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[Webinar] Facilitating Philanthropy: Taxation, Structures and Legacy Giving
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[Webinar] Facilitating Philanthropy: Taxation, Structures and Legacy Giving

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We would like to give a big thank you to the Law Society of Singapore and the Singapore Management University’s Centre for Commercial Law in Asia for inviting our CEO, Ms Catherine Loh, to be a part of the panel for the Facilitating Philanthropy: Taxation, Structures and Legacy Giving webinar. 

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The Straits Times: The ST Guide To… giving to charity

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For those with fatter wallets and who hope to create a greater impact with their gift, they can even consider setting up a charitable fund to give to causes close to their hearts.

For example, the Community Foundation of Singapore (CFS), a non-profit group, helps donors find a more structured and sustainable way of giving by providing advice and managing their charitable fund.

To set up a named charitable fund in the CFS, where the donor decides on the fund’s name and the causes to give to, donors must pledge at least $200,000.

For those with slimmer bank accounts, there is no minimum sum to give if they want to donate directly to the Community Impact Funds that have been set up by the CFS to support lesser known causes, such as helping migrant workers in distress and taking home-bound seniors on outings. Read more.

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CFS Change Matters Series: Mens, Manus and Machina – How AI Empowers People, Institutions & the City in Singapore

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Artificial intelligence (AI) will be a disruptive influence on society, for good as well as ill – and there is a duty to provide a sense of hope, upfront, that humans will be able to prevail.

That was the core message of the inaugural CFS Change Matters Series talk, “Mens, Manus and Machina – How AI Empowers People, Institutions & the City in Singapore”. It was delivered on 21 June 2023 by Professor Jinhua Zhao, Associate Professor of Transportation and City Planning at the Massachusetts Institute of Technology (MIT).

“Mens”, “manus” and “machina” are Latin for “mind”, “hand”, and “machine” respectively, and the title plays on MIT’s motto, “mens et manus”. The title of the talk is also the name of a multi-disciplinary collaborative project between MIT and Singapore’s National Research Foundation. The collaboration is co-led by Prof Zhao, and aims to address the following questions:

  1. How will we design technology and train humans to build the skills and habits for human success in a robotics-heavy environment?
  2. How will we adapt our social and business institutions to create the incentives and protections for innovation and human welfare?

In his talk, Prof Zhao shared four key insights into AI.

1. AI will transform, rather than reduce, demand for workers

Enablement, not elimination, of workers

The aftermath of the Industrial Revolution (1760-1840) saw the rise of the machine, leading to a major change in the way we worked. This did not, however, reduce overall demand for workers.

Citing economist James Bessen, 1 Prof Zhao noted that the number of ATMs in the USA grew rapidly from the 1970s, when the first ATMs were installed in banks. However, the role of the bank teller was not eliminated, but enabled. Bank tellers now focused on value-added services centered on human interactions, which could not be replaced by ATMs. As such, the number of bank tellers increased.

Employment grows along with automation

While automation has led to displacement and job loss, there has historically not been a fall in overall employment. Increased productivity from automation, as well as the growth of new human desires over time, have created entirely new jobs and industries.

This has led to an overall increase in employment; in fact, the 2018 US Census counted that more than 60% of jobs in 2018 had not yet been “invented” in 1940.

2. AI is not all the same

Expert versus Learning Systems

AI systems generally fall into two categories: expert systems and learning systems.

  • Expert systems rely on predefined rules and a knowledge base to mimic the expertise of specialists.
  • Learning systems, such as machine learning, mimic the way the brain learns and processes information.

Discriminative versus Generative Models

In addition, AI systems mainly adopt either a discriminative or a generative model in relation to their inputs.

  • Discriminative models classify or discriminate between different inputs, based on their features.
  • Generative models learn the patterns and relationships within the data input to generate new samples that resemble the original data.

The ubiquitous ChatGPT, for example, is a Large Language Model, an example of a generative model AI that can produce human-like chat responses.

3. The real impacts of AI on society

AI will replace white-collar jobs, not blue-collar jobs

While the Industrial Revolution replaced manual workers, AI’s superior analytic and generative skills enable it to replace white-collar jobs like office workers and scientists.

For example, a Google-developed AI known as AlphaFold was able to significantly outperform human scientists in the field of protein structure prediction – a feat normally requiring decades of expertise from humans.

As such, it is “highly skilled” white-collar jobs that may be at risk from AI – a concerning proposition for developed economies that depend heavily on these jobs.

The response of social institutions will determine the impacts of AI

The impact of AI does not occur in a vacuum. Tapping the beneficial impacts of AI on living standards depends on how successfully social institutions can take advantage of it. For example, society must continue to be responsible for providing financial safety nets for those displaced by AI, and for caring for seniors who may find it harder to adapt.

These institutions must also respond to not just the economic challenges, but the social challenges of AI. Citing the intellectual Yuval Noah Harari, Prof Zhao noted that generative AI, for example, could destroy the ability for people to have meaningful conversations – and undermine democracy in the process.2

4. Science, government, and individuals can respond to AI productively

Science can help us control AI

Science must solve the alignment problem3 in order to develop beneficial AI – which takes only actions that achieve human objectives and preferences. Otherwise, AI could unintentionally act in a way that is destructive and harmful to humanity.

Governments can educate humans to fill areas that AI cannot

While AI is powerful, it is not superior to humans in all areas. Humans are better than AI at:

  • Creativity: being able to apply knowledge from one area to another area
  • Dexterity: tasks involving manual dexterity
  • Social intelligence: conducting “social negotiations” with humans, such as knowing when it is safe to turn while driving
  • Long-term planning: being able to break long-term plans (e.g. a 5-year plan) into shorter increments

With that in mind, governments should focus education on creativity and communication, as well as critical thinking: the ability to judge, and to ask the right questions. This prepares students to become evaluators, directors and planners, instructing AI to act on their goals.

The role of teachers will also change as AI evolves and becomes deployable at scale as an individual, customized teaching assistant. AI will enhance students’ learning and help teachers understand students; teachers will be tasked with socially engaging, empathizing with, and supervising students, rather than merely delivering content.

Individuals can change their mindsets to be resilient in the face of AI

Finally, the impact of AI, and job displacement, on individuals will not purely be economic. It will be personal as well, given how central work is to our social and emotional lives, and to our sense of purpose.

Individuals can make the following mindset changes, in order to be resilient:

  • Adopting a lifelong learning mindset: this means developing new skills while working, rather than focusing on academic learning as preparation for work.
  • Adopting a flexible mindset: understanding that while change is the new normal, humans have always had the capacity to adapt. This is especially important for youths.

Final thoughts: how philanthropy can respond to AI

Philanthropists reading this may wonder: how do I respond to the challenges posed by AI? CFS is Singapore’s first community foundation, with 15 years of experience and a network of over 400 charity partners. We leverage our experience and grantmaking expertise to identify and evaluate key opportunities for individual and corporate donors to make greater impact.

We think the following giving approaches may be valuable to respond to AI:

  • Supporting seniors to age well in the community, so they remain cared for and are not left behind.
  • Enabling youths to access quality education, through schools and Institutions of Higher Learning, and prepare for the AI-empowered future.
  • Funding efforts to improve employability, so that individuals develop the skills they need to keep working.
  • Ensuring that mental wellbeing is supported, to help individuals build the resilience to cope with changes.
  • Tackling climate and environment issues, to mitigate and adapt to this additional source of negative disruption.

To find out more about CFS and our leading role in Singapore’s philanthropy ecosystem, please click here.

CFS would like to extend our heartfelt gratitude to our donors Oliver Kwan and Helen He from the Evergreen Changemaker Fund for their invaluable support and extending the invitation to Prof Zhao, which made this event possible.

References

1 Bessen, James. “Toil and Technology.” Finance & Development 52, no. 1 (March 2015): 16–19. https://www.imf.org/external/pubs/ft/fandd/2015/03/pdf/bessen.pdf.

2 “Yuval Noah Harari Argues That AI Has Hacked the Operating System of Human Civilisation,” The Economist, April 28, 2023, https://www.economist.com/by-invitation/2023/04/28/yuval-noah-harari-argues-that-ai-has-hacked-the-operating-system-of-human-civilisation.

3 The problem of aligning AI with humans’ objectives and values.

The competition was organised by City Harvest Community Services Association and received support from FUN! Fund, a Community Impact Fund jointly established by the Community Foundation of Singapore and the Agency for Integrated Care, with the aim of addressing social isolation among the elderly.

Senior Minister of State, Ministry of Communications and Information & Ministry of National Development Mr Tan Kiat How attended the event. He encouraged the elderly to stay physically and mentally well, as well as urging them to participate in community activities and enjoy their golden years together.

Learn more about FUN! Fund at https://www.cf.org.sg/fun-fund/.

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More philanthropy funds focusing on climate change needed: Reports

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To support green causes and efforts to further climate action, Mr David Heng, chief executive of a private equity fund, set up the Mind the Gap 200 – Sustainable Earth fund in 2019.

It is part of a project Mr Heng, who is in his 50s, undertook with nine friends and the Community Foundation of Singapore.

The fund, which supports charities and programmes that address some of the United Nations’ sustainable development goals, is one of the few set up by philanthropists to tackle climate change.

The cause attracts less than 2 per cent of philanthropic giving globally, according to global non-governmental organisation ClimateWorks Foundation.

A recently published 110-page guide by investment bank UBS is looking to change this by showing donors, philanthropists and investors how to fill the climate funding gap, and the benefits and impacts of “green philanthropy”.

The report, called On Thin Ice, comprises insights and tips from more than 40 experts in the areas of sustainability and investment.

The report also emphasises the importance of prioritising climate funding since the dangerous impacts of climate change will cut across other focus areas such as children’s health, mental well-being, inequality and food security.

“While the need to engage directly with climate change is now recognised, many who may have the means to take action are unclear on how to best use these resources to achieve the greatest impact,” said Ms Hannah Wood, one of the authors of the report.

Ms Wood, programme director of UBS Optimus Foundation, added that areas that need funding include the energy transition, agriculture and climate research.

“Investors may wish to consider investing in key sectors such as renewable energy and carbon capture, energy efficiency and smart mobility.”

Shifting to renewable energy and scaling up research are expensive. The International Energy Agency estimates that 70 per cent of clean energy investments over the next decade need to come from private investors, consumers and financiers.

Limiting global warming to 1.5 deg C by 2030 will require an extra US$4 trillion ($5.5 trillion) investment in clean energy projects and infrastructure every year.

Beyond money, philanthropists and investors can also use their influence as shareholders to push for positive environmental change in companies – especially for firms that are economically important but polluting, added Ms Wood.

ClimateWorks Foundation said that between 2019 and 2020, overall philanthropic giving grew by 3 per cent while climate funding grew by 14 per cent.

Mr Heng is the founder and CEO of $405 million impact investment fund ABC World Asia.

Impact investment funds aim to generate positive environmental and social impact while bringing good returns to investors.

For Mind the Gap 200, people can donate to it through the Community Foundation of Singapore, a charity that encourages and helps to enable philanthropy in Singapore by matching donors’ interests with various causes.

Ms Catherine Loh, chief executive of Community Foundation of Singapore, said interest in green philanthropy picked up here when the Singapore Green Plan 2030 – a movement to advance the national agenda for sustainable development – was announced early last year.

From this year to 2024, the foundation will prioritise five issues for grant-making, and one of them is climate and environment.

This covers environmental conservation efforts, research into climate-related phenomena and climate solutions, added Ms Loh.

“The inclusion of this as an area of focus stems from the recognition that a healthy natural environment is conducive to the well-being of a community,” she said.

She cited the Khurana Nurture Foundation, which supports the Institute of Technical Education’s green ambassadors, training them to be the next generation of environmental activists.

The philanthropic organisation also helps people with disabilities pursue a career in urban farming.

Those philanthropy efforts together address climate action, education, social welfare and jobs.

Charitable family foundations The Straits Times contacted declined to be interviewed because they prefer to keep a low profile about their philanthropic work.

Ms Wood said: “There are big returns to be made from environmental philanthropic and sustainable investments, and as the pace of change continues to speed up, the wisest will be out ahead of the curve driving the transition.”

This article was originally published in The Straits Times here. Source: The Straits Times © SPH Media Limited. Permission required for reproduction.

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Stories Of Impact

Celebrating women who give in different ways

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It is seldom that we honour the accomplishments of women who give their all without asking anything in return, whose humanitarianism managed to achieve great success against all odds.

International Women’s Day is one such day of reflection and remembrance of the efforts of women all around the world, both past and present. It looks back on the struggles of women from the past like Rosa Parks, the ‘first lady of civil rights’, who strove for an equal and fairer society to empower the women of the future.

Yet, it is not only about women who are notable and have achieved great fame. It is also about the unsung, ordinary women in our society who give back in their own humble ways. The Community Foundation of Singapore (CFS) works alongside many of these women who contribute in their own capacities and in different societal roles.

A CEO who cares

CEO of Home Nursing Foundation Dr Christina Tiong finds a great love for philanthropy through leading Home Nursing Foundation, the largest and most established home healthcare service provider in Singapore, which CFS donors have supported since 2011.

She first started her journey in philanthropy during a clinical attachment as a medical student. It left an indelible impression on her when she saw home care nurses faithfully visiting and patiently caring for severely debilitated, bedbound patients living in dismal home environments, while also providing practical help, comfort and relief to their family members.

Helping out in medical missions at a rural clinic and drug rehabilitation centre in northern Thailand, as well as urban mobile clinics in Philippines strengthened her resolve to give back in whatever way she could.

During these missions, Dr Tiong was impressed by how determination and ingenuity could stretch limited resources to accomplish much more than back home in Singapore. For instance, the efficient use of donated drugs and the setting up of a makeshift diagnostic lab with x-rays in a rural mountainside with little infrastructural support.

After graduating and practising in various specialties, Dr Tiong was thankful to be awarded a scholarship from the Ministry of Health Holdings to study Public Health in Harvard. This gave her additional skillsets to lead and run healthcare organisations.

“This opened up many exciting opportunities for me to apply my clinical and administrative experience and build the community care sector, which was relatively neglected but now rapidly growing to meet the health needs of the ageing population sustainably,” Dr Tiong explains.

Her hope is to build a purpose-led and joyful work culture at Home Nursing Foundation. She would like for each person in the Foundation to be encouraged to give of their best, to empower patients and their families through home care services to live with dignity and joy at home.

A social worker with a heart of gold

Sim Chunhui found her calling to give back in her own ways as social worker in 2012, when she joined Habitat for Humanity Singapore. The housing charity, which helps families and homeowners with limited means to increase their access to improved living conditions, has received much support from CFS donors.

Prior to becoming a social worker, Chunhui had 10 years of working experience in the meetings and conventions sector. It was in her late 20s when she started exploring her faith seriously, and having just completed a part time degree, was at the crossroads of her career. After much praying and soul-searching, Chunhui decided that having been blessed in many aspects of her life, it was her turn to pay the blessings forward to others.

Now, Chunhui finds great fulfilment in transforming the living conditions of elderly and vulnerable homeowners through Project HomeWorks, a programme that she has been working on for the past seven years. Through the programme, Chunhui organises pest-elimination, painting and cleaning sessions with professionals and volunteers for vulnerable individuals and families who depend on government financial assistance.

“I also have a really soft spot for the elderly, and it’s been so enjoyable working with the homeowners on Project HomeWorks as most of them are seniors!” Chunhui says.

Giving a voice to autism

A firm believer in working towards solving social issues in Singapore, Rosa Quitadamo strives to give back in her own way to society as a volunteer. Although she identifies as an Italian citizen, Rosa considers herself a citizen of the world, having lived in China, Hong Kong and eventually moving to Singapore 17 years ago. People with disabilities is an issue particularly close to Rosa’s heart.

An avid people watcher, Rosa would often stroll to the bus stop near her home, which is adjacent to Saint Andrews Autism Centre (SAAC). Saint Andrews Autism Centre supports persons with autism and their families through education, training and care. CFS’s support for them includes a recently introduced Edible Community Garden, funded by Relaxed Fund’s founder George Jacobs and administered by CFS.

It was at that bus stop that Rosa saw clients from the centre walking with their coaches and decided that she would make a difference to them. Rosa suggested to SAAC that the clients who worked on the Edible Community Garden sell the produce that they grew to the residents of Villa Marina.

This project would eventually seed the breakthrough for the students of SAAC to go beyond overcoming their fear of dirt and working in a garden, to being instilled with pride and responsibility for the beneficial work that they did.

“You see few people with disabilities around in Singapore, and as a result locals are not very accepting of their tics,” Rosa observes. By making it her mission to help the students of SAAC sell their own produce, it raised the awareness of autism in the community in a very personal way.

An energetic person who gets things done, Rosa has no qualms about rolling up her sleeves and getting involved in volunteering work. She encourages everyone to try their hand at volunteering, as it is meaningful work which makes a visible impact. “Get involved in work that’s close to your heart and do something you think that’s best suited for you. There’s always a role for everyone,” Rosa recommends.

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The competition was organised by City Harvest Community Services Association and received support from FUN! Fund, a Community Impact Fund jointly established by the Community Foundation of Singapore and the Agency for Integrated Care, with the aim of addressing social isolation among the elderly.

Senior Minister of State, Ministry of Communications and Information & Ministry of National Development Mr Tan Kiat How attended the event. He encouraged the elderly to stay physically and mentally well, as well as urging them to participate in community activities and enjoy their golden years together.

Learn more about FUN! Fund at https://www.cf.org.sg/fun-fund/.

 

The programme provides the children with a non-threatening platform to connect with peers and have positive conversations. In addition, it exposes them to different people who can assist to broaden their perspectives.

L.S., a volunteer with the Reading Odyssey programme @ Spooner Road

中心“常胜将军”胡锦盛:比赛限时反应要快

现年92岁的胡锦盛是最年长的参赛者。自2017年退休后,他几乎每天都到活跃乐龄中心报到,从此爱上了玩拉密,每次可玩上三个小时,在中心是“常胜将军”。

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