Funding Nonprofit Endowments: Foundation Perspectives and Practices - Center for Effective Philanthropy
Traditionally, endowment funding has been received by wealthy and well-established nonprofit institutions. This can often be in recognition of a donor’s relationship with an organization — for example, an alumnus and an institution of higher education.1 Recent advocacy by Bridgespan2 and others in the philanthropic space3 highlights ways for foundations to give to nonprofit endowments as part of an equity advancement strategy. This advocacy also recognizes endowments as opportunities to build financial stability for nonprofit organizations, especially for those that may not have been endowment candidates in the past. Through research, we at the Center for Effective Philanthropy (CEP) aim to gain a better understanding of how common it is for foundations to support nonprofit endowments, how decisions about endowment grantmaking are made, and what implications there may be for advancing equity through this type of grantmaking.
