Administrative and Investment Fees
The chart below explains administrative and investment fees applicable to various types of funds. The administrative fees are calculated on the principal balance of each fund and are charged directly to the fund. They cover all the services provided by the Foundation's staff and other administrative costs. Since the fees are spread over a substantial asset base, the fees to any one fund are modest. The Foundation takes pride in the fact that its administrative fees are among the lowest of all community foundations. The investment fees shown on the chart cover the services of the Foundation's investment managers: the trustee banks in the case of assets held in trust form, and managers selected by our Investment Committee and Board in the case of assets in our corporate arm, HFPG, Inc. Investment fees are netted out before investment results are reported.
Fees Chart | | Minimum
to Create a Fund | Admin. Fee
in basis points3 | Investment Fee
in basis points6 | | Discretionary Fund | $10,000 | 80 | 55-70 | | Preference Fund | 10,000 | 80 | 55-70 | | Field of Interest Fund | 10,000 | 80 | 55-70 | | Donor-Advised Fund | 50,0001 | 1004 | 55-70 | | Scholarship Fund | 10,000 - 50,0002 | 125 | 55-70 | | Designated Fund | 10,000 | 505 | 55-70 | | Gifts to General Endowment Fund | no min. | 80 | 55-70 |
1 A donor-advised fund may start at $25,000 and grow to $50,000, but the minimum fee of $500 will apply, and grants may not bring the fund balance below $25,000.
2 Depending on scholarship terms.
3 A basis point is one one hundredth of 1% (.01%).
4 100 basis points first $500,000; 75 basis points next one million; 50 basis points over $1.5 million. $500 minimum fee.
5 50 basis points for first million; 40 basis points for second million; 30 basis points over two million.
6 Each charitable fund at the Foundation is charged with an investment management fee calculated at a blended rate ranging from 55 to 70 basis points based on the investment manager's overall costs.
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