Generosity growing around the globe

The value of large charitable donations around the world increased significantly in 2013 compared to 2012, demonstrating that major philanthropy is thriving and growing.

So finds the 2014 Coutts International Million Dollar Donors Report, for which the Indiana University Lilly Family School of Philanthropy conducted the U.S.-based research.

The study, which analyzed 2013 donations, added Singapore to the list of countries studied the previous year: the United States; the United Kingdom; Russia; China; Hong Kong; and members of the Gulf Cooperation Council—Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates.

The report tracked $26.3 billion in donations of $1 million or more, up from $19.04 billion identified in the 2012 study. The dollar amount increased in all six regions previously considered.

“The fact that both the total number of gifts of a million dollars or more and the total dollar amount went up across the board is very encouraging, given that not all economies are increasing at the same rate,” said Patrick M. Rooney, associate dean of the school.

Mark Evans, managing director of the Coutts Institute, said, “Our second international report celebrates the growth of major philanthropy across the world. It’s great to see more million dollar donors talking about their work and sharing their passion for making a difference.

“Not only does the report highlight the diverse approaches to strategic giving, it also identifies the causes and communities where million dollar donors are making the biggest impact. Most important, this showcases new opportunities for donors, charities and government to collaborate even more effectively.”

The authors say region-to-region comparisons are inappropriate  but comparisons of a specific region’s giving in 2012 and 2013 shows an increase in generosity, Rooney said.

This is the second Coutts study to track charitable gifts of $1 million or more made around the world. The 2012 study was the first effort to compile information about large, publicly announced gifts made by people and institutions from countries other than the United States and the United Kingdom. The studies build on the Million Dollar List, which the school has published since 1999, and on the Million Pound Donor Report, which Coutts Institute has published since 2008.

A noteworthy finding, Rooney said, is that the same five recipient groups were favored by domestic and global donors. Globally, higher education was by far the most popular recipient. Foundations were second, overseas third, public and societal benefit fourth and health fifth. U.S. donors chose the same top five recipients, though foundations and overseas flipped positions.

In the United States, the total value of donations rose 21 percent—from $13.96 billion in 2012 to $16.92 billion in 2013—to their highest level since 2008. But the number of large gifts declined 17 percent—from 1,408 in 2012 to 1,173 in 2013. The decline in the number of million dollar gifts may suggest that some donors are still nervous about the economy, Rooney said.

The average gift rose from slightly more than $10 million to slightly more than $14 million but the median stayed constant.

“What that says is that the typical million-dollar donor is behaving one way, but the gifts on the high end have become much larger,” Rooney said. “That suggests the economy is recovering and the very largest donors are both more confident in their financial circumstances and confident in the nonprofit sector—and they’re willing to support it.”

The various reports are included.