Accumulations of Wealth by Nonprofits

Brief

Accumulations of Wealth by Nonprofits

Abstract

Contrary to some public perceptions, most of the wealth in the nonprofit sector is not in the hands of private foundations. It is instead held by service-providing organizations, notably hospitals and related health care organizations, together with colleges and universities. However, wealth of individual organizations varies greatly. Some colleges and universities have endowments in the billions while others have little or no permanent funds. Can there be too much wealth in the nonprofit sector and, if so, what should we do about it? This brief reports on a discussion from the sixth Emerging Issues Seminar of these issues, including current trends and mechanisms proposed to control wealth.

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