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Jensen Huang's charitable foundation balloons on Nvidia stock gains
CNBC· 2025-06-12 17:15
Core Insights - Nvidia's stock price surge has significantly increased CEO Jensen Huang's wealth and charitable contributions [2][3] - The Jen-Hsun and Lori Huang Foundation has grown from $828 million to over $9.1 billion in assets over the past five years, making it one of the largest private foundations in the U.S. [3][4] - The foundation's growth is primarily attributed to Nvidia shares donated by Huang, which have appreciated over 16,800% since their initial donation [4][5] Foundation Operations - The foundation is required to distribute at least 5% of its assets annually, leading to an estimated distribution of $369 million in 2025 [5] - As of 2023, the foundation operates without paid staff and lacks a public website, indicating limited operational infrastructure [6] - A significant portion of the foundation's disbursements is directed to donor-advised funds (DAFs), with $46 million allocated to a Schwab DAF in 2023 [7][8] Philanthropic Trends - DAFs are increasingly popular among wealthy donors for their flexibility in tax deductions and donation timing, particularly among younger tech entrepreneurs [8] - The foundation's concentrated position in Nvidia stock raises concerns about risk management, with suggestions for diversification over time [10] - The Huangs continue to contribute to the foundation, with a recent donation of 440,000 Nvidia shares valued at $60 million [10]