Glasspockets Find: “Dear Warren” Accounts for Impact of His $30 Billion Gift to the Gates Foundation
March 3, 2017
Bill & Melinda Gates recently posted their foundation’s annual letter, sharing progress from their work. This year's letter had a personal twist, revealing how the world's largest private foundation accounts for its progress to a key stakeholder. The letter, a great example of donor stewardship at the highest levels, details the impact of Warren Buffett’s historic gift to the Gates Foundation.
In 2006, Buffett’s $30 billion gift to the Gates Foundation was the largest single gift ever made, and it was intended to fight disease and reduce inequity. Buffett’s gift doubled the foundation’s resources, and helped expand its work in U.S. education, support smallholder farmers and create financial services for the poor.
In “Dear Warren,” Bill and Melinda Gates personally let the Berkshire Hathaway Inc. Chairman know how the Gates Foundation was using his money.
“To make sure your investment keeps paying higher returns, the world has to save more lives in the future than we’ve saved in the past.”
The couple jokingly reminded Buffett of his penchant for wise spending, such as the time Buffett treated Bill Gates to a Hong Kong McDonald’s meal and used coupons. With handwritten notes, photos and infographics, the couple showed Buffett that they too were wisely investing Buffet’s money to make an impact on global health and improve childhood mortality rates, which contributes to healthy families and stronger economies.
The letter shows how data and metrics can be used to tell a powerful narrative. The Gates are careful to say that they are not doing this work alone, and that most of the numbers reflect how many global organizations, including the Gates Foundation, are contributing to saving and improving lives.
“If we could show you only one number that proves how life has changed for the poorest, it would be 122 million—the number of children’s lives saved since 1990,” Bill Gates said in his letter.
Over a 20 year-period since 1990, the rate of childhood mortality has been cut in half, Melinda Gates said. The Gates Foundation has helped contribute to improved global health through its investment of increasing access to vaccines in poor and developing countries.
“For every dollar spent on childhood immunizations, you get $44 in economic benefits. That includes saving the money that families lose when a child is sick and a parent can’t work,” Bill Gates said.
The foundation’s other global health initiatives include reducing newborn mortality, ending malnutrition, family planning and ending poverty.
Bill and Melinda Gates shared how they felt both inspired and compelled by Buffet to wisely and strategically make a philanthropic impact of Buffett’s life earnings. They affectionately called him the most generous person they know, as well as one of the most competitive people.
Melinda Gates said the Gates are not using Buffet's money for “a grant here and a grant there.” Rather, the Gates are using Buffett’s gift to build “an ecosystem of partners that shares its genius to improve lives and end disease."
"[You are] counting on us to make good decisions. That responsibility weighs on us,” Melinda Gates said. “To make sure your investment keeps paying higher returns, the world has to save more lives in the future than we’ve saved in the past.”