New Fund Offers Investors Unique Benefit of Access to Private Aviation
Craft, a private aviation charter company founded in 2020, announced today the introduction of a novel 721 exchange fund designed to provide investors with a meaningful way to diversify their portfolio while enjoying the unique benefit of access to private aviation.
Craft’s new exchange fund operates in the same way as traditional exchange funds. That is, investors with concentrated stock positions may contribute their stock to the private fund in exchange for a share of the fund's diversified portfolio. The benefits to the investor typically include diversification of holdings and deferral of capital gains taxes.
The key differentiator of Craft’s exchange fund is that one of the assets held by the fund is private aircraft. Investors owning shares of the exchange fund will, by definition, hold ownership of the private aircraft. Further, Craft is allowing fund investors access to, and use of, aircraft held by the fund. This will enable fund investors to enjoy the benefits of their aircraft ownership without having the responsibility of maintaining a private airplane.
“The private aviation industry has been slow to innovate over the past 20-25 years, but there are so many different opportunities for unique use of private aircraft,” said Israel Slodowitz, CEO of Craft. “At Craft, we saw the idea of an aircraft-based exchange fund as one such opportunity, and we’re excited to be introducing this novel fund to investors.”
The exchange fund will initially own Challenger 300 and 350 aircraft.
Craft has begun to accept investors in its new exchange fund and has experienced strong initial traction. Potential investors are urged to get in touch with Craft soon, before the fund reaches its intended size and closes to new investors.
Craft is also accepting deposits on the Global 5000 and Phenom 300 for interested investors and will launch additional exchange funds with these aircraft if a minimum number of investors is reached.
About Craft
Craft is a leading provider of premium charter services, offering a diverse fleet of modern aircraft to meet the needs of discerning travelers. Based in Miami, the company is dedicated to delivering exceptional travel experiences with a focus on safety, comfort, and efficiency.
