The Bank of America Charitable Gift Fund offers the grantmaking benefits of a private foundation, without the higher costs and increased administrative and fiduciary burdens.
|Grant recommendation options|
|Online account access||✓|
|Simplicity and flexibility|
When you give to charity, you want to ensure that your gifts do the most they can. With the Bank of America Charitable Gift Fund (Gift Fund), you'll receive strategic advice from a team of philanthropic specialists who can help you fulfill your charitable objectives—from creating a personal giving strategy to advising you about types of assets you can contribute to further the causes that matter most to you.
When you use the Gift Fund, you can:
- Make the most of your tax advantageadatext: Receive an immediate tax deduction for your contributions to your account and take advantage of tax-free compounding investment returns.
- Benefit from our expertise to expand your giving: From our team of philanthropic specialists, to our seasoned investment professionals and specialty asset management team, we will work with you to maximize your giving and help ensure that it fits within your broader wealth management plan.
- Simplify your giving and lessen your administrative burden: Enjoy convenient online tools to manage your account, and we'll handle all the administrative details and regulatory reporting, freeing you to devote more time and energy to your causes.
Annual administrative fees
Charitable Gift Fund accounts have separate administrative and investment fees.
|Account balance||$0 - $100,000||$100,001 - $500,000||$500,001 - $1,000,000||$1,000,001 - $2,500,000||$2,500,001 - $5,000,000||$5,000,001 - $10,000,000||$10,000,001 - $20,000,000||$20,000,001 - $50,000,000||$50,000,001 +|
A link to the full fee schedule, including information on investment fees, can be found within the Charitable Gift Fund Fee SchedulePGF Document.
Investments are charged an annual investment management fee by Bank of America Private Bank of 0.12%; one twelfth of this fee is charged monthly based upon the market value of investments in the Donor's Bank of America Charitable Gift Fund account. The cash positions within each investment objective are held in the BlackRock Liquidity FedFund (BUPXX). The total investment management fee charged to an investment objective may vary due to construction of the portfolio. In addition to the investment management fee, Donor accounts are assessed fund fees by the mutual funds, Exchange Traded Funds (ETFs), and separately managed accounts comprising the account's investment portfolio. Examples of this fee structure and estimates of the breakdown of the investment management fee and the fund level fee that may be charged to a Donor's account are provided in the Charitable Gift Fund Fee Schedule. Estimates of the fees are calculated using a weighted, blended average of the funds and investment management fees for the funds in each investment objective. The fee rates reflected on that chart are for illustration purposes only, and are estimates based on investment objectives and on fund fees as of July 19, 2023.
The Gift Fund offers 8 Investment Objectives, a money market fund and 7 strategic asset allocation models ranging from All fixed income through Appreciation.
I. Portfolio options
Under each asset allocation model, you may recommend one of the following:
- Sustainable, separately managed account (SMA) portfolio
- All-ETF portfolio (passive)
II. Investment objectives
An objective should be recommended to the Bank of America Charitable Gift Fund based on your expectation of the fund account's timeline and purpose. You may recommend a new objective for your account 4 times each calendar year but only once within a 1-month period. You can choose one of the following investment objectives for your account:
|Principal preservation||Emphasis: Short-term cash investments. Income is moderate to low and varies as short-term interest rates change. Although there is no capital appreciation, account growth can be achieved through income accumulation and reinvestment. Protection against inflation is of little or no concern.|
|All fixed income||Emphasis: Current income generation. Due to its focus on fixed-income securities and other appropriate asset classes, the general stability of principal value should be maintained, but is not guaranteed.|
|Current income||Emphasis: Current income generation with a modest potential for capital appreciation. Investments are primarily in fixed-income securities with a modest allocation to equities and, where appropriate, other asset classes.|
|Balanced income||Emphasis: Current income generation with a secondary focus on capital appreciation through a higher allocation to fixed income than equities and, where appropriate, other asset classes.|
|Balanced||Emphasis: Potential for both current income and capital appreciation with corresponding allocations to fixed income and equities and, where appropriate, other asset classes.|
|Balanced return||Emphasis: Capital appreciation with a secondary focus on current income through a higher allocation than fixed income and, where appropriate, other asset classes.|
|Balanced appreciation||Emphasis: Capital appreciation with a potential for current income through a higher allocation to equities than fixed income and, where appropriate, other asset classes.|
|Appreciation||Emphasis: Capital appreciation with a modest potential for current income generation. Investments are primarily in equities with a modest allocation to fixed-income securities and, where appropriate, other asset classes.|
Investment Benchmarks and Underlying Funds
The returns of our investment strategies are measured against composite benchmarks, which are constructed using the strategic (long-term) asset allocation targets of the asset classes included in each strategy. Appropriate benchmarks are selected for each asset class to provide a fair measure of the strategies' returns by reflecting the diversification among multiple asset classes. The returns of the benchmarks are gross of fees and do not include an allocation to money market funds.
An ETF (exchange-traded fund) is a security that tracks an index, a commodity or a basket of assets like an index fund, but trades like a stock on an exchange.
ETFs are subject to risks similar to those of stocks. Investment returns may fluctuate and are subject to market volatility, so that an investor's shares, when redeemed or sold, may be worth more or less than their original cost.