Meet our new member: Ord Minnett

In this regular series, we introduce members who have joined Philanthropy Australia in recent months. Philanthropy’s ever-evolving nature is reflected in our members and the breadth of their work across sectors. These responses have been provided by Malcolm Wood, Head of Asset Allocation and Philanthropic Services.

1. Welcome to Philanthropy Australia. Why did you decide to join?

Ord Minnett (Ords) is a financial advice and investment services firm, with a strong focus on philanthropy, both for our clients and staff. As we look to further align our businesses values around giving back, we have joined Philanthropy Australia and this year, we are a proud partner of the Philanthropy Australia Conference 2024 in Adelaide.

We partner with philanthropic clients to help protect and grow their investments, as well as support organisations where possible through initiatives such as sponsorship. Our employess are also passionate about philanthropy, and we have made a significant impact through our staff-led Ord Minnett Charities Fund. As a result of client and staff demand, philanthropy at Ords is growing. Our association with Philanthropy Australia will enable us to grow both these key parts of our organisation, allowing us to make a greater impact in the community.

2. What does your organisation do and what is its scope?

Ord Minnett provides investment services for individuals, families, businesses and not-for-profit (NFPs) organisations. We have more than 265 financial advisers across 14 offices in Australia and Hong Kong, advising on more than $62 billion of client funds.

As a key part of our business, we provide investment advice and management services to For-Purpose organisations and charitable foundations.  We service thousands of clients in the philanthropy space with more than $4 billion of assets under advice and management.  We have also built a responsible investment capability to serve our clients.  We are conscious of our responsibility to give back to our communities, which is why we established the Ord Minnett Charities Fund. 

3. What are you hoping to achieve in the coming year?

We are endeavouring to expand our philanthropic service offering to our clients and the philanthropic sector.  Over the past year, we have focused on educating our clients on Private Ancillary Funds, because this is a great solution for those who would like to give back. In so doing, we aim to actively support Philanthropy Australia in its goal of doubling structured giving by 2030. 

Ord Minnett established a direct bond investment offering in 2022, enabling charities and organisations to access the fixed income asset sector, which wasn’t previously available due to minimum investment requirements. This bond business, which provides regular interest payments to clients, is now integral to many of the charities we manage and has grown rapidly.  The significant growth is testament to the suitability of this product to the philanthropic sector, and we expect to see continued strong growth in the next year. 

4. What are the biggest challenges and opportunities ahead for the organisation?  

With the amount of client funds we have under advice, there is an enormous opportunity for us to make a positive community, philanthropic impact. We have seen firsthand the benefits and satisfaction it can bring to clients, and it is equally rewarding for Ords as an organisation to help facilitate charitable giving.

By 2050, Australians are set to hand down an incredible $3.5 trillion dollars in assets. This means millions of Australians will inherit financial assets, which they’ll be looking for advice on how to best manage. This presents an opportunity for Australians and the philanthropic sector, which Ords will seek to play a part in to encourage further strategic philanthropic giving and make a greater impact in our communities most in need.

5. What philanthropic subjects or trends are you most interested in?

We see three trends that are particularly important to our clients. Firstly, the development of, and involvement in, social impact investing. We see this trend as an important extension of our investment expertise.  Secondly, the evolution of responsible investing, an area we have been offering advice and managing on since 2015. Finally, engaging clients and, in particular the next generation, in philanthropic discussions. We see this as an important service for many Ord Minnett clients, which our financial advisers are experienced in assisting with.   

6. Share a great story with us that showcases your impact.

At Ord Minnett, it is as much about expertly managing and investing clients’ capital as it is about supporting the charity to achieve its strategy and mission.

One of our clients, Can:Do Group, operates South Australia’s oldest children’s charity Can:Do 4Kids and its social enterprise audiology business, Can:Do Hearing. Can:Do 4Kids provides therapy services to children who are deaf, hard of hearing, blind, have low vision or developmental delays. Importantly, Can:Do also supports their families.

While we have provided advice and investment services to Can:Do since 2016, we’ve also been involved in sponsoring events to support the organisation as a partner.

Ord Minnett has financially sponsored its board room, the iconic Can:Do annual “Dinner in the Dark” and “getting loud” fundraising for “Loud Shirt Day”, an Australia-wide initiative. Ords has also presented a series of “money wise” presentations and seminars to Can:Do clients covering topics such as budgeting, getting a tax file number, superannuation and investing.

Since Can:Do first engaged Ord Minnett in 2016 to provide an income securities portfolio for the organisation to assist with budgeting and capital security, we have also assisted in the following areas:

• Developed an investment portfolio that enhanced its overall income and provided capital security
• Tailoring and further developing Can:Do’s governance framework, in particular drafting an investment policy and strategy, which ultimately achieves their mission
• Assisted formalising a socially responsible investing framework

From the outset, we endeavour to work with our charitable clients, assisting them to achieve their mission with our financial expertise, while supporting the organisation as a partner too. 

Ord Minnett is a major partner of the 2024 Philanthropy Australia Conference.