Once viewed primarily as a charitable obligation or a legacy-building tool for the ultra-wealthy, philanthropy is now being redefined by a new generation of donors, shifting societal needs and a growing emphasis on impact and inclusivity. As these changes unfold, philanthropy is becoming an increasingly strategic building block of comprehensive wealth management plans.
Emerging trends in South Africa
African philanthropy as a distinct and culturally rooted practice is another key trend. This includes financial donations but also the giving of time, skills and social capital. Family and community-based giving, collective solidarity mechanisms and social investments are gaining traction, reflecting a broader understanding of philanthropy as a tool for social justice and empowerment.¹
Technology is also playing a transformative role. Digital platforms, crowdfunding and AI-driven donor engagement tools make philanthropy more accessible and efficient, particularly for younger generations who value transparency and measurable impact and
are more likely to support causes through online campaigns and direct participation.²
From charity to strategic impact
There is a growing focus in South Africa on long-term impact, sustainability and systemic change. This shift is driven by a deeper understanding of the root causes of inequality, poverty and environmental degradation, and a desire to address these issues holistically. Corporate philanthropy is moving beyond traditional corporate social responsibility (CSR) models to embrace employee-driven giving and shared value initiatives. Employees are being empowered to direct charitable funds while businesses are aligning their philanthropic efforts with their core values and operations.²
Philanthropy as part of a Family Office approach
Incorporating philanthropy into a wealth management plan is no longer just about tax efficiency or legacy planning, it’s about aligning wealth with personal values and societal impact.
Grant Alexander and the team at Private Client Holdings are finding that high-net-worth individuals and families are increasingly working with wealth advisors to develop philanthropic strategies that reflect their passions and long-term goals. It is where a Family Office approach to wealth management is most valuable.
In 2025, philanthropy is no longer just about giving, it’s about investing in the future.
Some ideas to consider of how philanthropy fits into a modern wealth management plan include the following (please note the Private Client Holdings service pillars that focus on this area are highlighted in italics):
- Legacy and estate planning. Philanthropy allows individuals to leave a legacy. Trusts, donor-advised funds and charitable foundations can be structured to support causes across generations. (Private Client Trust – Fiduciary Services)
- Tax optimisation. Strategic giving can reduce estate and income taxes. In South Africa, donations to registered Public Benefit Organisations (PBOs) are tax-deductible, making philanthropy a smart financial move. (Private Client Financial – Tax Services)
- Family engagement. Philanthropy can be a powerful tool for engaging the next generation in family values and financial literacy. Many families use giving to teach responsibility, empathy and stewardship. (Private Client Wealth Management)
- Impact investing. Philanthropists are increasingly blending traditional giving with impact investing, allocating capital to ventures that generate both financial returns and positive social outcomes. (Private Client Asset Management)
- Reputation and influence. For business leaders and public figures, philanthropy enhances reputation and opens doors to influential networks and partnerships.
Looking ahead
As South Africa continues to grapple with inequality, politics, lack of education and rising unemployment, philanthropy will play a critical role in shaping a more inclusive and resilient society. The evolving landscape, marked by innovation, localisation and strategic intent, offers exciting opportunities for individuals and families to make a meaningful difference.
In 2025, philanthropy is no longer just about giving, it’s about investing in the future. And when integrated thoughtfully into a wealth management plan, it becomes a powerful expression of purpose, values and vision.
Please contact one of our PCH wealth managers.
References
[¹] Philanthropy Ecosystem in Africa: Proposals to Strengthen Localisation
[²] Philanthropy in 2025: Transformations, Challenges and Opportunities
