Charitable giving can make a person focus on their broader financial strategies, according to an academic.
“I do think charitable giving can be sort of this gateway into longer-term financial planning because it can often be a way to realize what you have and what you have to give from,” Elizabeth Dale, an associate professor at the University of Seattle said last month during UBS’ Own Your Worth Women’s Forum.
Dale noted that charitable giving is often treated like a purchase decision, not a long-term financial decision.
Additionally, only 5% of Americans make any kind of estate or legacy gift, or a bequest of any sort, according to Dale.
“There’s a huge opportunity there to give at the end of life as well as during someone’s life,” she said during a discussion with Paula Polito, vice chairwoman of global wealth management at UBS.
Earlier this month, UBS released its “Own Your Worth: Women on Purpose” report, which surveyed 1,400 women investors between January 24 and February 7. Of the women surveyed, those aged between 25 and 30 had at least $250,000 in investable assets; those aged 31 to 39 had at least $500,000 and those 40 and older had at least $1 million in investable assets.
The Covid-19 pandemic impacted how the women surveyed by UBS regard their investments. Some 82% of the respondents said that they have reassessed what is important to them over the last two years and 68% said they are more committed to using their financial resources to impact change.
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