The fastest-growing form of philanthropy in America is collective giving — where individuals, usually women, pool their funds and decision-making.

• Why it matters: This kind of structured giving is a glimpse of what democratic, egalitarian philanthropy looks like, Axios chief financial correspondent Felix Salmon writes.

🖼️ The big picture: A new report from Philanthropy Together finds that the philanthropy practiced by these groups — called "giving circles" — is very different from the top-down practices of foundations funded by billionaires.

• The leaders and members of the groups are overwhelmingly women, and often women of color. 60% of these groups are entirely women.
• The charities they support tend to be small community organizations. The giving is overwhelmingly local.
• Rather than concentrate on metrics like "bang for the buck," the groups tend to be more concerned with racial equity and inclusion.
• Donations are broadly unrestricted. In the jargon, it's "trust-based philanthropy" that isn't tied to outcomes or specific projects.

🧮 By the numbers: The number of giving circles, and the number of people who are part of one, tripled between 2007 and 2016 — and then tripled again between 2016 and 2023.

• Today, there are roughly 4,000 such groups, with 370,000 members. Among them, they gave away more than $3 billion over a five-year period ending in 2023.

"The movement is now on a trajectory to double again in the next five years," the 2024 report says.

• And it's droves of smaller donations that make up the bigger pie. Most members donate less than $1,000 per year.

💡 Between the lines: Members of the giving circles reported significant improvement to their physical, mental and spiritual health as a result of joining. In an increasingly atomizing world, these groups create real community.

• Members also became more likely to become actively engaged in local civic institutions.

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A view of the Jefferson Memorial through the branches of a cherry blossom tree, snapped by reader Paul Lucas of Fairfax, Va.