Clients with donor-advised fund assets above $5 million can recommend a customized investment strategy.

Glenmede, a privately-held and independent investment and wealth management firm, has launched the Glenmede Donor-Advised Fund.

The firm is offering the donor-advised fund in partnership with National Philanthropic Trust (NPT), a national public charity. The donor-advised fund will enable Glenmede clients to recommend grants to charitable organizations while benefiting from an immediate income tax deduction on irrevocable contributions of cash, appreciated securities or other assets to the donor-advised fund, the firm said in a statement.

The Glenmede Donor-Advised Fund will offer several pre-approved investment options of model portfolios. The offerings cover three risk profiles and a broad range of investment asset classes. Clients with donor-advised fund assets above $5 million can recommend a customized investment strategy.​ NPT allows Glenmede clients to recommend grants to any qualified charity both in the US and overseas.

Through its partner, NPT, Glenmede clients can contribute a wide range of assets to their donor-advised funds, including cash, appreciated stock, bonds, mutual funds, restricted and closely-held or non-publicly traded securities, real estate, limited partnerships, deferred gifts and other illiquid assets. Assets in the donor-advised fund grow tax-free.

The minimum initial contribution to the program for existing Glenmede clients is $25,000, with subsequent contributions required to be $5,000 or more. Donors may recommend an unlimited number of grants of $250 or more and may determine how they would like to be recognized for each grant, including the option to remain anonymous. Donors may also name successor advisors to their fund, providing them the opportunity to pass along their philanthropic values to future generations.

“Glenmede’s history is rooted in philanthropy and our clients are exceptionally generous,” said Nina Cohen, director of endowment and foundation advisory. “The Glenmede Donor-Advised Fund continues our long tradition of offering clients creative and flexible solutions to managing their wealth to meet their objectives. With NPT’s expertise and streamlined administration, we can offer our clients an effective and efficient way of giving. The Glenmede Donor-Advised Fund provides another tool in the tool box for our philanthropic clients and may serve as a compliment to a private foundation, charitable trust or donor-advised fund with a local community foundation.”

According to NPT's 2015 Donor-Advised Fund Report, donor-advised funds are the fastest-growing segment of charitable giving vehicles, ahead of private foundations, trusts, annuities and pooled income funds. Family Wealth Report recently published a guest article from Susan Winer, founder of the firm Strategic Philanthropy, who discussed the use and the popularity of donor-advised funds. 

Headquartered in Philadelphia, Glenmede has offices in Ohio, Delaware, New Jersey, New York and Washington, DC.