Archive for the ‘Partnership’ Category

After The Giving Pledge: Giving Behaviour of 22 Donors

June 4, 2013

In February this year, the Gates Foundation announced that the Giving Pledge, founded by Warren Buffett and Bill and Melinda Gates in 2010, would for the first time extend its invitation to wealthy donors outside the US.  They added twelve signatories from eight non-US countries, bringing the total number of those who have so far taken the Pledge to 105. In response to this announcement, we conducted a survey of our own network of philanthropists to gauge their attitudes to the Pledge, the results of which can be viewed here. The findings of the survey raised several interesting points, of which the question of timeframe over which to disburse philanthropic assets was one.

To drill deeper into this issue, and to respond to interest from alumni of our donor education programmes, we asked philanthropists within our networks about the rate at which they intend to deploy their philanthropic assets.  They provided us with the following response about their giving behaviour.

About the 22 donors who responded to our survey

  • They come from the UK, the US, Brazil, Canada, Lebanon and Mexico;
  • They give away an annual average of $2,168,050;
  • Their foundations have an average endowment of $79,081,250;
  • Their areas of philanthropic giving, in order of frequency, are: education; children and youth; community re-generation; environment; healthcare; international development; women and girls; board governance; impact investing; reproductive health; film as a vehicle for social change; local charities; technology; transparency; human rights; encouraging philanthropy; encouraging non-profit impact; alleviation of poverty; religion; and historic preservation.
  • Eight donors had made provision for their families to pursue their own philanthropic goals separate to their own philanthropy.  Eight had not, and four others had not yet decided.

The rates of their giving

  • Of the twenty-two donors, seven had decided the precise time-frames within which they were looking to give away all of their philanthropic capital.  Three of them aim to do so within the next ten years; two of them aim to do so five to ten years after their death; one over the next five to eight years; and one over the course of the next twenty years.
  • One of the donors commented that “I strongly believe that philanthropy can be more effective when driven by the wishes and strategy of a living donor. Long-lasting philanthropic institutions can become sclerotic and bureaucratic, not always but often. Family foundations may end up with their hands tied, by a legacy directed at tackling a social problem that no longer exists. Innovation and risk taking is often reduced.
  • Another stated thatRisk taking and innovation are crucial for philanthropy. Philanthropy needs to be able to adapt as social problems and the needs of society change over time.”

The percentages of their giving

graph

The values and beliefs that drive their giving

  • “Partnership: the more we (civil society, philanthropists, NGOs and activists) can work together towards a cause, the faster we can move the needle.  Engagement: not only personal engagement, but moral and legal and financial engagement.  Empower the organisation so they do the best they can to move the needle. Help the executive team to excel in their strategy and operations to achieve their mission and reach goals they have set with their trustees (and other constituencies).”
  • “I focus on leadership and because my funds are limited, I support smallish charities with dynamic leadership in unattractive and unpopular fields where it is difficult to raise funds.”
  • “Philanthropic capital should be deployed in the most strategic way possible.”
  • “I generally believe in addressing the needs of underserved poor in the neediest parts of the world (where I have worked for much of my professional life), not the arts or environmental needs so popular among donors here at home, or SOBs (symphony, opera, ballet) – as much as I love them personally.”
  • “Everybody deserves the opportunity to grow in a safe environment, with responsible, caring and self-sufficient parents, as well, to receive quality education. Seeing how many individuals and communities have improved their lives as a result of my father´s work in philanthropy is the best example of the importance of philanthropy in my life.”

www.instituteforphilanthropy.org

For more information please contact:

Mary Glanville

Mary.Glanville@instituteforphilanthropy.org

+44 (0) 207 2400626

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Sharing ideas: the Nexus Europe Youth Summit and Module Three of The Philanthropy Workshop

May 15, 2013

On Saturday the 11th May, we had the great pleasure of taking part in the Nexus Europe Youth Summit on Innovative Philanthropy and Social Entrepreneurship at The Clubhouse in Central London. In the words of the organisers, the Summit “brought together philanthropists, investors, social entrepreneurs and allies under the age of 40 from across Europe, to inspire new leadership, greater generosity and more strategic investing in social and environmental projects”.

The Institute organised a breakout session in the afternoon under the headline, “New Models in Philanthropy – If it ain’t broke why fix it?”; Mary Glanville, Managing Director of the Institute for Philanthropy in the UK, facilitated an animated discussion between two eminent philanthropists with different approaches to giving, Fran Perrin and Marcelle Speller. Fran is the Founder and Director of the Indigo Trust, a grant-making trust that funds technology-driven projects that bring about social change, largely in African countries; and Marcelle is the Founder and CEO of the online fundraising platform for small and local charities, Localgiving.com.

The session kicked off with a discussion around the role of philanthropists today. Fran put forward the view that philanthropists ought to use their unique position to fund innovative, potentially risky, projects that the Government cannot. In some cases, that might mean providing capital in order to test a new model for delivery (governments often find it difficult to invest in “unproven” organisations or models). Marcelle agreed that philanthropists need to recognise their comparative advantage in the social change ecosystem by providing “more than money”: philanthropic investments must add up to “more than the sum of their parts”, and effect change well beyond the value of the initial investment.

Bringing “more than money” to philanthropy was a theme that ran through the discussions. Marcelle co-founded Holiday-Rentals.com in 1996, and when she sold the business in 2005 she sought to apply her business experience from Holiday Rentals to her philanthropy. Marcelle has not only built a successful platform from which oft-overlooked social groups can raise money and awareness of their work, but she’s also leveraged substantial funds from other institutions, including Government. Earlier this year, Localgiving.com ran a matched fund which raised an impressive total of £1.2 million from an initial £500,000 investment from the Office for Civil Society.

Fran has similarly applied her professional skills to her philanthropy, using her extensive knowledge of online and digital technologies to assess grant applications and offer advice to Indigo Trust grantees. However, whilst Fran and Marcelle have applied their substantial existing experience to philanthropy, they both recognise the need to network and learn from others. For Fran in particular, this is also about publicly sharing detailed information about the grants the Indigo Trust makes. This strong belief in funder transparency has led Indigo to sign up to the International Aid Transparency Initiative (IATI), a consistent way of publishing information about international aid.

Sharing insight and experience lies at the core of the Institute’s flagship donor education programme, The Philanthropy Workshop (TPW). TPW provides a confidential forum in which philanthropists may seek advice of their peers, get feedback, and share learnings from achievements (and failures!). This week, members of Cohort 19 of TPW are convening in New York for the third module of learning of the programme. Participants will gain practical knowledge on essential tools to measure results, learn about advocacy as a tool for social change, and receive constructive feedback on their individual strategies for giving. Upon graduation from the Workshop, they will join a supportive group of TPW alumni with whom they will continue to network and develop their knowledge of philanthropy.

For information about joining the next cohort of TPW, please see here or contact The Philanthropy Workshop team at tpw@instituteforphilanthropy.org or on +44 (0) 207 040 0262 (in the UK) or +1 212 513 0020 (in the US). 

Family philanthropy event with Barclays Wealth and Investment Management – summary coming soon!

March 14, 2013

The Institute for Philanthropy and Barclays Wealth and Investment Management last night hosted a conversation with three prominent philanthropists at an exclusive event focused on family philanthropy. We were delighted to welcome guests from a wide range of different geographies and philanthropic perspectives to hear what was a lively and informative discussion from the panel. Keep an eye on our blog next week for a summary of the discussions!

The future of philanthropy: collaboration and partnerships are increasingly important

February 6, 2013

A growing trend, identified in the annual Family Foundation Giving Trends (PDF) report released in December 2012, is an increase in existing and proposed strategic collaboration and financial partnerships among donors. This is a trend that we have seen grow within our own influential network of philanthropists, many of whom have graduated from The Philanthropy Workshop (TPW) programme which educates major donors in the skills of strategic philanthropy.

These partnerships go beyond “traditional” giving circles and co-funding opportunities. The Indigo Trust funds technology driven projects primarily in Africa, but also uses social and digital media to connect with other funders and share insight. The fundraising community can benefit greatly from the expanded use of social media by donors, gaining a valuable insight into their activities and requirements. The Oak Foundation, which is led by TPW alumnus Dr. Kristian Parker, has taken part in large-scale collaborations with other donors in order to leverage resources, for example to create an institution or fill a gap in infrastructure.

While collaboration and partnership are not new concepts, they are becoming an increasingly important part of the way in which philanthropists work. Facilitated by new technologies, partnerships formed for a range of objectives are set to become commonplace among philanthropists wishing to maximise the impact of their work.

By Mary Glanville, Managing Director of the Institute for Philanthropy in the UK.

This post first appeared in the January – March 2013 edition of Bond‘s “The Networker” magazine. Please click here to read the full magazine (PDF).