Report: Foundations key source of stability during challenging economies
The Foundation Center has released a preview of its forthcoming report estimating overall U.S. foundation giving set a new record of almost $55 billion in 2013, even after adjusting for inflation. The forecast predicts foundation giving will continue to grow “a few points ahead of inflation” in 2014.
The creation of 11,000 new foundations – some of them large – since 2008 helped boost the overall giving, according to the preview of the “Key Facts” report.
The Foundation Center notes overall U.S. foundation assets fell by 17 percent in the 2008 market decline. But foundation giving dropped by only 2 percent the following year. That’s because some foundations held giving steady (or reduced their giving by far less than the decline in their assets) by increasing their annual payout rates. “The takeaway: foundations are an important source of stability during challenging and volatile economic times.”
The full report will be available in the fall.