The headlines are loud. The markets are unpredictable. And if you're a nonprofit leader trying to make sound financial decisions right now, you're probably asking the same question everyone else is asking: is this financial market volatility different, or does it just feel different because we're living through it?

Infinite Giving's Investment Committee met for a live Q&A on exactly that. Collectively, our committee brings more than 90 years of investment experience and has managed more than $2 billion in nonprofit funds. The conversation was practical, honest, and frankly, overdue.

Replay the conversation with our investment committee to hear their thoughts firsthand on how nonprofit leaders should navigate the tumultuous markets in 2026.
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Here's what we want you to take away: market volatility is not the signal. It's the noise.

Every year brings its own version of uncertainty: interest rates, inflation, global conflicts, election cycles. The mistake isn't feeling unsettled by it. The mistake is making permanent decisions based on temporary conditions. As our Investment Committee member, Buster Wright, said in this webinar:

“Market volatility is the perception of what’s going on… it’s all driven on human emotions, and greed and fear play a part.”

Buster also call out: “the variables are more than I’ve ever seen in my entire career.”

For nonprofits, where we see leaders struggle the most during volatile periods are the ones that react instead of respond. They move reserves to cash at exactly the wrong moment. They freeze. And then they miss the recovery.

The organizations that come out stronger are the ones that had a plan before the uncertainty arrived. A clear investment policy. A tiered reserve strategy. A board that understood why the plan existed in the first place.

Reserves aren't a safety blanket. They're a strategy.
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We hear a lot about the importance of reserves, but not enough about what a healthy reserve strategy actually looks like in practice. Here's how we think about it: not every dollar should do the same job.

Your operating cash covers day-to-day expenses. Your reserve fund, ideally six to 12months of operating expenses, protects you when revenue dips. Beyond that, dollars that aren't needed in the near term should be working harder than a savings account allows.

If you're a nonprofit CEO with six months of reserves sitting in a bank account right now, the question to ask isn't "is this safe?" The question is: "Am I leaving impact on the table?"

The board conversation no one is having

One of the biggest challenges during market volatility isn't the market. It's the board.

When reserves are invested and markets dip, board members get nervous. That's human. But nervousness that drives impulsive decisions can cause more harm than the volatility itself.

The most effective leaders I know don't wait for the dip to have the conversation. They educate their boards during the calm. They build shared language around risk tolerance, time horizons, and what the investment policy is designed to do. So when the noise gets loud, the plan doesn't waver.

What will separate nonprofit leaders financially a year from now?

Here's what I believe: when we look back at 2026, the nonprofit leaders who navigated this moment well won't be the ones who predicted what the market would do. They'll be the ones who stayed grounded in their strategy, communicated clearly with their boards, and refused to let fear make their financial decisions for them.

Uncertainty is not a reason to stall. It's an invitation to lead.

If you want to talk through what this means for your organization, we're here. Get started here to connect with our team.
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DISCLOSURE

Infinite Giving Advisory Services Inc. is a registered investment adviser. Registration does not imply a certain level of skill or training. Advisory services are only offered to clients or prospective clients where Infinite Giving and its representatives are properly licensed or exempt from licensure. Past performance is no guarantee of future returns. Investing involves risk and possible loss of principal capital. No advice may be rendered by Infinite Giving unless a client service agreement is in place. This content is provided solely for informational purposes. Investors’ experiences may vary from the content. Nothing in this presentation constitutes investment advice, performance data or any recommendation that any particular security, portfolio of securities, transaction or investment strategy is suitable for any specific person. Any mention of a particular security and related performance data is not a recommendation to buy or sell that security. Infinite Giving manages its clients’ accounts using a variety of investment techniques and strategies, which are not necessarily discussed in the commentary.