Op-Ed: Why donors like Chabad


NEW YORK (JTA) — Two mammoth Jewish gatherings were held recently: the General Assembly of the Jewish Federations of North America and the International Convention of Chabad Emissaries. While both were awe inspiring in their grandeur and focused on Jewish continuity, the Chabad movement continues to grow rapidly and the federations appear to be largely stagnant.

The JFNA is a well-oiled machine with an established infrastructure, smooth mechanisms and operational hierarchy. By contrast, although there are a number of supporting bodies, Chabad from an organizational perspective appears in some ways to be a band of ragtag rabbis operating independently without a central endowment, trust fund or investment portfolio.

As opposed to the federations, Chabad does not aggressively publicize internal studies, polls or annual reports, and they do not operate with a traditional membership structure. However, agreement essentially is unanimous about Chabad’s rapid growth.

Chabad institutions have attracted some of the most sophisticated and advanced business and industry leaders as donors. At Sunday’s concluding banquet of the conference, the guests included the likes of Michael Steinhardt, Guma Aguiar, Lev Leviev, Eduardo Elsztain and Ronald Lauder. Gennady Bogolubov delivered the keynote speech.

These savvy investors don’t need detailed reports to see the fruits of their contributions: It is evident in Chabad’s successes. Donating to Chabad embodies what has become known as true venture philanthropy or entrepreneurial idealism.

Chabad delivers instant tangible results, which is what any shrewd investor appreciates or giant of industry demands in today’s fast-paced world. Donations are not swallowed up by antiquated mechanical financial infrastructures; there is no red tape, application processes, panels or mazes of bureaucracy. The Chabad institutions are focused on the immediacy of the task at hand and are adverse to anything that will slow them down.

Additionally, donors can be sure that a donation to a Chabad establishment will support a Jewish cause. The federations, by contrast, earmark large contributions for general humanitarian causes in the spirit of “tikkun olam,” or repair of the world, but with so many modern-day Jewish challenges with which to contend, many donors are saying that our own should come first.

Much of the donor interest in Chabad can be crystallized further by making a comparison to the Tea Party movement. The movement’s primary concerns include, but are not limited to, cutting back the size of government, reducing wasteful spending, reducing the national debt and adherence to an original interpretation of the U.S. Constitution.

Chabad’s primary concerns include cutting back the top-down, parochial mode of Jewish practice, maximizing the use of every philanthropic dollar (there are no earmarks or pork barrel spending), lifting the pride and confidence of the Jewish people, and adherence to an original interpretation of Jewish law.

Chabad is a purist, entrepreneurial, visionary and versatile, action-oriented and results-driven organization. For venture philanthropists seeking immediate high returns, there is no better investment.

(Dovid Efune is the director of the Algemeiner Journal and the GJCF-the Gershon Jacobson Jewish Continuity Foundation.)

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