Wealthy altruism in Asia may overshadow untapped personal resources: AVPN

Wealthy altruism in Asia may overshadow untapped personal resources: AVPN

In the vibrant city-state of Singapore, philanthropy is taking a significant leap forward. With a private wealth of US$1.2 trillion in 2023, much of which remains untapped for giving, the potential for charitable impact is immense [1].

To harness this wealth, Singapore is not only attracting billionaire philanthropists like the Gates Foundation and individuals such as Ray Dalio, Low Tuck Kwong, and Eduardo Saverin, but also establishing itself as a hub for strategic and impactful giving [2].

One of the key drivers of this transformation is the rise of institutionalised philanthropy. Entities like Temasek’s $324 billion philanthropy advisory unit, TT Foundation Advisors (TTFA), are administering targeted funds, such as the India Castor Farming Fund, with sizable anchor donations [1]. This strategic approach helps scale philanthropy beyond ad-hoc giving by billionaires and enables focused impact investments internationally.

To mobilize funding from first-time givers and expand the donor base, educational and networking platforms like TIGER 21 offer confidential learning environments for ultra-high-net-worth individuals (UHNWIs) and philanthropists [3]. These networks create trusted platforms that educate and encourage new donors on how to steward wealth for philanthropic impact, effectively nurturing a culture of giving among emerging philanthropists and multi-generational families.

A prime example of this approach is ImpactCollab, a platform that currently features over 400 impact organizations from across Asia, including Singapore [4]. Backed by Singapore's central bank and the Gates Foundation, ImpactCollab will provide private bankers and wealth managers with a curated pool of verified impact organizations [5]. The platform aims to target 5,000 relationship managers in Singapore's private banking industry and has already onboarded Citi Private Bank and LGT Private Banking [6].

Organizations on the ImpactCollab platform will have to disclose the impact of their work against standardized metrics and governance indicators, ensuring transparency and accountability [7]. Due diligence will be conducted on the organizations included in the platform, and AVPN will be sharing more about its efforts to curb impact-washing in the coming months [8].

As the attractiveness of Singapore as a haven for the ultra-rich wanes, with Thailand emerging as a rival safe haven [2], the city-state is doubling down on its philanthropic efforts. The development of the world's first international guidelines by the International Organisation for Standardisation (ISO) and United Nations Development Programme (UNDP) to help organizations embed sustainable development principles into their core business operations will further strengthen Singapore's position as a leader in strategic philanthropy [9].

In summary, Singapore’s philanthropic landscape leverages both large institutional vehicles managing billion-dollar endowments efficiently to increase overall charitable impact [1] and educational and networking platforms, such as TIGER 21, to engage and mobilize first-time and less experienced givers by imparting knowledge and best practices around philanthropy [3]. This dual approach fosters a sustainable ecosystem where billionaire-driven philanthropy grows while encouraging broader participation in charitable giving in Singapore.

[1] Temasek’s $324 billion philanthropy advisory unit, TT Foundation Advisors (TTFA), administering targeted funds with sizable anchor donations. [2] Thailand is emerging as a rival safe haven for the ultra-rich, with Singapore’s attractiveness waning. [3] TIGER 21 offers confidential learning environments for ultra-high-net-worth individuals (UHNWIs) and philanthropists, emphasizing peer learning on philanthropy, investment, legacy, and succession planning. [4] ImpactCollab currently features over 400 impact organizations from across Asia, starting with Singapore, Malaysia, Indonesia, Thailand, Philippines, India, and China. [5] ImpactCollab, backed by Singapore's central bank and the Gates Foundation, will provide private bankers and wealth managers with a curated pool of verified impact organizations. [6] Citi Private Bank and LGT Private Banking have already been onboarded onto the ImpactCollab platform. [7] Organizations on the ImpactCollab platform will have to disclose the impact of their work against standardized metrics and governance indicators. [8] AVPN will be sharing more about its efforts to curb impact-washing in the coming months. [9] The ISO and UNDP are developing the world's first international guidelines to help organizations embed sustainable development principles into their core business operations.

1. Singapore's strategic philanthropy initiatives, such as the TT Foundation Advisors (TTFA) and educational platforms like TIGER 21, are attracting not only billionaire philanthropists but also encouraging general news and lifestyle discussions about corporate responsibility and business ethics.
2. The rise of technology in Singapore's philanthropic landscape, spearheaded by platforms like ImpactCollab, is revolutionizing finance by providing avenues for technology-driven impact investments, thereby altering the landscape of sports and entertainment sponsorships.
3. The development of the world's first international guidelines for sustainable development by the ISO and UNDP underscores Singapore's commitment to education-and-self-development, leading to a ripple effect in corporate responsibility practices across industries.
4. With wealth management firms like Citi Private Bank and LGT Private Banking joining ImpactCollab, the platform is poised to influence the financial strategies of ultra-high-net-worth individuals (UHNWIs), redefining the future of sports sponsorships and corporate partnerships.

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