Finance professionals to spread the word on charitable giving
Howard Lake | 3 May 2003 | News
A seminar last week encouraged finance professionals to offer advice on charitable giving to wealthy clients.
According to four finance professionals from the UK and USA speaking at the event, philanthropy is the key element for financial
professionals looking to strengthen their relationship with wealth clients.
The seminar, jointly hosted by The Giving Campaign and the Institute for Philanthropy on 29 April in London, examined the role of the financial adviser in encouraging charitable giving and was attended by 50 finance professionals.
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Chaired by Lady Judge, key speakers at the event were:
- Heather Maizels (Executive Director, Barclays Private Bank)
- John Emerson (President, Capital Guardian Trust Company)
- Bente Strong (Personal Investment Counsellor, Capital Guardian Trust
Company) - Kathyrn McCarthy (Managing Director, Rockefeller & Co. Inc)
- Lord Joel Joffe (Chair, The Giving Campaign)
- Phillip Mind (HM Treasury secondee to The Giving Campaign)
Speaking of her experiences at Barclays Private Bank, Heather Maizels said: “When discussing with our clients how they would like to enjoy their wealth, we prompt them about their philanthropic interests. These discussions help us understand our clients better and enable us to build a deeper, sustained relationship with them and their families. We see philanthropy as a
strategic asset management tool in an overall wealth management strategy in
which enjoying wealth and lifetime management is key.”
During the seminar, the speakers identified the business logic of prompting
clients about their philanthropic intentions within their role as financial adviser. The business benefits of promoting charitable giving were identified as:
- Strengthens relationship with clients, consequently improving client retention (particularly amongst young affluent individuals)
- Attracts new clients, creating diversified client base
- Builds personal reputation as trusted adviser, not just a product salesman
- Boosts corporate image and CSR profile
- Incorporation of a philanthropic programme attracts employees and builds
loyalty - Attracts business from charities – management of charity assets
- Creates a more comprehensive advisory service, including relevant issues
such as the tax implications of donating to charity
According to Kathryn McCarthy (Rockefeller & Co.), 90% of financial advisers in the US raise the issue of philanthropy when discussing wealth management with their clients. However, recent research from The Giving Campaign shows that only 18% of UK-based advisers often discuss charitable giving with
their clients.
Also speaking at the event, Lord Joel Joffe, Chair of The Giving Campaign and Phillip Mind, HM Treasury on secondment to the Campaign, spoke about the culture of philanthropy in the UK and the work of The Giving Campaign in aiming to get more financial professionals involved in promoting
charitable giving.
About Howard Lake
Howard Lake is consultant editor of UK Fundraising. He founded the site in 1994 and successfully sold it in 2022. As director of Giving X Ltd he is exploring growing giving on a massive scale.
He is the founder of Fundraising Camp and co-founder of GoodJobs.