A storm is brewing in the world of philanthropy as wealthy donors tread carefully in the face of political tension.
With President Donald Trump targeting Harvard University and scrutinizing nonprofits, many big-name donors are pulling back or choosing to give quietly.
Harvard found itself in the spotlight after refusing a Trump administration demand to audit its student body for “viewpoint diversity.”
The White House responded by freezing $2 billion in federal funding. In response, Harvard received a wave of small donations—nearly 4,000 gifts totaling $1.1 million—but so far, major donors have stayed on the sidelines.
Behind the scenes, nonprofits are facing a financial squeeze. Trump’s cuts to foreign aid and federal research funding have hit the sector hard.
Many organizations are ramping up fundraising efforts, warning that the future of free speech and nonprofit independence is at risk.
But donors, especially ultra-wealthy philanthropists, are wary. Some fear public backlash. Others support the administration’s criticisms that nonprofits have become too political.
Advisors say many are still figuring out how to respond.
“There’s a feeling of urgency,” said BJ Goergen Maloney of J.P. Morgan Private Bank. “But it’s also a moment of caution.”
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Some donors are quietly stepping up. Foundations like the Kenneth Rainin Foundation are giving more but doing so discreetly to avoid political trouble. Others have joined public pledges to protect charitable giving and free speech, including one signed by over 500 foundations.
Still, giving has slowed. Unlike grassroots donors, major philanthropists often need months to finalize agreements.
Experts say the climate is “unprecedented,” with funders weighing how to make the biggest impact without risking their reputations—or their foundations’ futures.
As Jordana Barrack of the Mighty Arrow Foundation put it, “We can’t save everyone. The hard part is deciding who we can help, and how fast.”
