, always be valued for internal purposes as of the date of acquisition. Your auditors will almost always insist on that as well. Any gains or losses are just that - gains or losses. I could not agree more with Josh - unless the valuation was screwed up to begin with there's no valid reason to change the value after-the-fact. John John H. Taylor Principal, John H. Taylor Consulting 2604 Sevier St. Durham, NC 27705 johntaylorconsulting@gmail.com<mailto:johntaylorconsulting@gmail.com> 919.816.5903 (cell/text) Serving the Advancement Community Since 1987 On Mon, Jan 7, 2019 at 10:58 AM Halverson, Michael <mhalverson@luc.edu<mailto:mhalverson@luc.edu>> wrote: Hello, all – If a donor gives a gift of stock that is not publicly traded, and the value of the stock at liquidation (which is months down the road) is significantly lower than when it was given to the institution, is there EVER a case in which the Advancement office would revalue it to accommodate for the decrease in value between when it was received and when it was liquidated? I don’t believe this would ever be the preferred course of action for Advancement (even if Finance DOES need to make adjustments on their side), but I wanted to make sure there’s nothing I’m missing. Thanks, Michael Halverson, Ed.D. Senior Director of Advancement Services Loyola University Chicago T. 312-915-7283 | C. 320-363-4987<tel:320-363-4987> mhalverson@luc.edu<mailto:mhalverson@luc.edu> | www.luc.edu/advancement<http://www.luc.edu/advancement>