Uniform Prudent Management Act proposes major changes in investment standards for nonprofits

Nonprofit investors are familiar with the Uniform Management of Institutional Funds Act (UMIFA), the landmark statute that, on its passage in 1972, established standards for the management, investment and expenditure of the endowment funds of nonprofit institutions. Now, the National Conference of Commissioners on Uniform State Laws (NCCUSL) has approved a comprehensively revised version of UMIFA, called the Uniform Prudent Management of Institutional Funds Act, or UPMIFA.

Click on the following links for an Overview of UPMIFA (pdf) and Commonfund's commentary regarding proposed changes to the law.

* For the most recent information about UPMIFA, click on the following link http://www.upmifa.org.  The site contains information about the statute and also has a click-through to a page showing the progress of the proposed law in the various states where it has been introduced.