Charity Investment What Options

[BlackJack]

looking for investment ideas.

Have money belonging to charity - I want the best return at the lowest or nill tax rate.

Dividend on money will be used to set up new schools for the poor children.

Schools not necessarily in Thailand

Anyone with any experience or ideas

thanks

[AyG]

You're not giving a lot to go on here.

(1) Approximately how much are you looking to invest?

(2) What is the timescale for using the money (or are you looking just to use the income from the investment)?

(3) In what currencies will the expenditure be (you say "schools not necessarily in Thailand")?

As a few general points:

(1) For a timescale of less than 5 years for using the money, stick to cash-type investments.

(2) Match your currency investment profile to the expected currency profile of the liabilities. (Foreign exchange rates can swing dramatically and are unpredictable.)

[BlackJack]

You're not giving a lot to go on here.

(1) Approximately how much are you looking to invest?

(2) What is the timescale for using the money (or are you looking just to use the income from the investment)?

(3) In what currencies will the expenditure be (you say "schools not necessarily in Thailand")?

As a few general points:

(1) For a timescale of less than 5 years for using the money, stick to cash-type investments.

(2) Match your currency investment profile to the expected currency profile of the liabilities. (Foreign exchange rates can swing dramatically and are unpredictable.)

HELLO in answer to questions

1. several million US$

2. income from the investment will be used to set up schools or subsidize existing ones

3. US$

Cash investments yes - interest earned - but what about taxes and withholding

thanks

[manjara]

With several million dollars, you would be better getting an Investment House to manage the money for you. I used to work for one in Edinburgh that charged significantly less than 1% management fee for charities. (and they manage several billion in total)

There are many, and they can tailor a plan to suit your needs in terms of income or capital growth.

PM me if you want more details.

[Thanyaburi Mac]

With several million dollars, you would be better getting an Investment House to manage the money for you. I used to work for one in Edinburgh that charged significantly less than 1% management fee for charities. (and they manage several billion in total)

There are many, and they can tailor a plan to suit your needs in terms of income or capital growth.

PM me if you want more details.

FYI, I forwarded that investment advice Q to friends in the U.S. who did a little checking. Their response is:

It's a scam. I only referred them to our website for what we did. I then got an email wanting our bank information so the could transfer a $700,000 donation to our account. Yea, that's gonna happen. "

Mac

[raro]

With several million dollars, you would be better getting an Investment House to manage the money for you. I used to work for one in Edinburgh that charged significantly less than 1% management fee for charities. (and they manage several billion in total)

There are many, and they can tailor a plan to suit your needs in terms of income or capital growth.

PM me if you want more details.

FYI, I forwarded that investment advice Q to friends in the U.S. who did a little checking. Their response is:

It's a scam. I only referred them to our website for what we did. I then got an email wanting our bank information so the could transfer a $700,000 donation to our account. Yea, that's gonna happen. "

Mac

Thanks for pointing that out and your PM to me. I also deleted your post and keep this as a public warning (not a mod's warning...a warning to all of us). There's a lot of investment scam out there and please check in your own interest carefully where to put your hard earned cash.

and as a general disclaimer...we at thaivisa.com could impossibly check the advise given in this forum for it's trustworthiness. The obvious ones, ok, but please assist us by using the PM or report function if you come across something fishy.

[BlackJack]

yes I am careful and do a lot of checking before any moves are made

thanks

[jazzbo]

So with all the PMs and deletions you lost me. Which part is the scam -- as to where the charity should invest their already received US$ millions or that they will get the US$ millions in the first place (as in send us your bank info and we will then deposit... ala Nigeria)?

[raro]

So with all the PMs and deletions you lost me. Which part is the scam -- as to where the charity should invest their already received US$ millions or that they will get the US$ millions in the first place (as in send us your bank info and we will then deposit... ala Nigeria)?

okok....apologies! There was a post with a "charity investment" that turned out to be a scam. I deleted that post and thanked the person who posted it to point this out by PM. Hope I didn't confuse you guys even more....

[earlofwindermere]

I manage a charity (foundation) here in Thailand as well as one in Canada. We have looked into this matter. Both countries have rather strict rules on what charities can invest their funds in. For example, we have been told that Thai foundations cannot buy stocks. They can be given stocks but they cannot buy. There are many other restrictions as well.

[BlackJack]

So with all the PMs and deletions you lost me. Which part is the scam -- as to where the charity should invest their already received US$ millions or that they will get the US$ millions in the first place (as in send us your bank info and we will then deposit... ala Nigeria)?

I am not sure why u are referencing the Nigerian scams here

but i dont need this thread to be side tracked thanks

I am asking for ideas and I am getting some feedback

thats all

[manjara]

With all the deletions it almost looked like someone was saying my post was a scam?? I hope that's not what people were implying?

All I was saying was that you should get a professional investment company to manage the fund for you...

[raro]

With all the deletions it almost looked like someone was saying my post was a scam?? I hope that's not what people were implying?

All I was saying was that you should get a professional investment company to manage the fund for you...

the deleted post was not from you.

[Naam]

i find it a wee bit... ahemm... strange that somebody asks for financial advice after having amassed several million dollars for charity purposes.

[Thanyaburi Mac]

With several million dollars, you would be better getting an Investment House to manage the money for you. I used to work for one in Edinburgh that charged significantly less than 1% management fee for charities. (and they manage several billion in total)

There are many, and they can tailor a plan to suit your needs in terms of income or capital growth.

PM me if you want more details.

FYI, I forwarded that investment advice Q to friends in the U.S. who did a little checking. Their response is:

It's a scam. I only referred them to our website for what we did. I then got an email wanting our bank information so the could transfer a $700,000 donation to our account. Yea, that's gonna happen. "

Mac

FYI, I was NOT, repeat NOT, making any reference Manjara's post when I posted this quote from folks in the U.S. It had NOTHING to do with Manjara at all, nothing.

Sorry for the confusion.

And, am checking back with the people in the U.S. to see what exactly they were/are talking about.

Sorry for the additional confusion.

Mac

[BlackJack]

i find it a wee bit... ahemm... strange that somebody asks for financial advice after having amassed several million dollars for charity purposes.

i didnt amass

its a registered charity and registered schools that will benefit

dividends will be used to pay bills and overheads for these schools and with any luck to set up new ones

the difference here is that i need constructive feedback and not asking anyone for one cent for fees or licences or taxes =zip

but i bet the Ferengi would know what to do with it

Gold-Pressed Latinum

Mr O'Brien - one Klingon to beam up

[AyG]

The charity will be taxed according to the tax rules of the country it's registered in. Can't do anything about that, except, possibly moving the charity to a country that doesn't tax.

Getting tax-free income is straightforward enough. You just need to open a brokerage account for the charity in an tax haven. I'd suggest Internaxx in Luxembourg. They're a very professional organisation, and Luxembourg is better regulated that some tax havens.

If you know a bit about investing, I wouldn't use a professional manager. Go for low cost investments such as ETFs to minimise costs (rather than use OEICS/Mutual Funds). Since you'll only be getting a return of about 3 1/2%, you don't want to give up 1% or more to a fund manager.

Your emphasis seems to be upon income, rather than capital growth, so invest the money in ETFs with a range of maturity. For example, iShares $ Treasury Bond 7-10 years, iShares $ Treasury Bond 1-3 years. If you want to protect against the effects of inflation add TIPS to the mix, such as iShares $ TIPS - perhaps as much as 40-50%.

For fractionally higher income (with a little more risk) you could add iShares $ Corporate Bond.

If you want an element of capital growth (or at least the chance of growth), add equity ETFs to the mix, such as iShares MSCI World.

(I use the iShares funds as an example. There are other ETF providers just as good.)

[Naam]

i find it a wee bit... ahemm... strange that somebody asks for financial advice after having amassed several million dollars for charity purposes.

i didnt amass its a registered charity and registered schools that will benefit. dividends will be used to pay bills and overheads for these schools and with any luck to set up new ones. the difference here is that i need constructive feedback and not asking anyone for one cent for fees or licences or taxes =zip

but i bet the Ferengi would know what to do with it Gold-Pressed Latinum. Mr O'Brien - one Klingon to beam up

i asked a few of my Ferengi acquaintances and they told me:

-charity or no charity, any proceeds of the money is tax free in offshore locations such as Switzerland, Luxembourg, Singapore or Hong Kong. don't listen to bla-bla like "registered charity" because even if the cash is in your or your mia noi's name it remains tax free.

-if somebody tells you "buy shares/stock" respond with "get lost!" dividends are nice to receive but capital loss might be around the corner.

-any renowned bank will provide you free of charge with advice how to spread the dough by buying short term bonds of excellent rated debtors even though the prevailing yields are . but yields will not stay that low for ever! call UBS, Credit Suisse, Pictet or Julius Baer in Singapore and one of their bankers will be happy and eager to visit you in your home and render advice (repeat) free of charge.

personal advice: do not fly to Macau and bet the money at the Black Jack tables!