Philanthropy Must Choose Courage Over Caution |
For generations, philanthropy has been a stabilizing force in moments of civic strain, moving resources where markets and government fall short—funding civil rights litigation when equality was contested, backing HIV/AIDS research and advocacy when public response lagged, and supporting recovery efforts after disasters like Hurricane Katrina.
Today, as the United States enters another volatile election cycle and democratic institutions face renewed pressure, that role is being tested in real time.
Experts warn that authoritarianism is on the rise. Voting access is contested. Local election officials and community leaders face growing threats and political targeting. Nonprofits and advocacy groups are navigating increased scrutiny and legal risk.
And precisely when it is most needed, philanthropy is failing to meet the moment—not because it lacks money, but because it lacks courage.
Philanthropy commands over $1 trillion in assets in the U.S. alone, yet distributes just above the 5% legal minimum each year. At the same time, most funding remains restricted and risk-averse, with nearly 70% of nonprofits reporting that funders avoid bold or flexible investments. And all this at a time when, according to a recent report from the Center for Effective Philanthropy, 69% of nonprofits have reported funding cuts while 65% report increased demand for their services.
Even as needs mount, the philanthropy sector behaves as if the greatest risk is to itself, while our communities and our democracy shoulder the........