The Pulse: Philanthropy Leaders Air Concerns, DAFs Democratize Giving

By Andy Carroll, Exponent Philanthropy

I regularly explore trends influencing philanthropy by spotlighting articles, reports, and essays in the media. I cast a wide net, venturing beyond philanthropy and traditional topics to consider a variety of ideas, innovations, debates, and critiques. Read previous posts in the series   

Philanthropy Leaders Air Concerns, Bright Spots at National Conversations

At a series of brainstorming sessions convened by Independent Sector President Diana Aviv to explore how nonprofits and foundations should adjust to upheavals in their working environment, leaders expressed how difficult collaboration is, writes Suzanne Perry in The Chronicle of Philanthropy, and that “the whole structure for financing nonprofits is ‘broken.’ ‘Money is driving goals,’ with organizations changing their activities to meet demands for certain outcomes from their donors.”

Participants also named several innovative efforts that are moving the needle. “Minneapolis participants praised the Northside Achievement Zone, an effort by more than 30 nonprofits and schools to fight poverty and improve academic performance in a north Minneapolis neighborhood; successful campaigns to legalize gay marriage and defeat a proposed constitutional amendment requiring voter IDs, which ‘required nonprofits to come together across boundaries’; and the Blue Line Coalition, which unites more than 15 groups working to ensure that a light-rail extension benefits low-income communities.”

Continue reading →

You Can Get There From Here – With Multiple Ways to Give

By Cynthia Strauss, Fidelity Charitable®

The following was published earlier this year in Exponent Philanthropy’s Outsized Impact, a first-of-its-kind report on trends shaping philanthropy with few or no staff. 

I’ve always found it apt when philanthropists use the term “journey” to describe their giving. To me, the word encompasses the stops, starts and, most important, the learning that accompanies a philanthropic lifetime—the side trips and experiences along the way that so often have deep and significant meaning for the donor. Hopefully, your own philanthropic journey represents a unique and continually rich exploration.

There are multiple giving tools available 

Fortunately, there are numerous vehicles available to help you reach your charitable destination as easily, effectively, and efficiently as possible. Until quite recently, foundations and charitable trusts were the most widely employed vehicles for individuals or families with several million or more charitable dollars to dedicate. For more and more today, however, donor-advised funds (DAFs) are being added to the mix.

As DAF programs have grown in number, so have the variety and sophistication of their offerings. Many DAF programs have in-house experts to aid giving that requires an advanced level of support—for example, donating complex assets like private or restricted stock, international giving, or impact investing. Donors can also leverage the DAF program’s expertise in supporting donors as they shift to a more specialized charitable focus or adopt an entirely new direction.

No one charitable vehicle is inherently better than another. What I am seeing, though, is more families and individuals proactively using a variety of vehicles to best serve their evolving charitable journey.

Continue reading →