12 April 2017 | News,

On tour 2017: The hosted fund as an alternative to the classical foundation?

A conference on foundations of public utility was held in Lausanne on Thursday 16 March 2017.

This conference was part of the series of events organized in the French-speaking Switzerland by Swiss Philanthropy Foundation on the theme “Is philanthropy for you? “. It gathered about thirty participants in the warm and welcoming offices of Fiduciaire Michel Favre SA.

The first part of the event consisted in presenting the ways of organizing and succeeding in the creation of one’s own foundation. Pascal Favre, Administrator of Fiduciaire Michel Favre SA, introduced the legal and tax specificities linked to foundations of public utility. He particularly highlighted the eternal vocation of a foundation and the existence of legal complexities that could sometimes make the constitution of one’s own foundation difficult. His speech tended to suggest that, in some cases, it would be preferable to use a range of qualified people in the field to set up your philanthropic project. He also suggested that the hosting foundation offered an attractive and more realistic alternative.

Following this, Etienne Eichenberger, Chairman of Swiss Philanthropy Foundation, recalled that out of three foundations created, two are liquidated. In the light of this observation, he mentioned discussions with founders who recognized that running a foundation often represented a larger project than expected upstream. He then referred to the solution of the sheltered philanthropic fund, stressing that it was an attractive alternative to the classical foundation. Indeed, a hosted fund allows donors to concentrate on the supported projects, while removing the burden of the administrative management of their fund.

The second part of the event took place in the spacious hall of the building, where participants were invited to discuss over an aperitif.