Opportunities to Develop and Secure Capital and Financial Resources.

The American Red Cross is part of the worlds’ largest humanitarian network. The

organization has more than 13.5 million volunteers around the world. The organization works

together with individual volunteers or even the state to respond to emergencies, disasters, and the

building of better communities. The organization reaches an average of more than 100 million

people globally each year. Given its importance and outreach, the American Red Cross has

notable opportunities to develop and secure revenue through donations, contributions, and

government grants and support.

Investment Philosophies and Policies Adopted in conjunction with Investors.

An investment philosophy is a set of beliefs and procedures that an investor uses as a guiding

tool for investment in an organization. An investment philosophy is not a narrow set of rules but

guidelines that a person’s guidelines take into account their goals, risk tolerance, and

expectations. For-profit organizations have the following investment strategies;

 Momentum Investment

 Growth investing

 Value Investing

 Dividend growth investing

For a not-for-profit organization like the American Red Cross, the organizational stakeholders

have their predetermined investment philosophies and policies. The stakeholders in the American

Red Cross expect the organization to use the revenue attained exclusively for the purpose meant.

American Red Cross uses about 91 percent of the revenue attained for its main purpose and only
about 3 percent for administration expenses. The American red cross has put it clear that its main

intention is to make the world a better place by coming through during crises and emergencies.

Investors (revenue providers) in the organization use such data to provide funds to help the

organization attain its goals.