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Charitable giving in the U.S. has grown to record levels in recent years, and donor-advised funds (DAFs) account for nearly 10% of all U.S. charitable giving. Learn why benefits such as tax savings, modest costs, and increased flexibility and convenience can make DAFs an attractive option for those looking to donate.

The fundamentals of CLO investing are largely unchanged since the earliest days of the market. Analysts must still make judgments about the three key components of any CLO: portfolio, structure, and manager. Each of these components presents a complex mix of risk and value that must then be evaluated holistically—in aggregate. When investing in CLOs, it is best to follow a rigorous process and framework that allows for consistency while also adapting to different investment strategies and market conditions.

In order to sustain their businesses for the long term, successful business owners tend to be thoughtful in their investments. They act like chess masters, deciding their next five moves in order to maintain a competitive edge and stay in the game. Yet throughout this business cycle, the RSM US Middle Market Business Index has shown that middle market leaders have been slow to increase capital expenditures, despite incentives provided in the 2017 Tax Cuts and Jobs Act. This is concerning in light of today’s rapid pace of business transformation.

With the passage of the recently enacted Tax Cuts and Jobs Act, a significant opportunity exists for investors to defer capital gains tax owed via the establishment of the newly created Federal Opportunity Zones (the “O-Zones”). By investing in Qualified Opportunity Funds, investors can defer tax on capital gains that arose in the last 180 days or prospectively in 2018 and future years.

Three converging trends—including a shift from negative to positive screening—are making it easier for investors to implement impact investment programs that deliver competitive returns.

Developing markets face growing risks that present a clear and present danger to middle market firms embedded in those economies. Differentials in rate policy between the U.S. central bank and its foreign counterparts, an appreciating greenback, along with an atypical late business cycle fiscal boost, present the major driving forces in interest rate divergence between the United States and emerging economies. In this issue of The Real Economy, we explore the topic and more, including automakers’ response to tariffs and pricing reform in the pharmaceutical industry.

Markets are hitting new highs justified by strong earnings growth and reasonably solid economic performance in this tenth year of the expansion. Absent the traditional economic warning signs, equity markets are exhibiting some unnatural distortions. The stock market is becoming quite concentrated in a select group of growth names, and investors appear overly willing to invest in growth stories across the capitalization spectrum.