Fidelity Charitable reveals record year in philanthropic giving

Fidelity Charitable reveals record year in philanthropic giving
Annual report shows donors made $11.8 billion in grants from Fidelity's donor-advised funds last year.
FEB 14, 2024

Despite economic challenges from inflation and rising interest rates, donors on Fidelity Charitable came together to make 2023 the platform’s most impactful year yet.

In its 2024 Giving Report, Fidelity Charitable reported that its donors recommended a record $11.8 billion in grants, which represents a fourfold increase in its impact over the past decade.

The number of grants recommended have roughly kept pace, growing from 626,000 in 2014 to 2.3 million last year, according to the report.

“The American tradition of philanthropy continues to inspire and exceed expectations, with donors connecting with the causes that are most meaningful to them,” said Jacob Pruitt, president of Fidelity Charitable.

According to the report, the platform registered recommendations from more than 322,000 donors, including over 2.3 million individual grants to nearly 199,000 unique charities worldwide.

Corporate philanthropy got its moment in the spotlight, Fidelity said, with over 500 companies leveraging Fidelity Charitable's corporate giving account to direct more than $250 million in philanthropic donations – at an average of 65 grants for each company – over the course of 2023.

Donations were largely given with an eye toward impact, as nearly two-thirds of donor recommendations in 2023 (63 percent) were strategically allocated “where needed most.”

The report also highlighted the growing trend of noncash asset donations, which accounted for 63 percent of all contributions last year. All told, these assets – including restricted stock, private equity, and limited partnership interests – amounted to $1.4 billion of impact in 2023.

Reflecting donors’ commitment to their favorite charities and causes, nearly 80 percent of grants in 2023 went to nonprofits the donor had previously supported.

In a show of the steadfast support donor-advised funds provide to nonprofits, grant funds to charities flowed consistently from year to year, with three-quarters of donors’ contribution dollars being granted within five years of receipt on average.

Since its inception in 1991, Fidelity Charitable has generated $22.2 billion in additional funds for charitable causes, it reported. “With more donors and companies turning to smarter, more flexible giving avenues like the donor-advised fund, we expect a continued rise in generosity and, in effect, a rise in impact across nonprofits,” Pruitt said.

Here's why investors are better off working with advisors when it comes to charitable giving

Latest News

The power of cultivating personal connections
The power of cultivating personal connections

Relationships are key to our business but advisors are often slow to engage in specific activities designed to foster them.

A variety of succession options
A variety of succession options

Whichever path you go down, act now while you're still in control.

'I’ll never recommend bitcoin,' advisor insists
'I’ll never recommend bitcoin,' advisor insists

Pro-bitcoin professionals, however, say the cryptocurrency has ushered in change.

LPL raises target for advisors’ bonuses for first time in a decade
LPL raises target for advisors’ bonuses for first time in a decade

“LPL has evolved significantly over the last decade and still wants to scale up,” says one industry executive.

What do older Americans have to say about long-term care?
What do older Americans have to say about long-term care?

Survey findings from the Nationwide Retirement Institute offers pearls of planning wisdom from 60- to 65-year-olds, as well as insights into concerns.

SPONSORED The future of prospecting: Say goodbye to cold calls and hello to smart connections

Streamline your outreach with Aidentified's AI-driven solutions

SPONSORED A bumpy start to autumn but more positives ahead

This season’s market volatility: Positioning for rate relief, income growth and the AI rebound