Planned Gifts: Pooled Income Funds
A pooled income fund is a special trust fund that accepts irrevocable gifts from separate donors and commingles the funds for investment purposes. Sharp HealthCare’s pooled income fund is professionally managed by a third-party financial custodian on behalf of the Foundations.
In return for the investment, each beneficiary of the fund receives a proportionate share of the net income it earns, usually paid quarterly.
Contributors also receive a charitable income tax deduction in the year the gift is made, and pay no capital gains tax when transferring appreciated securities into the fund.
Charitable pooled income funds have conservative investment strategies emphasizing income rather than capital appreciation. Investment goals are explicitly stated in disclosure statements made available by the fund's custodians.
Pooled income funds are especially appropriate for individuals who have need for a sizable income but do not have substantial capital; and also for those with substantial assets who could not afford a reduction of income if the assets were depleted.
To learn more about pooled income fund and other planned giving opportunities, please contact Norm Timmins at 619-740-4315.