Donor Managed Investment Account
- Donor Managed Investment Account
-
A Donor Managed Investment Account (DMI Account) is a charitable giving mechanism that provides donors with a full tax deduction at the time the account is funded, while permitting them to exercise ongoing investment management over the account funds for a period of time.
By offering a high level of investment autonomy, the DMI Account methodology appeals to donors who wish to actively participate in the philanthropic support of a favorite charity. Donors using a DMI Account to manage their gifts to qualified charities receive an upfront federal income and gift tax deduction for up to 50 percent of their adjusted gross income, as well as the ability to actively invest the assets (independently or through a financial manager) in a wide array of investment vehicles, including hedge funds, private equity and real estate. The technique was developed in 2003 by Winklevoss LLC, a financial consulting firm based in Greenwich, Conn. In July 2004, the firm received a favorable private-letter ruling from the IRS that effectively confirmed the tax-deductibility (for federal income and gift-tax purposes) of donor’s gifts that are managed using the DMI Account methodology.
Since the charity offering the DMI Account owns the donated funds outright from the time of their receipt, funds are managed in a tax-free environment and can potentially result in a much larger ultimate gift for the organization than the initial contribution. This methodology can be offered by charities to encourage incremental gifts from investment-oriented donors, while fostering stronger direct relationships between giver and recipient.
See also
Further reading
Wikimedia Foundation.
2010.
Look at other dictionaries:
Donor advised fund — A donor advised fund is a charitable giving vehicle administered by a public charity and created for the purpose of managing charitable donations on behalf of an organization, family, or individual. A donor advised fund offers the opportunity to… … Wikipedia
Planned giving — is an area of fundraising that refers to several specific gift types that can be funded with cash, equity, or property. These gift vehicles are commonly based on United States tax law, but Canada, the United Kingdom, and other nations are… … Wikipedia
Hillary Clinton presidential campaign, 2008 — Hillary Clinton for President Campaign U.S. presidential election, 2008 Candidate Hillary Rodham Clinton Senator 2001–2009 … Wikipedia
japan — japanner, n. /jeuh pan /, n., adj., v., japanned, japanning. n. 1. any of various hard, durable, black varnishes, originally from Japan, for coating wood, metal, or other surfaces. 2. work varnished and figured in the Japanese manner. 3. Japans,… … Universalium
Japan — /jeuh pan /, n. 1. a constitutional monarchy on a chain of islands off the E coast of Asia: main islands, Hokkaido, Honshu, Kyushu, and Shikoku. 125,716,637; 141,529 sq. mi. (366,560 sq. km). Cap.: Tokyo. Japanese, Nihon, Nippon. 2. Sea of, the… … Universalium
United Kingdom — a kingdom in NW Europe, consisting of Great Britain and Northern Ireland: formerly comprising Great Britain and Ireland 1801 1922. 58,610,182; 94,242 sq. mi. (244,100 sq. km). Cap.: London. Abbr.: U.K. Official name, United Kingdom of Great… … Universalium
United States — a republic in the N Western Hemisphere comprising 48 conterminous states, the District of Columbia, and Alaska in North America, and Hawaii in the N Pacific. 267,954,767; conterminous United States, 3,022,387 sq. mi. (7,827,982 sq. km); with… … Universalium
environment — environmental, adj. environmentally, adv. /en vuy reuhn meuhnt, vuy euhrn /, n. 1. the aggregate of surrounding things, conditions, or influences; surroundings; milieu. 2. Ecol. the air, water, minerals, organisms, and all other external factors… … Universalium
Germany — /jerr meuh nee/, n. a republic in central Europe: after World War II divided into four zones, British, French, U.S., and Soviet, and in 1949 into East Germany and West Germany; East and West Germany were reunited in 1990. 84,068,216; 137,852 sq.… … Universalium
Agriculture and Food Supplies — ▪ 2007 Introduction Bird flu reached Europe and Africa, and concerns over BSE continued to disrupt trade in beef. An international vault for seeds was under construction on an Arctic island. Stocks of important food fish species were reported… … Universalium
