How NPT Aligns Investment Strategy with Philanthropic Purpose

Over the past few years, I’ve had countless conversations with financial advisors and donors who are clear about what they want from a donor-advised fund (DAF): greater investment options, diligent oversight and flexibility that mirrors the sophistication of their broader portfolios. At National Philanthropic Trust (NPT), we’ve taken these expectations to heart.

As the Senior Vice President of Investments at NPT, my team and I, in conjunction with a Board-led Investment Committee, are responsible for overseeing the investment architecture that underpins every charitable contribution entrusted to us. We are mission-driven professionals with strategies built to enable advisors like you to serve high-net-worth and ultra-high-net-worth clients with complex financial plans and equally ambitious charitable goals.

Investment Options that Reflect Portfolio Sophistication

At NPT, we’ve intentionally created flexible and open investment architecture designed to support a range of donor preferences and advisor guidance. Whether the goal is simplicity through pooled investments or transparency and customization through a separately managed portfolio, we have a structure that can accommodate that.

Six Core Pools for Direct Donors

For donors who work directly with NPT, we offer six core investment pools: three actively managed and three passively managed index portfolios. These are designed around different risk-return profiles—conservative, moderate and growth—and blend asset classes including equities, fixed income, and cash. These pools are carefully curated, and we continuously review the managers and allocations to ensure they remain high-quality options.

Additionally, NPT maintains a willingness to work with impact investment options. We make it easier for donors to invest with lower minimums and provide specific due diligence focused on the impact of the investment alongside the overall investment return.

Partnership with Financial Services Providers

It’s important to point out that NPT works with donors and their advisors in several ways. In addition to donors who work directly with NPT, we also offer “white label” services to a series of Financial Services Providers (FSPs) and support the use of FSP-created investment pools. For these donors, a DAF is established through their banking institution’s private-label donor-advised fund program, offered in partnership with NPT. While NPT doesn’t manage those pools directly, we do provide oversight—ensuring they meet our due diligence, governance, and compliance requirements.

Custom Solutions Through Separately Managed Accounts

For DAFs with a qualifying minimum balance, we offer the option of a segregated account. These accounts are offered in discretionary or, in some instances, non-discretionary formats—enabling financial advisors to implement bespoke strategies. They allow advisors to incorporate custom asset mixes, Environmental, Social and Governance (ESG) overlays, or even alternative investments—while NPT ensures those portfolios comply with our governance policies.

We’re proud of our investment independence. We’re not tied to a proprietary platform or parent institution. That neutrality is intentional: it allows us to support a broad spectrum of advisors without conflicting incentives.

Complexity is Where We Shine

One of the things that differentiates NPT most from other DAF sponsors is our willingness—and ability—to manage complexity. In fact, it’s my opinion that the more complex the challenge, the better NPT is at finding a solution compared to our peers in the market.

Acceptance of Concentrated and Illiquid Assets

We routinely work with concentrated single-stock positions, restricted securities, and privately held business interests. Where others may require immediate liquidation, we have the infrastructure and internal governance to hold these assets, when appropriate, and determine the best course of action.

Support for Alternatives and Nontraditional Wealth

We also support hedge funds, private equity, and other private and/or illiquid investment vehicles, particularly for clients who hold significant wealth in those formats. It’s not just about investment review; it’s a full-team approach involving our legal, finance, operational due diligence, and compliance teams. These capabilities help advisors position charitable planning not as a constraint, but as an integrated component of wealth management.

Clear Governance through Our Investment Policy Guidelines

Our Investment Policy Guidelines (IPG) outline concentration limits, liquidity standards, restrictions on certain types of assets, and diversification requirements. They serve as the foundation for both pooled portfolios and segregated accounts, helping us ensure that all donor investments are suitable, and mission-aligned.

Our assets are diversified across:

• Domestic and international equity
• Fixed income
• Private markets
• Hedge funds and alternatives
• Cash (to buffer against volatility and support grant liquidity)

A Thoughtful Advisor Onboarding Process

When NPT establishes a new relationship with an advisor, we take time to understand their philosophy, their diligence practices, and their approach to portfolio construction. On our end, we provide context on the guidelines and benchmarks required to collaborate with us. Another area of regular improvement, we aim to build an onboarding process that is more efficient and collaborative, and less cumbersome. Our main goal is to protect our charitable mission while empowering advisors to do what they do best.

Why NPT?

I believe our investment platform reflects what donors and advisors need most in today’s environment:

• Independence: We’re not beholden to any for-profit entity—we’re here to enable solutions.
• Flexibility: From streamlined model portfolios to fully customized segregated accounts.
• Sophistication: We embrace complex assets that many sponsors can’t or won’t accept.
• Oversight: Our role is to protect the philanthropic intent of the assets without stifling the innovation that advisors bring.

At the end of the day, we’re not here to compete with advisors. We’re here to empower them. If you work with clients who are serious about philanthropy and want their charitable capital to be invested with the same thoughtfulness as the rest of their portfolio, I invite you to take a closer look at how NPT can support you.

To discuss further, call (888) 878-7900 or send an email to npt@nptrust.org.