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Linking Non-Pooled And Endowed Funds

 

A link between funds needs to be established when the spending distribution from an endowed fund should be posted as revenue to a related non-pooled fund. Creating this link will allow this process to happen automatically and seamlessly within your database when using the automated distribution function.  

 

1)  Make sure that both funds have been established in Fundriver

To create new endowed and non-pooled funds, see our Knowledge Base article on creating a new fund. The link is referenced here:

https://fundriver.zendesk.com/hc/en-us/articles/204894989-How-do-I-add-a-fund-

Once both funds are established, you can create a link that will automatically transfer the calculated spending amount from the endowed to the non-pooled fund. 

 

2)  Add a Distribution Account entry in your Endowed Fund

Go To ORGANIZE > FUNDS, and search for your endowed fund. Scroll down and expand the blue DISTRIBUTION ACCOUNT bar.

 

3) Add a Distribution Rule (or rules, depending on how you want the distribution allocated) by clicking the green ADD DIST. RULE box 

The EDIT DISTRIBUTION pop-up box will appear.  

 

4) Populate the EDIT DISTRIBUTION box with distribution details

This information may vary, depending on how you want the non-pooled portion of the distribution to be calculated.  Below are two common scenarios.

Scenario 1:  All of a fund’s distribution will flow to the linked non-pooled fund.

By populating the NON POOLED FUND box in your Distribution Rule, it will allow your spending distributions, when created in Fundriver, to seamlessly flow to the non-pooled fund as revenue.  The revenue will appear as a transaction on the non-pooled fund's record.

Scenario 2: 75% of the distribution amount will go to the non-pooled fund.

**Note that you must account for 100% of your distribution. Multiple distribution rules will need to be set up in this example**

Distribution rule #1

Distribution rule #2

The remaining 25% of the distribution is being reinvested back to the endowed fund’s market value. Note: the NON POOLED FUND field is left blank.  The DESTINATION ID field is populated with the endowed fund's GLID, which will direct it to reinvest in itself.

4)  SAVE the Distribution rule to commit.  Your endowed and related non-pooled fund are now linked.

Next time automated distributions are generated, revenue transactions will be created on the corresponding non-pooled fund record.

 

 

 

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