Key Takeaways

Optimizing your giving's effect on "EA's portfolio” implies you should fund the causes your value system thinks are most underfunded by EA's largest allocators (e.g. Open Phil and SFF).
These causes aren't necessarily your value system's most preferred causes. ("Preferred" = the ones you'd allocate the plurality of EA's resources to.)
For the typical EA, this would likely imply donating more to animal welfare, which is currently heavily underfunded under the typical EA's value system.
Opportunities Open Phil is exiting from, including invertebrates, digital minds, and wild animals, may be especially impactful.

Alice's Investing Dilemma: A Thought Experiment

Alice is a conservative investor who prefers the risk-adjusted return of a portfolio of 70% stocks and 30% bonds. Along with 9 others, Alice has been allocated $1M to split between stocks and bonds however she sees fit. The combined $10M portfolio will be held for 10 years, and its [...]

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Outline:

(00:07) Key Takeaways

(00:53) Alices Investing Dilemma: A Thought Experiment

(01:55) In Charity, We Should Optimize The Portfolio of Everyones Actions

(03:09) Theoretical Implications

(03:31) The Portfolio of Everyones Actions vs EAs Portfolio

(04:10) Practical Recommendations

(05:26) EAs Current Resource Allocations

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First published:
November 9th, 2024

Source:
https://forum.effectivealtruism.org/posts/2G8XfzKyd78JqZpjQ/fund-causes-open-phil-underfunds-instead-of-your-most

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Narrated by TYPE III AUDIO.

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