Through the Delaware Community Foundation’s Charitable Partners Program, an investment advisor can continue to manage assets after they are transferred to a DCF charitable fund.
How does it work?
When a client donates assets to establish a charitable fund (minimum $500,000), the DCF becomes the new owner of those assets, and the client may take advantage of any tax benefits immediately.
Through the Charitable Partners Program, the DCF also becomes a new client of the investment advisor. The advisor invests the DCF fund in a manner consistent with the DCF’s investment policy. The DCF’s Investment Committee periodically reviews the fund’s performance. The DCF may remove the manager if the performance is inconsistent with that of the DCF’s other invested funds. Standard investment management fees and the DCF’s standard administrative fee apply.
It’s easy. DCF staff work with the client and advisor to develop a customized fund agreement. Next, the assets are transferred to an account at the DCF. The advisor provides the DCF with regular performance reports and applies investment management fees. The DCF handles all administrative details related to the fund. Each quarter the DCF charges the Fund an administrative fee. The donor enjoys efficient and effective charitable giving, supported by the expertise and oversight of the DCF.
For more information or to get started, contact Joan Hoge-North, 302.504.5224.