Tag: trusts and foundations

Bring in the New

Posted on by Chris

Q: Where can you find more than 9,000 philanthropists who took the brave and often complicated step of creating a new grant-making charitable trust (a ‘foundation’ in international terminology)?

A: In Factary’s new New Trust Update Archive.

The new NTU Archive is many things. It’s a simple, fast and efficient way to find trusts and foundations in the UK. It’s a great way of finding out about philanthropists, and it is a history of the last ten years of philanthropy in the UK.

Factary began recording the new wave of philanthropy back in 1993, when we noticed that the Charity Commission for England and Wales was experiencing a boom in trust registrations. We discovered that the registration documents for charities – which are in the public domain – contained information that allowed fundraisers to get a clearer idea of what the activities of new trusts, and who was behind them. This was not, at the start, an easy process. We had to take the train to Taunton (where the Charity Commission keeps part of its archive) and request, one by one, the registration documents for these new charities. We then had to go through each document by hand to pick out the charities that looked like they might be, or might become, grant-makers, and start the process of research.

The second part of this process has not varied much over the years – we still carry out detailed research on each trust, contacting trust administrators and aiming to establish who is behind the trust, what their interests are, and what they hope to do.

The Factary team moves fast on that research, and subscribers to New Trust Update (we limit the number of subscribers to 100) rely on us to be the first to hear about new grant-makers.

The result is a rich database of more than 2,500 trusts with interests in arts, rights, women, older people, animals, the environment… the whole range of charitable activity. Users of the NTU Archive can search the entire data set using combinations of codes (for example, ‘Education and Training’) and keywords, to find trusts that were created with those interests.

Users can research trustees by name. There are more than 9,000 trustees listed here, so this is a rich database on individual philanthropy – people who are concerned enough about a social or environmental issues to create a foundation or to join the board of a new foundation. Information on philanthropy in the UK – with the honourable exception of Factary Phi – is hard to find and this data, linking people to their philanthropic interests is invaluable to the non-profit sector.

Factary’s Will Whitefield emphasises that this is a record of the moment that the trust was created. ‘It’s like a birth photo of the trust. When we research the trust it is around a month or two old; so the trustees, objectives and finances are from those early days.’ But that in itself is valuable, because it allows a researcher to see who the baby was, and how it grew up.

There are plenty of examples of this. The Bernard Sunley Charitable Foundation that we reported in June 2005 topped £4m in income in March 2015, double its spend at start-up. The Schroder Foundation, reported by us in March 2005 and created with a £10 deposit, had grown to £2.2m by April 2015 – that’s 22 million percent growth if you do the maths.

But tracking less spectacular growth is also relevant. For example, a search using the keyword Africa throws up 167 trusts. Pick an early one, such as the Egmont Trust and compare it with the Charity Commission’s current record for the foundation you can see that founding trustees Clare Evans (who had worked with ActionAid in the 1990s) and Jeremy Evans are still in place, but that three others have joined (and two left) over the ten years since we reported its registration in our April 2005 edition.

In here you will find the origins of venture philanthropy and impact investment. The Private Equity Foundation – we reported on it in November 2006 – is in there as is the moment in 2013 when it merged with Impetus to form Impetus Private Equity Foundation. The Apax Foundation – we reported its registration in March 2006 – is there too.

Finally, there is all the great inventiveness of philanthropy here. There are foundations with names based on Beatles’ lyrics (“Love Is All We Need”, registered and reported in 2007), those with hopeful names (“The Making a Difference Foundation,” “Heaven Can Wait” or “The GoodFund”) and foundations from the UK’s vast pool of celebrities, from Gordan Ramsay, chef to the late Dan Maskell, tennis champion.

Factary’s new NTU Archive is an open book on the growth of organised philanthropy in the UK. For more information just get in touch with Nicola Williams.

Philanthropy in the Gulf – Reporting from Takaful 2015

Posted on by Chris

I am at Takaful 2015 in Abu Dhabi, the conference on philanthropy organised annually by the Gerhart Center, American University of Cairo. It is a fascinating insight into how philanthropy functions in societies in transition – a single frame in a long movie whose end we cannot see.

The big theme on day one of the conference was youth. Defined here as anyone under 35, youth were the focus of the keynote speech by Sheika Al Zain Al Sabah, the head of the Ministry of Youth Affairs in Kuwait. She described how the ministry is working as a lightning conductor for the views of young people in the country. It was the educated younger people of these societies in transition who led the demonstrations and protests of the Arab Spring, and Kuwait has responded by creating a Government department, led by a young member of the Royal Family, to channel their views into policy. Young people were also the focus of a presentation by Lina Hourani, Director of CSR at Al Ahly Group (http://www.csralahligroup.com/), who run 10 day training courses for young social entrepreneurs – next year they run the course at the University of Bristol.

Venture philanthropy is present in the region, and Khulood El Nawas, Chief Officer for Sustainability, Emirates Foundation (http://www.emiratesfoundation.ae/EF/en/about-us/vision-mission) described their four-stage Incubate – Pilot – Scale – Spinoff model for developing programmes. The big gap for them and other speakers was the lack of data – baseline data on young people was absent or unreliable, so measuring impact was difficult or impossible.

The traditional forms of giving are evolving rapidly in these societies, and Omar Bortolazzi of the University of Bologna (https://www.unibo.it/sitoweb/omar.bortolazzi2/cv-en) described the ways in which awqaf (endowed foundations) are changing in Muslim countries in South East Asia, where donors can give through the internet to “e-waqf” set up for a variety of charitable purposes. Dr Youcef Benyza from the University of Batna, Algeria (http://www.univ-batna.dz/index.php/en/) tackled the governance of Zakat funds. Zakat (https://en.wikipedia.org/wiki/ZakaT), the third pillar of Islam, is a form of religious giving based on income and assets such as savings that are not being circulated. In Algeria each mosque collects zakat and passes the money up to a regional zakat office, who report to a government sponsored zakat agency. The process lacks transparency (there is no auditing, and no public reporting) and as a consequence there are regular newspaper reports of corruption in the system. But there is also strong resistance to reform because the funds are regarded as sacred and thus outwith the realm of government or auditors.

I ran a workshop on building partnerships with philanthropic foundations, where we talked about some of the barriers in the region to partnering with outside agencies. In some parts of the region there is suspicion of external funding partners (from Europe or the USA) and there is also a strong sense that regional nonprofits should be raising funds in their own countries, not depending on outsiders. There are legal constraints too – sometimes not clearly defined – that make it hard for organisations here to accept financial support from external partners. But there is a real interest in sharing expertise and knowledge, so we focused on building partnerships at the technician (specialist, expert) level; nonprofits here have developed clever ways of dealing with social problems, and I am looking forward to hearing today (Thursday) about the Wataneya Society for the Development of Orphans (https://www.linkedin.com/company/wataneya-society), who developed a quality standards scheme as a way of improving the conditions for the thousands of children in Egyptian orphanages.

Trust Women

Posted on by Chris

Why so few women in UK foundations?

We’ve analysed all of the newly created grant-making trusts (foundations) registered in England and Wales since 2005 – a data set of 2,312 new grant-makers. Our findings are in a new Factary report, ‘Trust Women’, available for download here.

Key Findings:

  • Boards are not balanced – on average there is just one woman per board across all of these trusts.
  • Almost one third (29.7%) had all-men boards when they were registered.
  • Just one trust in five has women in the majority on boards.
  • And we found some evidence that trusts with women in the majority were poorer at start-up than those with men-majority boards.

Our report is based on Factary’s New Trust Update dataset (http://factary.com/what-we-do/new-trust-update/ ).

To find out more about this data, contact research@factary.com

Download ‘Trust Women’ here.