The Flap about Donor Advised Funds: A Collection of Readings
For some reason, there are many true believers among those who are involved with or concerned about the meteoric rise of the donor advised fund. In the larger context of declining numbers of households making any donations in the US, any vehicle that is growing so rapidly should be well understood by nonprofits. Is the field properly regulated? Does it have the transparency it requires? We have published critics and purveyors alike and have even tried to offer some policy recommendations of our own. What we include here is just some of what you can find on our site AND we are constantly updating the landscape in our daily newswire.
Candid’s survey found 39 percent of community foundations last year had a “DAF flow rate” of over 100 percent. In other words, they granted more from DAFs than they received that year.
Small and mid-size donations are falling even as mega-donations make up a greater proportion of overall giving. This has major implications for nonprofits.
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This Voices from the Field feature from five community foundation leaders speaks to how they view the role of donor-advised funds and urges caution before rushing to regulation.
There is a highly polarized conversation about whether or not donor-advised funds should be more closely regulated by government. NPQ takes a close look at the basic potential problems identified and the solutions being proposed, and suggests that a both/and approach is called for here.