B-Corporation

B Corps are for-profit companies certified by the non-profit B Lab to meet rigorous standards of social and environmental performance, accountability and transparency.

Bequest

A sum of money made available upon the donor’s death by provision in their will. Many people leave bequests to charities. Many charitable foundations in Australia have been established by Bequest.

Corpus

The original gift and ongoing principal that forms the asset base from which a foundation operates.

DGR: Deductible Gift Recipient

A Deductible Gift Recipient (DGR) is a fund or organisation that can receive tax deductible gifts. The deduction is claimed by the person or organisation that makes the gift. There are a limited number of categories or types of DGRs. There are requirements set by the ATO to be endorsed as a DGR.

Ethical investment

An investment policy that specialises in environmental and socially responsible investment, and is informed by shared commitment to improve the ethics of corporate Australia and promote ecologically sustainable and socially just enterprises through judicious investment.

Foundation

Foundation in philanthropic terms is usually used to refer to a trust designed to make grants to charities.

Impact

The longer-term, deeper change resulting from outcomes.

Impact

Investing Impact Investing refers to investments made based on the practice of assessing not only the financial return on investment, but also the social and environmental impacts of the investment that happen in the course of the operations of the business and the consumption of the product or service that the business creates. An impact investor seeks to enhance social structure or environmental health as well as achieve financial returns.

Non-discretionary funds

Funds given to support a particular organisation selected by the donor at the time of the gift.

Not-for-profit/non-profit

A not-for-profit organisation is an organisation whose primary objective is something other than the generation of profit, and which does not distribute any profit to the organisation’s members. A not-for-profit organisation may have a ‘profit’ – or surplus – left over after operating costs, but whereas a for-profit business would distribute that profit to its owners, shareholders or members, a not-for-profit must use the surplus to further the purpose of the organisation and its activities.

PAF: Private Ancillary Fund

A Private Ancillary Fund is a legal structure that is often used by families, individuals or companies to establish grant-making foundations. A PAF must only make grants and is not permitted to carry out charitable programs.