What is true of pooled income funds?

Question

Quizplus · Accepted Answer

Pooled income funds can have additional contributions, sprinkling is not allowed, and funds cannot invest in tax-exempt securities. Additionally, these pools must be created and maintained by a public charity instead of a private donor, the donor must contribute an irrevocable, vested remainder interest to the charity, the property is commingled with property transferred by other donors, and no donor or income beneficiary can be a trustee. Moreover, the donor must retain a life income inters, and each income beneficiary must receive a pro rata share of income, annually, based on the rate of return earned by the fund.

What Is True of Pooled Income Funds