The Rockefeller Foundation, in partnership with the Kresge Foundation, is seeking Letters of Inquiry for fund managers establishing new Opportunity Funds.
Through the federal Investing in Opportunity Act (IIOA) — part of the Tax Cuts and Jobs Act of 2017 — investors can receive capital gains relief by investing in newly designated “Opportunity Zones” in the United States. States and territories have identified up to a quarter of low-income Census tracts as investible zones with the aim of attracting investment to those distressed communities.
Unlike other tax incentives designed to incentivize investment in low-income communities, the IIOA currently does not include a provision for long-term impact reporting — an element both Rockefeller and Kresge see as necessary and important. The foundations, therefore, seek partnerships with mission-aligned fund managers who intend to make investments that will benefit the lives and communities of low-income people, will deliver promised returns to investors and will evaluate the impact of investments over time.
The Foundations are prepared to commit grants and unfunded guarantees of up to $25 million to support this program. Unfunded guarantees are a form of impact investment in which the foundations take responsibility for a portion of future losses if an investment fails.
Click here for more information
Copyright Philanthropy Delaware, Inc. 2017Philanthropy Delaware, Inc. is a 501(c)3 nonprofit organization
Office: (302) firstname.lastname@example.org
Address:100 W. 10th Street, Suite 500Wilmington, DE 19801