Investment Of Charity Funds

This work sets out all the statutory obligations and common law responsibilities of charity managers who invest charity funds, and explains how these rules are put into practice. It also explains the recent changes to the Trustee Investment Act; contains precedent fund management agreements and sample powers of investment; and sets out practical advice on applying to the Charity Commissioner for a change in investment powers.

Social Investment By Charities considers charity trustees' powers to make social investments and their duties when doing so, and examines whether anything can be done by way of law reform to make those powers and duties clearer. Charities have traditionally both spent their funds in support of their charitable objectives, and invested so as to generate further funds for future initiatives. A charity making a social investment combines these objectives in one transaction, seeking to achieve both its charitable purposes and a financial benefit. Social investments include: individual investments, such as simple loans and share purchases; collective social investment where multiple investors pool their funds to achieve certain social outcomes; and social impact bonds.

With the resources of both governments and traditional philanthropy barely growing or in decline, yet the problems of poverty, ill-health, and environmental degradation ballooning daily, new models for financing social and environmental objectives are urgently needed. Fortunately, a revolution is underway in the instruments and institutions available to meet this need. Loans, loan guarantees, private equity, barter arrangements, social stock exchanges, bonds, social secondary markets, and investment funds are just some of the actors and tools occupying the new frontiers of philanthropy and social investment. Together they hold the promise of leveraging for social and environmental purposes not just the billions of dollars of charitable grants but the hundreds of billions, indeed trillions, of dollars of private investment capital. While the changes under way are inspiring, they remain largely uncharted. This concise introduction to the topic, and its companion volume, provide the first comprehensive and accessible roadmap to these important advances. In the process, these works will better equip investors, philanthropists, social entrepreneurs, nonprofit leaders, business executives, government officials, and students the world over to capture the opportunities that these developments hold out to them and to our world.

The insider's guide to charitable organizations for donors and their advisors Do you know when to use a private foundation, a donor-advised fund, or a charitable remainder trust or other charitable vehicle? Do you know the different tax benefits, limitations, and control rules for each alternative? Do you have an appropriate investment policy for your endowed charities? Do you have a rubric for avoiding fraud? Do you know what to look for to make sure that your charitable donations don't do the opposite of what you intend? In Managing Foundations and Charitable Trusts, Roger D. Silk and James W. Lintott provide a comprehensive guide for charitable donors and their advisers. Additional topics include: Foundation Governance When to seek additional professional help When and how to turn a CRT interest into cash Key tax issues Creating a legacy Why tax planning is so difficult, and how to approach it Straightforward and authoritative, Managing Foundations and Charitable Trusts is a handy, easy-to-read guide that all donors and their advisors will want to keep on hand.

Social finance and social investment are not challenging concepts to grasp. They use commercial-style investment tools to create a social as well as a financial return. The application, however, is not always as straightforward. This book begins in the wider field of social finance but focuses primarily on social investment as a tool. The reader is helped to understand this from different angles: introducing social investment, discussing social investment and taking a "deep-dive" into it to bring it to life. This unique book takes the reader on a journey from first principles to detailed practical application. This book examines the policy context and asks why social investment has only recently become so popular, when in reality this is a very old concept. This is linked to the agenda of making charities more "business-like", set against the changing face of investment, as charities can no longer rely on donations and grants as guaranteed income. The work they do is more important than ever and social investment, used with care, offers a new opportunity that is further explored in this text. Mark Salway, Paul Palmer, Peter Grant and Jim Clifford will help readers understand how a small amount of borrowing, or a different business model focused away from grants and donations, could be transformational for the non-profit sector.

Discussing the development of investment policies specifically for nonprofit organizations, this book helps directors, trustees, and development officers at nonprofits create sound, comprehensive policies for their financial advisors.

With the resources of both governments and traditional philanthropy barely growing or in decline, yet the problems of poverty, ill-health and environmental degradation ballooning daily, it is increasingly clear that new models for financing and promoting social and environmental objectives have become urgently needed. Fortunately, however, a significant revolution appears to be underway in the way in which social and environmental purposes are being financed. The heart of this revolution is a massive explosion in the instruments and institutions being deployed to mobilize private resources in support of social and environmental objectives. Where earlier such support was limited to charitable gifts, now a bewildering array of new instruments and institutions has surfaced-loans, loan guarantees, private equity, barter arrangements, social stock exchanges, bonds, secondary markets, investment funds, and many more-all of them designed to leverage not just the tens of billions of dollars of philanthropic grants but the hundreds of billions, indeed trillions, of dollars of private investment capital. While the changes under way are inspiring and by no means trivial, however, they remain largely uncharted in any systematic fashion. This monograph, and of the companion volume for which it also serves as the introductory chapter, is designed to overcome this problem, to provide the first comprehensible and accessible roadmap to the full range of important new developments taking place on the frontiers of philanthropy and social investment. In the process, it seeks to broaden awareness of these developments, increase their credence and traction, and make it possible to maximize the benefits they can generate while acknowledging the limitations and challenges they also face.