Unfortunately, I don’t know the identity of the anonymous donor myself, so I can’t speak to their plans for 2020 and beyond.
The most relevant question might be: if EA Grants is going to collapse into EA Funds, what would that mean in terms of funding needs for EA Funds? EA Funds grew something like 30% last year. From 2018-2019, Funds grew by $1.3M (and growth was concentrated in the Meta, Long Term Future, and Animal Welfare Funds, all of which make grants to individuals). If this growth rate remained steady through 2020, we would expect the ‘funding gap’ created by EA Grants (at the historical level of Grants funding, under $1M per year) to be covered by organic growth in EA Funds. However, if the number of strong grant opportunities also continues to increase, organic growth could still leave a similar proportion of strong opportunities going unfunded. In that case, I’d encourage Fund teams to make that known and fundraise accordingly. Of course, it’s hard to predict how much the size of the total pool of opportunities will increase in 2020 and beyond.
My strong prior (which it sounds like you disagree with), is that we should generally expect funding needs to increase over time. If that’s true, then EA Funds would need to grow by more than enough to offset EA Grants in order to keep pace with needs. More reliance on EA Funds would shift the mix of funding too: for instance, relatively more funding going to established organizations (which EA Grants doesn’t fund) and no natural source of funding for individuals working on Global Poverty (as that fund doesn’t grant to individuals).
I agree it would be helpful for Fund management teams to explicitly make it known if they think there are a lot of strong opportunities going unfunded. Similarly, if Fund managers think they have limited opportunities to make strong grants with additional funds, it would be good to know that too. I’ve been operating on the assumption that the funds all believe they have room for more funding; if that’s not the case, seems like an important thing to share.
Unfortunately, I don’t know the identity of the anonymous donor myself, so I can’t speak to their plans for 2020 and beyond.
The most relevant question might be: if EA Grants is going to collapse into EA Funds, what would that mean in terms of funding needs for EA Funds? EA Funds grew something like 30% last year. From 2018-2019, Funds grew by $1.3M (and growth was concentrated in the Meta, Long Term Future, and Animal Welfare Funds, all of which make grants to individuals). If this growth rate remained steady through 2020, we would expect the ‘funding gap’ created by EA Grants (at the historical level of Grants funding, under $1M per year) to be covered by organic growth in EA Funds. However, if the number of strong grant opportunities also continues to increase, organic growth could still leave a similar proportion of strong opportunities going unfunded. In that case, I’d encourage Fund teams to make that known and fundraise accordingly. Of course, it’s hard to predict how much the size of the total pool of opportunities will increase in 2020 and beyond.
Thanks Nicole!
My strong prior (which it sounds like you disagree with), is that we should generally expect funding needs to increase over time. If that’s true, then EA Funds would need to grow by more than enough to offset EA Grants in order to keep pace with needs. More reliance on EA Funds would shift the mix of funding too: for instance, relatively more funding going to established organizations (which EA Grants doesn’t fund) and no natural source of funding for individuals working on Global Poverty (as that fund doesn’t grant to individuals).
I agree it would be helpful for Fund management teams to explicitly make it known if they think there are a lot of strong opportunities going unfunded. Similarly, if Fund managers think they have limited opportunities to make strong grants with additional funds, it would be good to know that too. I’ve been operating on the assumption that the funds all believe they have room for more funding; if that’s not the case, seems like an important thing to share.