Private banks that wish to be their clients’ advisor of choice, rather than a broker, need to be able to serve their needs holistically. This includes handling demand for charitable giving, BNP Paribas Wealth Management’s Asia head of philanthropy services Mae Anderson told Global Private Banker.
Asia’s rapid wealth growth parallels the increasing desire in the region to give back for charitable causes. In Singapore, a report released in January 2026 by the Commissioner of Charities Releases said that SGD3.68 billion in donations were raised in 2024, up 3.4% year-on-year. Separately, a survey by the Hong Kong Institute for Monetary and Financial Research found that family offices in the rival Asian hub are projected to increase philanthropic participation from 45% to 64%, and impact investing from 30% to 43%.
In response, private banks in the region are rapidly rolling out their own offerings to meet demand, including BNP Paribas Wealth Management which launched its donor-advised fund (DAF) platform, called Bridge Foundation, in February to support Asian entrepreneurs, high net worth individuals (HNWI), and family offices.
DAF: Superior cost, flexibility, and tax efficiency
Despite the demand, engaging in philanthropy can be a difficult and costly process. Foundations have a lengthy process to set up with high costs, administrative burdens, and the need to apply for tax deductions. For charitable trusts, administrative work may be delegated to a trustee but the costs tend to be even higher and the vehicle is inflexible for those who may later seek to change conditions such as beneficiaries, payouts, or intentions.
According to Mae Anderson, head of philanthropy services, Asia, at BNP Paribas Wealth Management, DAFs resolve these issues with lower costs, greater flexibility, and high tax efficiency as there is upfront deduction in jurisdictions like Singapore.
“DAFs are very common in the West, especially in the US, but they are still quite nascent in Asia. Generally, philanthropy is relatively new in the region as a lot of wealth is still tied with businesses and also because of lower awareness. For example, there is still no philanthropy course in universities and it is very hard to find an expert in this field,” she explained in an interview with Global Private Banker.
“At BNP Paribas Wealth Management, there’s no fees associated and we don’t require clients to have any minimum assets with the DAF account or minimum donations.”
Upstream funding
The French private bank’s DAF platform has already received initial commitments from family offices and entrepreneurial clients since inception and Anderson is seeing a number of trends emerge in terms of the type of giving, such as is increased interest in funding upstream, which contrasts with previously capitalistic approaches that seek a return on donations.
“Now, there is more willingness in providing capital for capacity building or even first-loss capital. This could be in areas like upskilling workers or funding for research,” Anderson said. “It’s like the saying about teaching a man to fish instead of giving him a fish.”
Not always altruistic
Beyond doing good, Anderson notes that “not all giving come from pure altruism” with some focused on pragmatism in the modern era, where businesses face various sorts of pressure, including evaluation metrics based on environmental, social, or governance-related factors.
“If you are a shipping tycoon with a high carbon footprint, you can’t just change your model overnight. That will cause issues like job losses or supply chain disruptions. One way you can offset this more smoothly is through philanthropy. You could donate to a clean water programme or marine biodiversity research,” she commented.
Advisor versus broker
While Bridge Foundation does not directly generate income for the bank, Anderson notes that it is a critical component to deliver a compelling proposition for HNWIs.
“For private banks, having a serious philanthropy offering is a must,” she concluded.
“It is no longer enough just to provide a product to a client, especially because of the parity in the access to information and high sophistication amongst clients, some of which are or have hired former bankers. Instead, having a deep understanding of client needs and being able to operationalise their intentions into impact is key. Whether or not you can develop such a relationship determines if you are a trusted advisor or just a broker.”
