Henry_Stanley comments on How to improve EA Funds - Effective Altruism Forum

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Comment author: Henry_Stanley 06 April 2018 10:14:38PM 1 point [-]

US Treasury bonds yield 1.7% a year. That's $18,700 a year in foregone revenue

That's the annualized return on 3-month bonds, a short-term, zero-risk investment. Setting up such an investment would be trivial (and could surely be outsourced).

At the other extreme, you have the Wellcome Trust which holds Henry Wellcome's endowment; their investments have yielded an average of 14% per year since 1986. And those returns compound, too. As a result, they've been able to give away much larger disbursements than if they'd simply held the money in cash.