How Understanding Endowment Law Is Key to Liberating Philanthropic Assets - Non Profit News | Nonprofit Quarterly
Briefly

Philanthropy today reflects a system of wealth hoarding, where foundations hold onto $1.5 trillion, failing to address intersecting crises, perpetuating systemic inequities.
Common myths surrounding foundation laws mislead, suggesting foundations must preserve their endowments and limit giving to just 5 percent annually, when they have much greater flexibility.
In a conventional finance approach, foundations allocate 95 percent of their assets to financial managers for return maximization, with only 5 percent directed to charitable causes.
The manipulation of foundation law contributes to wealth hoarding, disguising the reality that many large foundations could immediately distribute all their assets if they chose to.
Read at Non Profit News | Nonprofit Quarterly
[
|
]