Is it common for funders to use foundations and donor advised funds?

In our 2018 Foundation Operations and Management Report, 17% of member foundations report using donor advised funds (DAFs) in addition to their foundation giving. Of the 17% that opened one or more DAFs, most (75%) did so for a combination of reasons, including to:

Comply with foundation payout requirements 42%
Benefit from the sponsoring organization’s expertise 38
Support a community or public foundation 32
Benefit from the sponsor’s due diligence procedures 28
Set aside funds for specific funding areas 28
Set aside funds for discretionary grantmaking 28
Ensure anonymity in giving 23
Establish a named fund 21
Simplify administration for a portion of assets 17

You can learn more about how and why funders use both vehicles in these resources:

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