Twenty-five foundations and other philanthropic entities on Tuesday issued a call to urge organizations that house donor-advised funds to enact policies that prevent donors from earmarking grants to nonprofits that are considered hate groups and to urge supporters to demand that their DAF providers adopt such policies.

The campaign, called Hate Is Not Charitable, was the brainchild of the Amalgamated Foundation. Anna Fink, the foundation’s executive director, said it wants to change the industry standards that guide organizations that house DAFs.

"Our goal is really to build a dialogue and a coalition with donor-advised-fund providers who are willing to take this on right away and insert some accountability into the sector," said Fink. She said she was spurred to take action after seeing a news report about the millions of dollars donors are giving anonymously to hate groups through donor-advised funds.

Privacy and Anonymity

Donors give to the advised funds in part to get an immediate tax deduction on money they can give away over time, but many also like the privacy the funds offer. Unlike a private foundation. which has to file tax forms that disclose the names of its donors and the nonprofits it supports, people who give through DAFs can keep their names confidential and make anonymous grants. Read more via Chronicle of Philanthropy