Trending with the growth of financial markets (some at record highs) donors are increasingly giving gifts to donor-advised funds of appreciated assets including stocks, bonds, and more complex assets in publicly and privately held companies. Among the three largest donor-advised funds Fidelity Charitable Gift Fund and Schwab Charitable Fund both saw year-over-year growth in appreciated asset gifts – with Fidelity continuing to increase the percentage of appreciated asset gifts the first half of this year. Donors to Vanguard Charitable Endowment Program dramatically reversed their gifting patterns from providing “a lion’s share” of cash gifts in 2011 to providing 81% of 2013 gifts in appreciated securities.
All those appreciated assets really added up! In 2013 donors to Fidelity Charitable’s donor-advised fund contributed $2.2 billion of appreciated assets to their accounts. Vanguard Charitable donors gifted $730 million in appreciated assets – the bulk of the $904 million they contributed – to its donor-advised fund. With Schwab Charitable added, the total of appreciated assets gifted to the three largest donor-advised funds in 2013 likely exceeds $3.5 billion.
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Hiram Wurf is Charitable Catalyst, Managing Director of The Advise Us Fund®. The Advise Us Fund is an independent 501(c)3 nonprofit organization that offers a donor-centric approach to charitable giving. Hiram formerly served as Executive Director and Founder of the nonprofit 12 State, Inc. and as Marketing Communications Manager for Cool Choices, Inc. He has more than 16 years experience in nonprofit development, marketing and communications including nine years administering grants at a family foundation.
The information in this blog post is general and educational. It is not intended nor should it be construed as legal, tax, investing or financial advice. Individuals should consult with their own advisor about charitable giving arrangements The Advise Us Fund® may describe.
