Calvert Giving Fund
Program-Related Investments (PRIs)
Our Community Investment Notes make program-
related investments simple. We call it "PRI in a Box."
More and more often, foundations are using Program-Related Investments (PRIs) as an alternative to making grants. PRIs allow foundations to devote assets to investing in programs that support philanthropic causes, while still receiving tax benefits. Many community investment activities can be supported through PRIs, which typically provide loan capital, equity investments or subsidies for community development projects.
PRIs, as defined in the US tax code, are subject to the following restrictions:
- The primary purpose must be to further program goals.
- The production of income or appreciation cannot be a significant purpose.
- PRIs cannot be used to influence legislation or political campaigns.
"PRI in a Box"
Since Community Investment Notes are consistent with PRI guidelines, many private foundations have purchased them to support programs such as affordable housing, small business lending, community facilities development, microfinance, fair trade, social enterprise, independent media and other efforts that foster more just and sustainable communities.
Notes can be regionally targeted or custom targeted to match the needs of your organization. Because the Notes are designed to ease the administrative burden and risks commonly associated with PRIs, we call it "PRI in a Box."
Wall Street Article on PRIs
Community Investment Partners
