Life expectancies are from the Annuity 2000 Tables. Conservatism is achieved by using female life expectancies, setting the ages back one year, and factoring in projections for increased life expectancies. Deferred gift annuity rates in New York and New Jersey are lower, at certain deferral periods, than rates in other states because of required interest assumptions by those states.
Charities operating in New York are more limited in equity investments.
The ACGA believes that the above portfolio is possible for charities operating in all states. It should be noted that, per a recent survey, charities operating in states like New York with investment restrictions had lower total returns than charities operating in states without such restrictions. Thus, the investment restrictions mean that less will be available for charitable purposes.