By this time, even those of us living in relatively remote areas know of the conflicts and crises around the world. The war in Ukraine has set off a cascade of events that is now reaching thousands of miles beyond that part of Europe. It is leading not only to the tragic death of thousands, it has also caused energy shortages and food insecurity around the world.
One of many lessons to take away from all that has happened is how very connected we have become on this little floating planet we call Earth. The doctrine of the Body of Christ, and our abiding connectedness to each other, shines through even more clearly at a time like this!
One other effect of this cascade has been the triggering of investment and financial crises around the world, too. In the United States alone, the stock markets have not seen a drop in value like this in over 50 years!
HOWEVER, just because foundations and other funders might be seeing a dramatic drop in their investment accounts, that does not necessarily mean they stop making grants or even that they make fewer grants.
Why is this?
Because most foundations and other charitable fiduciaries operate by what is known as “the prudent investor rule”. They choose a fixed percentage of their assets, usually 4 or 5%, to distribute in grants each year. This “prudent” approach means that 4 or 5% may be less than their investments make in a given year, but it also means that they are still able to donate 4 or 5% when their investments make less in other years, like now!
So, keep the focus on your needs, which might even increase at a time like this, and continue to submit grant applications where you can. Continued regards and best wishes!