Wall Street donor-advised funds freeze SPLC grants while backing other investigated charities

The Justice Department’s indictment of the Southern Poverty Law Center led three Wall Street-linked donor-advised fund sponsors—Vanguard Charitable, Fidelity Charitable and Charles Schwab’s DAFgiving360—to suspend grants to the organization, citing policy triggers but offering no detailed rationale. One outlet’s investigation showed these sponsors treat comparable investigations unevenly, continuing to fund hospitals, universities, charter schools and even a white-nationalist group while blocking the SPLC.

Former Vanguard counsel Deone Powell said the actions protect the sponsors’ reputations, and experts warn the lack of transparency undermines donor intent. The SPLC, which received about $20 million from the three sponsors in the past three years, now faces a funding shortfall, while donors and state attorneys general criticize the opaque process. Fidelity, Vanguard and Schwab declined to comment on specific decisions, and donors such as retired Fidelity executive Dawn Piccolo have voiced frustration, planning to move their balances elsewhere.