Subscribe to Enough Wealth. Copyright 2006-2008
The ups and downs of trying to accumulate a seven-figure net worth on a five-figure salary, loose weight, get fit, do a post-grad course and launch a financial planning business - while working full-time.
Saturday 27 December 2008
How Efficient is your favourite Charity?
An interesting article that points out the relatively high salaries paid to executives at some not-for-profit charitable organisations, the under-reporting of how much of the money raised by charities is consumed by fund-raising and administration costs, and how some charities have large pools of donated funds sitting in investments (that have done poorly this year). It appears that some charities are mostly concerned with justifying their continued existence, gaining "market share", and "empire building". While investing a small percentage of the funds raised makes sense in order to be able to maintain a consistent level of expenditure when income fluctuates from year to year, accumulating a large investment portfolio should not be the main aim of any charitable organisation.
Subscribe to:
Post Comments (Atom)
1 comment:
Charities shouldn't be invested too heavily in the market. They should be much more conservative with their funds.
Post a Comment