Donor-Advised Funds Grow in Popularity as Tools for Impact Investing
Wednesday, May 15, 2019
By Alex Daniel
When the Nasdaq closing bell rang last Thursday, investors in Beyond Meat were jubilant. Trading in the plant-based food company had driven up the share price 163 percent during its first day on the exchange, making the Beyond Meat IPO one of the most successful public offerings of the past decade.
In addition to putting smiles on the faces of a lot of investors, the first-day gains also generated more than $20 million for future charitable gifts, thanks to investments two donors made through their donor-advised-fund accounts.
Donor-advised funds, a fast-growing way to make charitable contributions, may be the propellant needed to fire up impact investing, a practice that is growing but is viewed by some as having unfulfilled promise. By using plants instead of livestock for its products, Beyond Meat markets itself as part of a climate-change solution that reduces animal cruelty.
Photo courtesy of Sudipto Sarkar.
Source: The Chronicle of Philanthropy (link opens in a new window)