Mission First Pool FAQ
On March 31, the Boston Foundation informed donors of a new addition to the investment portfolio for donor advised funds at TBF.
The Boston Foundation’s Mission First Pool is an investment pool that allows donors to have more positive impact with the portion of their donor-advised fund (DAF) invested for long-term charitable giving.
Impact investments, like the Mission First Pool, change the traditional, binary paradigm of “giving from” and “investing” your DAF balance, expanding your philanthropic toolkit. The Mission First Pool allows you to generate positive impact with your funds while enabling you to reuse those charitable dollars in the future.
What are example investments by the Mission First Pool?
Mission First investments have the primary purpose of generating impact outcomes and financial return is expected. We know grantmaking alone can’t solve the many intractable challenges faced by our region – lack of affordable housing, unevenly distributed impacts of climate change, financing for small businesses, addressing the racial wealth gap through home ownership and more. For the most part, the Pool will be extending fixed rate loans to financial intermediaries with strong track records of repaying investors.
Who is eligible to take part in the Mission First Pool?
The ability to participate in the Mission First Pool will be open exclusively to Boston Foundation DAF holders. The Pool is funded using assets from TBF’s Fund for Boston's Future (our endowment), and with allocations from DAF balances.
Which assets are being allocated to the Mission First Pool?
Only the portion of fund balances invested in the Impact and Balance Plus Pools will be allocated to the Mission First Pool. Funds in the Short Term Pool will not.
How will assets be moved from existing investment pools to the Mission First Pool?
On July 1, 2025, 1% of DAF assets in the Balanced Plus and Impact Pools will be allocated to the Mission First Pool. This allocation will increase by 1% annually with an eventual total allocation of 5% by 2030.
Can I invest more than 5% of my fund’s balance to the Mission First Pool?
Yes! You are welcome to invest additional capital (up to 50% of your total fund balance) in the Mission First Pool. If you would like to increase your allocation to the Mission First Pool, email donorservices@tbf.org.
Do I need to take any action at this time?
No action is required unless you do not want a portion of your DAF allocated to this investment pool.
Will there be any changes to my ability to make grants?
No, there will be no changes to a fund advisor’s grantmaking ability as a result of an allocation to the Mission First Pool.
What are the expected returns for the Mission First Pool?
The Mission First Pool is a capital preservation strategy and is targeting a modest annual return of 1-3%. Considering the small percentage of total assets being invested in the pool, the impact on overall returns will be slight, while broadening the positive impact of your DAF investments.
How risky are these investments? What is the likelihood of losses?
All investments carry risk, and this new pool is no exception. To minimize that risk, all Mission First investments will go through a robust vetting process conducted by TBF or an experienced third party.
What if I wish to opt out of this investment pool?
You have until June 30, 2025 (90 days) to opt out by contacting your relationship manager or Donor Services at donorservices@tbf.org. After this date, your Mission First Pool can be reallocated to another investment pool by request, subject to processing timelines.