National Donor-Advised Fund Receives over $925 MM in Contributions for Fiscal Year 2010
Public Company Information:
SAN FRANCISCO--(BUSINESS WIRE)--Schwab Charitable, one of the nation’s largest and fastest growing national donor-advised fund organizations, reports that contributions from its donors for fiscal year 2010 reached the highest level in its 10 year operating history. A donor-advised fund is a charitable vehicle that allows donors to realize the possible tax benefits of charitable giving, while flexibly supporting their favorite charities over time.
Contributions for the twelve month period ended June 30th rose to over $925 million, up 92% from the previous fiscal year. This compares with a decline of 3.6% in overall charitable giving and a decline of 8% in contributions to private foundations for calendar year 2009(1). Schwab Charitable’s grants to charities also increased to just under $435 million, or 21% of average assets, compared with an average annual distribution rate from private foundations of approximately 6% of assets. Ending assets under management were $2.4 billion, up 30%. Donor account sizes range from $5,000 to over $200 million.
The boost in contributions was driven by an increased demand by high net worth donors and their wealth advisors, who see donor-advised funds as a simpler, lower cost and more private alternative to a private foundation or supporting organization. In addition, Schwab Charitable benefited from an increase in gifts of appreciated securities, which increased from 49% to 65% of total contributions, driven by a healthier stock market.
"We are inspired by the generosity of our donors in this uncertain and volatile financial environment,” says Kim Wright-Violich, president of Schwab Charitable, “Our donors (large and small) and their advisors tell us we have succeeded by continually striving to provide an attentive, easy-to-use, highly personalized, private and low cost service to facilitate charitable giving.”
During the year, Schwab Charitable introduced a number of innovations which proved popular and helped to drive its growth including Expanded Investment Options, a Private Foundation Conversion Service and Customized Grant Letterhead. The organization has also continued to attract interest in its Double Give Microfinance Guarantee Program.
About Schwab Charitable
Created as a national donor-advised fund with a mission to increase charitable giving nationwide, Schwab Charitable has raised over $4.6 billion and has facilitated almost $2 billion grants to charity since inception. Schwab Charitable is the tenth largest fundraising charity in the United States and the largest in the State of California. For more information, visit www.schwabcharitable.org.
1 Giving USA 2010
Schwab Charitable numbers are preliminary and unaudited
For Schwab Charitable
Morrison Shafroth, 720-470-3653
Communications Strategy Group