Clients of Schwab Charitable, a donor-advised fund provider, made upward of $1 billion in grants to 42,000 nonprofit organizations in fiscal 2015, ended June 30, an increase of 29% over the previous fiscal year.
In its first annual giving report, released Wednesday, Schwab said its clients had contributed $2 billion to their accounts in FY2015, 68% in appreciated assets and 32% in cash.
Schwab said that because many charities cannot process noncash gifts, it accepts many types of appreciated assets, among them interests in private businesses and in private equity, venture capital and hedge funds, then sells the assets and puts the cash proceeds in the donor’s account and provides contribution receipts for tax filings.
According to the report, 28% of grants went to the health and human services sector, 25% to religious groups and 16% to education.
Donors contributed a smaller percentage to social services and benefits; art, culture and humanities; environment and animals; and international and foreign affairs.