Philanthropy: The Art of Giving

Philanthropy is not a new phenomenon: constructs like noblesse oblige in Western culture and Ubuntu in African culture are embedded throughout the world and can be summed up with the words “to whom much is given, much is required.”

The word Philanthropy itself is derived from the Greek terms, ‘philos’, meaning love and ‘anthropos’, meaning man or humanity. The terms philanthropy and charity are often used interchangeably, and while philanthropy does involve charitable behaviour, and charity is by definition philanthropic, the two can be differentiated as follows:

• Charity is more often than not, ad hoc, and involves making donations focused on relief or social welfare where no return of capital is expected. Charity will always play an important role in society, but the challenge of achieving sustainability remains.  
• Philanthropy seeks to maximise long-term social impact through the effective use of resources. It is solutions-driven and requires careful consideration and research on the part of the donor into areas of impact and social development.

When it comes to philanthropy, the range of motivating factors is broad, but the end result is a commitment to giving away a portion of one’s wealth in support of a particular cause, led by the desire play an active role in engendering social change.

Creating a lasting legacy

Social change can take generations to achieve, and for many wealthy individuals, philanthropy by its very nature involves the creation of a legacy. This not only affords them the opportunity to make change happen now, but also be involved in shaping the future of society for generations to come.

However, philanthropy can be unsuccessful unless you have the right structures in place to support the financial resources as well as the intent. Too often individuals or families have a vision, but financially, they do not know where to start to make that vision real.

While the reasons behind giving may seem straightforward, getting it right can prove more complex, and effective giving can elude even the most well-intentioned donor. It is therefore important to identify one’s motivations, expectations and goals as a donor and then determine the most effective way to meet them.

The best way to achieve this is with the help of a trusted advisor who will work with you to create a tailor-made strategy that is practical, feasible in implementation and designed to meet your specific objectives.

Making a positive impact

At Standard Bank Wealth and Investment, we are committed to making a positive impact on society, in line with our Group purpose: Africa is our home; we drive her growth. As part of our core Philanthropic offering, we provide a range of services, from endowment modelling and fund management to beneficiary selection and due diligence.

We have years of experience working with clients and good causes, many of which require Trusts, Foundations or companies to be established to assist in meeting their objectives. These range from straightforward single entities to more complex structures, including entities established across multiple jurisdictions.

Our financial services include bank account management, specialised lending where appropriate, cash flow modelling and investment management. Our Trust and Fiduciary specialists provide all set-up and ongoing administration of Foundations, and the provision of a professional trustee.

Be a catalyst for change

Whatever your objectives may be – from setting up a charitable trust or foundation to participating in collaborative philanthropy or donating to a specific cause, our experienced team will help you to realise your vision for giving.

After all, as Nelson Mandela once said, “What counts in life is not the mere fact that we have lived. It is what difference we have made to the lives of others that will determine the significance of the life we lead.”

For more information about the solutions we offer, please contact your Relationship Manager.