Dear John,

Environmental, social and governance (ESG) is a growing movement designed to pressure businesses and investors to pursue larger social goals including philanthropy.

ESG advocates argue that greater corporate philanthropy will increase public awareness of non-profit organizations and encourage donations of money and time.

But a new essay published by the Fraser Institute today explains how research suggests the opposite — that people chose to give less money to non-profits with corporate sponsors.

Basically, corporate donations may replace, rather than add to, donations by individuals because people often chose to support other non-profit organizations not supported by corporations. So the overall effect of corporate giving could actually be a net loss for non-profits.

Read the full essay here, and please help us spread the word by sharing it with your friends and colleagues!

Sincerely,

Niels Veldhuis
President
The Fraser Institute