Jensen Huang’s Charitable Foundation Grows Significantly Thanks to Nvidia’s Rising Stock Value
Nvidia’s skyrocketing stock price has significantly benefited CEO Jensen Huang and increased his philanthropic efforts. Over the last five years, the Jen-Hsun and Lori Huang Foundation, created by Huang and his wife, has experienced remarkable growth, escalating from $828 million in assets to over $9.1 billion. This substantial increase places the foundation among the top 15 private foundations in the U.S., alongside well-established organizations like the Rockefeller Foundation and the Conrad N. Hilton Foundation. John Seitz, CEO of FoundationMark, noted that the landscape of philanthropy is shifting towards tech-driven initiatives.
The foundation’s growth can be attributed to Nvidia shares that Huang donated. Since its inception in 2007, starting with 370,000 Nvidia shares valued at $12.6 million, these shares have surged by over 16,800%, now worth approximately $2.2 billion after accounting for stock splits and dividends. By the end of 2023, the foundation reported holding 68.5 million shares of Nvidia. This impressive asset growth necessitates increased charitable contributions.
Private foundations must distribute a minimum of 5% of their assets annually, based on the previous year’s average. FoundationMark estimates that in 2024, the Huangs’ foundation will need to distribute $123 million, and $369 million the following year. Currently, however, the foundation lacks a formal infrastructure, having no paid staff as of 2023. Although the Huangs have made notable public donations, like a $50 million grant to Oregon State University, much of their giving goes to donor-advised funds (DAFs).
In 2023, they contributed $46 million to a Schwab DAF, comprising 77% of the foundation’s total disbursements that year. DAFs are increasingly popular among wealthy donors for their tax advantages and flexibility in charitable giving. Despite the rapid growth of their foundation, the Huangs continue to bolster their endowment. An SEC filing from June revealed that the couple donated 440,000 Nvidia shares, valued at $60 million, to the foundation, along with half that amount to a DAF.