They say charity is a virtue, but sometimes it’s a little more complicated. The donor advised fund or DAF, has been a financial instrument for charitable giving in the United States for nearly a century – it’s a useful tool for wealthy individuals to make philanthropic donations. But as the inequality gap continues to expand in this country, the DAF has come under increased scrutiny as people push for transparency within the moneyed class. In 2018 the New York Times published a piece asserting that donor advised funds are being exploited by high net worth individuals as a way to shelter them from capital gains taxes. And more recently, this week’s guest on Sea Change Radio, Alex Kotch, wrote a piece for Optout and The New Republic examining the role of DAF fiduciary sponsors, particularly big investment firms like Fidelity, Vanguard, and Schwab. We discuss this article, learn more about DAFs, and explore the question of who should be held accountable when a donor advised fund facilitates donations to red-flagged hate groups.

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