23 374 244 €
282
20 000 000 €

Donating

Supplementary funds from the government can potentially triple a donation received by the university. Donations may be earmarked for one of Aalto’s three fields of education – business studies, arts, or technology. However, an earmarked donation is eligible for governmental matching funding only if the donation is 10,000 euros or more.

Our goal is to obtain 20 million euros in donations by the end of June 2017.

Click here to donate

Donate to Aalto University

Every donation helps us build a stronger, more successful and more competitive Finland. The state has committed to capitalise universities by up to three times the sum of donations collected by the universities.

To donate to Aalto University press on the ’Click here to donate’ button or if donating 10,000 euros or more please contact our fundraising team for a deed of donation.

Click here to donate

Donors entitled to tax deductions

Donations to institutions of higher education made by organisations or individuals are eligible for tax deductions for tax payers in Finland. For organisations the annual tax deductible donation sums can vary between €850 and €250,000. More information about tax deductions on donations from Finnish Tax Administration’s guidelines for business taxation in Finland.

From the beginning of 2016 individuals have also become eligible for tax deductions on donations. Donations between €850 and €500,000 per year are deductible and the total donation sum may consist of separate installments. Read more about donation deductions for individuals.

Acknowledgements

It is obvious that different people and companies have different resources at their disposal to participate in building our joint future. It is not the size of donation that matters the most to us as the most important thing is that each donation represents a person or organisation that has wanted to commit to building Aalto. Every donation counts!

Donors also receive visibility in return but we know that visibility is not the sole reason to donate. The reason comes from within each of us. It’s the chance to be part of building a stronger Finland.

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Rules for donation

In order for a private donation to be eligible for government capitalisation, it must meet the terms set by the Ministry of Education and Culture.

1. The donation must:
a. be a gratuitous money donation and
b. be deposited to the university’s fundraising bank account
at latest on 30 June 2017.

2. A gratuitous money donation means that:
a. The donor may not receive products,
services or other benefits in exchange for the donation.
Income from the sales of products or services
is not a donation.
b. A donation can only be given in the form of money.

3. A deed of donation according to the Ministry of Education and Culture’s model is drawn up fora donation of more than 10,000 euros.

4. In a deed of donation, a donation of at least 10,000 euros can be designated to:
a. university activities in general,
b. the business and economics field of education,
c. the arts and design field of education or
d. the science and technology field of education

5. Terms that differ from the deed of donation model may not be added to the deed of donation. All donation-related terms must be specified in the deed of donation.

6. The donor cannot set any conditions for the targeting ofgovernment capitalisation.
a. The university may only use the return on capital
from the government capitalisation.

7. Fundraising will comply with the university foundation’s guidelines for signatories:
field-specific donations
will be signed by deans and donations for the university in general
by the president/provost.

8. The University Board decides on the management and investment of donated fundsin accordance with the university’s investment strategy.

9. The Board decides on the use of capital and income as part of the university’s annual budget.
a. The university’s president will make the decision
on how assets the university receives as donations
intended for the university’s activities in general will be used.
b. Deans make decisions, in accordance with the donation terms, on how the return on or the capital from targeted donations are used within the school.
i. The deans of the schools of technology make collective decisions on how the return on and capital from joint funds for the science and technology field of education are divided between the schools. The university may use returns on government capitalisation, not the capital itself.
ii. Government capitalisation and its returns are managed by the university

Aalto University has a fundraising permit granted by the National Police Board. The permit is valid from 13 October 2014 through 31 December 2017 throughout Finland, except for the Åland Islands. The number of the fundraising permit is POL-2014-12399.

For communities, donations to universities are tax-deductible under business taxation. The minimum sum for a tax-deductible donation is 850 euros and the maximum is 250,000 euros a year. The right to tax deductions is expected to expand to also cover private persons from 2016 onwards. For further information on the right to tax deductions, see the Tax Administration website.

Aalto University Principles in Fundraising

Aalto University principles in fundraising are public, transparent principles aimed for university’s existing and prospect donors.

Principles in Fundraising

Funds

The donations received will be placed in special purpose funds and invested in capital markets according to the university’s investment strategy.

1

With expendable funds the goal of investment management is the preservation of the nominal value of the capital and flexible use. The investment strategy is based on a low risk level.
_______

2

With endowment funds and government capitalisation the goal of investment management is the preservation of the real value of capital and increasing it in the long term. The investment strategy is based on a higher risk level.
_______

The government capitalisation campaign has allowed the university to set up new funds for expendable donations and endowment donations that are specific to the fields of education (6 funds), and corresponding funds for non-designated donations (2 funds).

The university and the schools relevant to the designated field of education can utilise expendable donations as soon as the funds are received. Only return on capital can be used with regard to endowment donations. The deans decide on the use of targeted funds within the framework of the budget approved by the Board and the return on capital. A summary of the yearly fund transactions is published as an appendix to the Aalto University financial statements in the section Special purpose funds.

Aalto’s previous campaign exceeded expectations
The fundraising campaign associated with the founding of the university ended in 2011 and proved extremely successful. Private donors gave approximately 200 million euros and as a result the state provided approximately 500 million euros in government capitalisation. The return on investing the donations have so far increased the university’s capital and improved the university’s capacity to focus on long-term initiatives that are important to the university regardless of changes in external funding.

Donating to expendable funds

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Donating to endowment funds

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Financial management

In order for a private donation to be eligible for government capitalisation, it must meet the terms set by the Ministry of Education and Culture.

Goals
The goals of Aalto University’s investment activities are to provide a steady and predictable cash flow to fund university operations as well as to maintain and achieve long-term growth in the real value of the university’s capital. Maintaining the real value of the capital secures equality across generations by enabling the preservation of the same purchasing power of the capital and the funding it provides to the university operations over time. This means that, in the long term, the value of the capital must increase in an equal proportion to inflation in order to maintain its purchasing power over time and to enable financing the university operations with the return on the capital to an equal extent over time. In the calculation of real value in the investment activities, the so-called university index is used, which has historically been approximately 1 percentage point higher than the consumer price index.

Donations the return on capital of which is used to finance the university operations
Fixed capital consisting of capitalised donations has a very long investment horizon, and a long-term real income target of 3% has been set for it. This is intended to cover approximately 5% of the university’s annual operating budget in the years to come. In practice, this is estimated to equal a long-term nominal yield of approximately 6%.

Donations the full capital of which can be used to finance university operations
As regards capital consisting of donations entered as income, the goal is to maintain the nominal capital value, since the investment horizon is shorter.

Use of return on capital
An expenditure policy has been prepared for the use of return on capital, and this policy determines the maximum sum of money available for financing the university’s operations on an annual basis. The expenditure policy has been created to balance the goals of investment activities. It takes into account both the capital’s market value trends and the use levels from previous years. Therefore, the expenditure policy secures the maintenance of the capital’s real value in the long term while also protecting the annual use from the short-term fluctuation of investment returns.

Investment strategy
Due to the purpose and goals of the university’s investment activities, the investment horizon of the university’s fixed capital is very long. Therefore, Aalto’s investment activities emphasise a long-term approach, broad distribution and controlled risk-taking. The investment portfolio has been distributed globally and in different asset categories. The investments have been implemented through funds.

Aalto University has also committed itself to complying with the principles for responsible investment. Some 98% of the investment portfolio is managed by external asset managers, who observe the principles for responsible investment. Aalto University is a member of Finland’s Sustainable Investment Forum (FINSIF).

The University Board decides on the university’s investment strategy and the annual use of returns.

Organisation
The University Board is in charge of the university’s investment activities and approves its investment strategy. The university investment team consists of a head of investments and two portfolio managers. The investment team is in charge of planning and implementing investment activities according to the investment strategy. The head of investments makes decisions on investments and is in charge of fund selection. In addition, the university has an advisory investment committee consisting of external members. The chair of the investment committee is Timo Ritakallio (President and CEO, Ilmarinen).

Communications
Aalto University communicates the results of its investment activities twice a year. Furthermore, the university’s financial statements and annual report, published once a year, explain the university’s investment activities and portfolio in more detail.

Together towards a better world and a stronger Finland.

Aalto University’s operations as a multi-disciplinary university connecting science, arts, technology and business started in 2010. We have succeeded in many of our ambitions and our results have improved in all key areas. Thank you for joining us in these efforts.

– Tuula Teeri, President

It’s wonderful that our education system provides universities with independent and responsible students. We look to produce graduates of an international calibre as these individuals are critical for the future success of Finland.

– Hannu Seristö, Vice President

The challenges of the future will be so big that no one field can solve them alone. This is why Aalto combines technology, economics and design. Finnish companies need global experts with both expertise in their own fields and the ability to operate in a multidisciplinary team. I trust Aalto because I believe that in order to succeed we must do something different from what has been done before.

– Risto Siilasmaa, Chairman Campaign Board

Contact information for the fundraising team:

Hannu Seristö

Vice President

+358 50 383 2478

hannu.seristo@aalto.fi

Teppo Heiskanen

Director of Advancement and Corporate Engagement

+358 50 363 3223

teppo.heiskanen@aalto.fi

Sinikka Heikkala

Head of Donor Engagement

+358 40 090 8899

sinikka.heikkala@aalto.fi

Nora Rahnasto

Senior Fundraising Manager

+358 50 362 2243

nora.rahnasto@aalto.fi

Maria Böling

Marketing Specialist

+358 50 320 6663

maria.boling@aalto.fi

Anne Hirvonen

Coordinator of Advancement and Corporate Engagement

+358 50 361 4663

anne.hirvonen@aalto.fi