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How can a single asset QOF receive funds from a large multi-project QOF?

If a single asset QOF passes the 90% test and follows other guidelines and compliance, is it possible for larger multi-project QOFs to invest into a smaller fund?


Answers
  • Neil Faden
    June 17, 2020

    It can't. QOFs can't invest in other QOFs. The multi-project QOF can invest directly in the project owned by the single-asset QOF though.

  • Brad Cohen
    June 17, 2020

    No.

  • Matthew Rappaport
    June 18, 2020

    No. QOFs cannot invest in other QOFs, period. You need to form a QOZB joint venture.

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