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In these economic times, charities are feeling the results of donors holding back as they try to shore up their own financial situations. As a result, there are some new ideas of how consumers and others can donate to worthy causes without spending very much extra money. Now the idea is moving into investing with Davlin Philanthropic Funds.

Mutual fund sends fees to charities

According to the Davlin Philanthropic Funds Web site, investors still get the benefit of an investment that offers returns (a commitment to a charity of 30, 40 or 50 years is required), while the charities receive “The bulk of the annual fees that normally get paid to the mutual fund management company.”

A press release from Davlin explains how this works:

For legal and operational reasons, the donations from the mutual fund will go to the Davlin Foundation, a 501(c)3 non-profit foundation. The foundation will, in turn, distribute these donations to charitable organizations with guidance from the individual investors.

I find this an intriguing idea. Mutual funds are generally less risky than many other investments. However, if Davlin invests only in sustainable companies, those might be a little more risky. But the idea is a good one. Helping charities through normal fees you expect from a mutual fund (the fund offered by Davlin is no-load), while allowing you to garner returns.

Sustainable investing and finances is a concept that is gaining ground because it allows many people to benefit. The idea is that there is no reason that one person’s gain is another person’s loss. Sustainable investing says that everyone can gain. We’ll have to watch Davlin Philanthropic Funds to see whether this is an idea that is — in fact — sustainable.

Disclaimer: I am not an investment professional. Nothing in this piece or on this Web site should be construed as investment advice. Before making investment decisions, do your own research and/or consult with an investment professional. All investment comes with the risk of loss. You are responsible for your own investment decisions.

Tags: investing idea, Davlin Philanthropic Funds, investing blog, sustainable investing,
economy, investments, mutual funds