2/7/2017
Fidelity Charitable Gift Fund, the nonprofit subsidiary of Fidelity Investments, beat out United Way as the top recipient of charitable contributions in 2016. According to The Chronicle of Philanthropy's annual Philanthropy 400, which ranks charities according to how much money they raise, this marks the first time a donor-advised fund surpassed the more traditional, established nonprofits. It was also only the second time that United Way lost its top ranking since the Philanthropy 400 first came out in 1991.
Donor-advised funds allow donors to receive an immediate tax benefit, while their contribution gets invested and granted out over a period of time. Technological advances have made the process seamless and the appeal of donor-advised funds has been steadily increasing. Data analysis by Giving USA and the National Philanthropic Trust predicts that donor-advised funds could soon account for 10 percent of all charitable contributions by individuals. They are making a financial impact too, having awarded over $3 billion in charitable grants in the last year. For more information, please go HERE.