"...In particular, there are some surprising findings:
- Changes in total philanthropy are not directly correlated to changes in the stock market. Total philanthropy appears to weather storms in the stock market with great resiliency and less dramatic fluctuation.
- There has been only one year in the past 27 in which philanthropy has dropped from one year to the next (1987), and it was only a modest drop. Otherwise, philanthropy has increased from one year to the next, even during years in which the market has dropped (see Table 2).
- Even during the worst decline in the stock market (in 2002, when the Dow Jones Average decreased 17 percent and the S&P 500 Index dropped 23 percent), philanthropy increased by 1 percent
What does this all mean? Philanthropy remains strong and resilient during declining economic periods. While it is clear that a strong stock market provides donors with a greater ease and sense of confidence in making gifts to nonprofit organizations, the opposite is not true. Down markets do not always foretell decreased philanthropy.
We owe a big thank you to those wise heads who asked for this work to begin after the 9-11 catastrophe."
Also, I got an email from a fundraising director who wants to remain anonymous about what he is experiencing in Australia:
- Monthly regular giving income has increased by over 10% in five months
- Upgrade by telephone uptake currently over 50% (up from 40-43%)
- 3rd Quarter 2008 one of our best ever for face to face.
I want to add a disclaimer: Australia is not hit as bad as North America and Europe (yet?) but it is all on the news there as well, and our Government is doing a $10bn bailout too; people are worried!
Charities - please send stuff like this to me, and agencies - send me your data too, hundreds of people are visiting this blog every day and I will make sure you get a link and credit! Anonymous data is welcome, just get it to me. (Please note I queue up blogs so they don't all come out at the same time!)