SVA steps up social investing
Non-profit group Social Ventures Australia (SVA) has launched the country’s first non-profit managed fund, which is expected to generate $1.5 million for the non-profit sector annually.
Commenting on the launch of the Third Link Growth Fund, SVA executive director Chris Cuffe said all fees received by the fund’s managers, net of expenses incurred, will go to supporting the non-profit sector.
“We know there is plenty of wealth out there, but many individuals still take a scatter gun approach to their philanthropy.
“There’s a smarter way to drive real, positive and lasting change in our communities.
“Through investing in the innovative Third Link Growth Fund, concerned individuals have the ability to create an ongoing annuity stream that will help increase the capacity of SVA and will, over time, allow the whole sector to advance.
“As the sector advances and improves, and people can see real benefits from their charitable giving, then more and more people are attracted to giving, creating a positive cycle of change,” he said.
The “normal managed fund” is an unlisted, open-ended unit trust and is the first of its kind in Australia, according to Cuffe.
The fund requires a $20,000 minimum investment and will close once $150 million has been received in applications. Because much of the work will be done pro bono, SVA is aiming to get “at least 1 per cent of returns through to non profit”.
“People can help out without putting a hand in their pocket,” Cuffe said.
According to Cuffe, a link with BT Wrap will mean the managed fund may appeal to superannuation investors.
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