Collaborative funds represent a dynamic and growing force in philanthropy. They are a philanthropic space that brings together diverse stakeholders to address systemic challenges. Unlike traditional funding models, collaborative funds leverage collective power not only to scale impact, but also to multiply opportunities for shared learning, reflection, and strategy development. By uniting diverse donors, practitioners, and communities, these funds foster a deeper understanding of complex social issues while driving lasting change in the most needed communities.

Research from The Bridgespan Group published earlier this year highlights that collaborative funds are active globally and these groups are tackling a wide range of issues. Collaborative funds are garnering increased media attention for their transformative impact, innovative strategies, and focus on equity. Here are six key insights into their growing influence, including notable news stories from this year:

    1. Driving Systemic Change Collaborative funds tackle root causes rather than symptoms. For instance, the AAPI Civic Engagement Fund mobilizes resources to build political power and voter engagement within the Asian American and Pacific Islander community. The fund focuses on a three-pronged approach: grantmaking, capacity-building, and research to fund local groups that are closest to the AAPI community and get them out to vote!
    2. Fostering Diversity, Equity, and Inclusion Many collaborative funds prioritize equity in their grantmaking. The Foundation for Black Communities, for example, made historic investments in 2024 to address systemic inequities in Canada. This year, they announced a $9.1 million investment in 107 Black-led organizations. These funds ensure marginalized communities have access to resources and decision-making power.
    3. Leveraging Collective Resources Collaborative funds pool resources from multiple donors to maximize impact. As noted by Ms. Magazine in their recent collection, Feminist Philanthropy is Essential to Democracy, feminist philanthropic funds have successfully aggregated resources to support gender equity initiatives globally. This series includes examples of how to mobilize at the intersection of gender and democracy. Collaborative funds featured for their powerful work include: Black Feminist Fund, Co-Impact, The Collaborative for Gender + Reproductive Equity, Equality Fund, Grantmakers for Girls of Color, Hive Fund for Climate and Gender Justice, One for Democracy, and Valiente Fund.
    4. Encouraging Participatory Philanthropy Participatory approaches are central to collaborative funds. The Financial Times reported how collaborative funds prioritize participatory processes that amplify the voices of those most impacted by systemic inequities. This shared decision making model ensures an increase in trust, transparency, and effectiveness in grantmaking by shifting power by shifting power dynamics to better align with community priorities.  
    5. Catalyzing Innovation Collaborative funds push the boundaries of traditional philanthropy by embracing innovative strategies. Whether it’s funding grassroots movements or addressing climate justice, these funds adapt to emerging challenges with agility and creativity. The Associated Press’ mention of the Black Freedom Fund amidst the controversy of the Fearless Fund lawsuit highlights how grantees and community members are involved in decision-making, and make necessary pivots to ensure funds address real needs and invite all stakeholders, especially in the face of adversity.
    6. Call for Sustainability Collaborative philanthropy is changing to make a bigger impact by bringing funders together to share resources, make decisions faster, and lighten the load on grantees. Doug Galen, CEO of Rippleworks, highlights the need for funders of collaboratives to think beyond short-term funding and focus on building sustainable, long-term strategies. By working together, funders can respond more effectively to real community needs and tackle tough global challenges in ways that are more flexible, inclusive, and impactful.

Collaborative funds embody the future of philanthropy because of their unique approach of bringing multiple donor types together. By uniting donors, communities, and organizations, they harness collective expertise and resources to tackle the most pressing issues of our time. This model not only amplifies impact but also redefines the role of philanthropy as a tool for systemic transformation.