Lahjarahasto

Lahjarahasto is a Finnish term referring to a fund composed of gifts and donated resources established to provide long-term financial support to a nonprofit organization, a cultural institution, or a public-benefit initiative. The term combines lahja (gift) and rahasto (fund).

Purpose: Lahjarahastot are typically endowed to preserve capital over time while enabling ongoing program funding. Returns from investments are used in accordance with donor restrictions or organizational priorities, such as scholarships, acquisitions, research, or public programs.

Structure and governance: A lahjarahasto is usually set up as a säätiö (foundation) or as an internal fund within a larger organization. It is managed by a board or governance body, with an investment policy, a spending policy, and regular reporting to stakeholders. Donor constraints may specify restricted purposes or timeframes.

Legal and financial framework: In Finland, lahjarahastot operate under the laws governing foundations and nonprofit entities. Assets are invested to maintain purchasing power, and accounting and auditing requirements apply; donors may receive receipts and acknowledgments for tax purposes where eligible.

Examples and related terms: Universities may use lahjarahastot to fund scholarships or chairs; libraries or museums may fund acquisitions or programs. Related concepts include endowment, foundation (säätiö), and donation fund (lahjoitusrahasto).