Endowments, or Endowments, they are financial instruments whose purpose is to guarantee the financial sustainability of non-profit organizations – through the returns on invested resources, originating from donations, – and thus promote long-term impact.
Leveraging the experience and purpose of Sitawi – which has already mobilized more than R$1,400 million for more than 2,000 organizations – a partnership was signed with a OGFP (compliant with law 13,800) to manage Endowments for multiple causes, the Endowments of Brazil. We aim to make life easier for those who want to create a Equity Fund, without having to create one new CNPJ just for that. This is a innovative approach, which enables organizations to operate Endowments in a common infrastructure, with a logic similar to that of a “co-working”.
We have separated some frequently asked questions to answer your questions about Endowments. Check it out:
Are Endowment Funds a model regulated by law?
A: Yes. Although this model already existed in Brazil since the mid-1950s, in 2019 the Law 13.800 regulated the Endowments as instruments for raising of private resources by entities and created governance parameters for management institutions.
Who can structure an Endowment Fund?
A: The Endowments are typically structured by philanthropic families and private institutions who want donate resources to generate long-term positive social and/or environmental impact for one (or more) cause(s) and by non-profit organizations that perpetuate their work and legacy.
What are the advantages of this model?
A: Some of the advantages of having our expertise in this model are: simplicity to create a Heritage Fund, independent structure and governance in compliance with law 13,800, transparency recognized in processes and reduced costs when compared to creating a dedicated organization (which allows the creation of Endowments from virtually any value).
Why choose the Sitawi + Endowments do Brasil partnership?
A: A Sitawi is a pioneering organization in the development of innovative financial solutions, recognized for its credibility and transparency. Since 2008, we have mobilized over R$1.4T300 million for positive socio-environmental impact and we continue on the journey of expanding the paths of capital for causes and organizations committed to this purpose. The Endowments of Brazil the first Multi-cause Heritage Fund Management Organization in Brazil and it is fully compliant with Law 13,800.
Want to know even more? Access: https://info.sitawi.net/sitawi-fundos-patrimoniais
