Professional advisers seeking to make philanthropy a part of their conversation with clients can benefit from partnering with specialists who can offer services and advice to inform their conversations.
We spoke with Chris Morcom, Director and Private Client Adviser at Hewison Private Wealth , who shares his experience of engaging with Australian Communities Foundation when providing philanthropic advice to his clients.
Chris has had a personal and professional interest in philanthropy for over 18 years and has helped a number of clients realise their philanthropic goals. With some clients, he has been establishing sub-funds that effectively marries their interest in social impact with their financial goals for more than 10 years.\
“Through the use of knowledge about philanthropic structures and the wider philanthropy community, advisers can assist clients to be better informed about the choices available to achieve their philanthropic goals.”
Professional advisers new to philanthropy or looking to expand their knowledge on effective giving opportunities, can begin by surveying the structures available. While traditional vehicles include the establishment of a private ancillary fund, which can be costly and requires large set-up costs, structured giving is a contemporary way of giving that allows more people to get involved in philanthropy through the creation of a named fund in a public ancillary fund.
“Australian Communities Foundation provides a tried and tested structure (the sub-fund) with professional management and trusteeship, along with the ability for clients to make a difference in perpetuity.”
Sub-funds can be created by donors as individuals, families or companies whereby the funds are pooled and ethically invested. Clients then use the funds from their sub-fund to grant and distribute both interest earned and corpus to the charitable causes that they are passionate about.
“The other attraction to using ACF is the support given to donors in relation to grant making.”
“In the end, it is the job of the professional adviser to assist their clients to achieve their life goals. Clients starting out on the philanthropic journey don’t necessarily have the expertise to select appropriate recipients for grants, nor do they have the capacity or skills to measure the success or otherwise of grants made. ACF provide this support and lend a measure of accountability to the grant making process.”
In addition to centralising administration, fund management and compliance, thus reducing costs and removing administrative burden, ACF’s team of philanthropy consultants provide guidance and advice on grant making and social impact. Donors, professional advisers and the team at ACF collectively make a unique philanthropic community of people with a shared vision of what is possible and who work together to make giving more effective.
For Chris, this is particularly important.
“The alignment of the donor’s values to the ancillary fund’s values means that donors are more likely to be engaged with the philanthropic process, and are more likely to be focussed in their grant making.”
Learn more about ACF and how we can work with you to support you client’s philanthropic journey by visiting our Professional Advisers web page.