Philanthropy in Asia is evolving, says Jean Sung of JP Morgan Private Bank’s Philanthropy Centre

The wheels are turning—we speak to Jean Sung of JP Morgan Chase Bank Philanthropy Centre to find out more

Asia is now on the cusp of a historic generational wealth transfer. Eighty-five per cent of Asia’s billionaires are founders of family businesses, according to PwC.

Jean Sung, executive director at JP Morgan Private Bank, says a new generation of philanthropists in the region are evolving from passive donors to becoming impact investors and social entrepreneurs, increasingly building their own NGOs to drive social and environmental progress. Sung, who chaired the JP Morgan Asia Philanthropy Forum in spring, sits down with Tatler to discuss the changing landscape of philanthropy in Asia.

Is philanthropy in Asia unique?

We in Asia are not new to philanthropy, nor are we lacking in NGOs or private-public partnerships—just look at any of our big buildings and you’ll see the flag of a philanthropist who put their name on the door.

You could say this is a reflection of our business culture. In Asia, more than 80 per cent of businesses are family-owned. That’s why our philanthropic gifts often have a linkage to legacy-building, and they often represent a personal passion.

How did the Covid-19 pandemic affect charitable giving in Asia?

During the pandemic, we saw a lot more collaboration between the private, public and social sectors regionally.. Our own government [in Hong Kong] supported the social sector. Because the social sector couldn’t publicly fundraise, the private sector also stepped in. We also saw people coming together, unpacking donated food and taking sanitary supplies and masks out into their neighborhoods.

Foreign support also slowed down. With everybody busy working in their own regions, I do think we saw the voice of the Asian philanthropist grow.

[But] it doesn’t matter if you live in America, the UK or Europe; the pandemic impacted everyone. We all need to look after each other—now more than ever.

In case you missed it: This non-profit is tackling food waste and poverty by using surplus food

What do you make of the growing trend of collaboration in Asian philanthropy? Is it here to stay?

Collaboration is definitely where the growth is trending.We know NGOs want to work together, because their impact would be deeper and their reach would be greater.

That’s why I think a philanthropy summit is a great way to bring these folks together for an opportunity to highlight their storytelling—to share their programs, and maybe even maybe invest in each other's projects. We take real pride in bringing like minds together. Two philanthropists may already know each other in their commercial fields, but they don't necessarily know each other in the charity field yet. That’s where I see opportunities to encourage partnership.

Why are younger donors increasingly interested in blending impact investing with traditional philanthropy?

The first generation of a family generally has to think about building up the business capital. That means that charitable giving looks a little different in this generation than it does in later generations. The second generation is freer, but it’s really that third generation and beyond who look at the family’s gifting and say, “I'm a little bit impatient. We helped that school, we helped that clinic. But how many people are we really helping? What is the return?” The third generation tends to have a broader education; a much greater depth of different cultures and customs; and they look more critically at how they’re putting their social capital to work.

This is how the philanthropy and social sectors have evolved over the years. Today, second- and the third-generation donors are looking at philanthropy in a way that puts the UN’s sustainable development goals at centre stage.

In case you missed it: Why businesses can invest in sustainability and also do well

How would you define a “sustainable ecosystem” of philanthropy?

As we have seen in Hong Kong and Singapore, there has been a trend towards creating a social hub around giving. The communities are very healthy in both cities, and I think that’s a great plan for any government to support. You need the growth of that social capacity in order to deliver the dreams of the private sector, and then scale-up with government support. If you are operating in Hong Kong with philanthropic goals and you partner with the social sector, that’s great: you get to build vibrant communities where you live and work. It very much has to be about partnership, and ultimately it is communities and citizens who benefit.

What advice would you offer to a corporation, individual or family office developing its philanthropic strategy?

I remind our clients that you must be entrepreneurial with it, you must look at philanthropic strategy through a business lens, and you have to have structure.