Second edition: The Philanthropic Experience of Wealthy People in Italy

Fondo Filantropico Italiano has carried out, in collaboration with FINER Finance Explorer, the second edition of the research “The Philanthropic Experience of Wealthy People in Italy”, which delves into the philanthropic attitudes of the wealthiest individuals in the country. The research expanded on aspects from the first edition, published in 2022 by Fondazione Italia Sociale, involving nearly 1,400 respondents with financial assets ranging from €500,000 to €10 million.

In the second edition of the research by Fondo Filantropico Italiano a low tendency to donate in Italy is confirmed: only 5% of the wealthiest individuals donate more than €100,000. On the other hand, the proactive role of banks and asset managers is on the rise.

While all respondents have donated to at least one organization, donations remain low in relation to wealth. The untapped potential of the wealthiest individuals is even more evident when analyzing the median donation relative to their assets: in no wealth bracket do median donations exceed 1% of the total financial assets. Donations to organizations - focused on international cooperation, healthcare, elderly care and the environment - have increased, while culture and sports are at the bottom of the list (7%).

As for motivations, they are mostly linked to personal and emotional factors. However, the number of those turning to experts, particularly regarding estate planning, writing wills, and smart philanthropy, has grown. Compared to their international counterparts, Italians seem less familiar with widely used philanthropic tools abroad. The trust is the most known instrument among Italian donors, but only 45% are familiar with it or intend to use it in the future. Family foundations are more known among individuals with assets between €500,000 and €1 million (75%), especially used by entrepreneurs (17%). Very few people are aware of Donor-Advised Funds (DAF) or use them.

The research was presented at Deloitte Greenhouse in Milan, on Thursday June 15, 2023, during the event “The Philanthropic Attitudes of Wealthy People in Italy: New Challenges and Opportunities for the Wealth Management Sector.” During two roundtables, important guests from private banking and the business world discussed philanthropy and the opportunities that wealth management professionals must be ready to seize to contribute to the sector’s future development.