Wealth migration and global mobility reached record levels in 2024. The forecast suggests that 2025 will exceed even these new heights. But it isn’t just wealthy individuals and businesses seeking out new domiciles; we are seeing rising numbers of charitable foundations seeking out the jurisdictions that can best support their ambitions.

Amid a geopolitical landscape of constantly shifting sands, charitable foundations and endowment funds are searching for stability, security and favourable working conditions. For many, Switzerland and Singapore are increasingly attractive destinations, offering supportive and stable regulatory environments, strong wealth management industries and established non-profit ecosystems.

An estimated $2.4 trillion is currently held in foundations and Donor Advised Funds globally and circa $1 trillion of that is held within university endowments in the US. With markets on a rollercoaster, endowments and charitable foundations find themselves in an increasingly challenging environment. This is exacerbated by nervousness about potential changes in the regulatory environment in the US non-profit sector – the largest in the world – coupled with global reductions in funding for foreign aid. As a result, many are questioning not only their investment strategies, but their location, too.

Another factor we are hearing about from those we work with in the foundation space is the seemingly growing disfavour for Environmental, Social and Governance (ESG) investments in some jurisdictions. For a growing number of foundations, however, investing is no longer simply a question of maintaining and growing their asset base, but a way to increase fostering positive change through mission-aligned investing. ESG considerations and impact investing are being increasingly valued by foundations to help them expand their impact beyond grant making. So, also for those seeking to implement a more mission-aligned investment strategy, they want to look beyond their natural borders to find those ESG-friendly islands.

For some, that’s proving to be Singapore. Characterised by strong governance, political stability, a thriving financial sector and a rapidly advancing non-profit environment, it’s an increasingly attractive base. Similarly, Switzerland offers a strong reputation in financial services, a resilient economy and rigorous regulation. It also has form. With a higher concentration of charitable foundations per capita than anywhere else in the world, it is positioned as a key beneficiary of this global migration.

Over the past 20 years, the number of charitable foundations in Switzerland has risen by about 40 per cent, reflecting its appeal as a stable base for philanthropy. And it’s ahead of the trend on many of the big concerns. Of Swiss-based foundations, 57 per cent already take mission into account in their investments. Blended finance is already a hot topic, with an International Co-operation Strategy specifically encouraging collaborations between private and government funding. To top it off, the Swiss financial services industry has vast experience of managing global portfolios – more, perhaps, than any other country, and over a longer period.

But regardless of where the foundation is domiciled, the right manager remains crucial. Whether set up in perpetuity or with a sunset on the horizon, access to endowment expertise with a long-term approach can be especially valuable. Knowledge of private assets can also be an advantage, reflecting the fact that most impact strategies are found in the private asset universe. Along with this, an impeccable reputation, minimal or no external shareholder considerations, an open architecture model and a proven track record – particularly in private markets – should all be on the shopping list.

But investing with genuinely long-term horizons, as many foundations and endowments do, isn’t just about market knowledge; it requires a genuine understanding of the unique needs and drivers of these purpose-driven entities. The most secure locations for foundations and charities will be territories that show commitment to preserving their charitable status and offering them the real freedom to pursue their goals.

In a world where geopolitical uncertainty, tensions and government spending cuts have become daily news, charities and foundations around the world are struggling to take up the slack. Finding jurisdictions that offer the right conditions for their free and effective operation is a fundamental requirement, now more than ever.