Economy

Tycoons digest Gates, Buffett's charity banquet

By Liu Baijia and Wang Zhuoqiong (China Daily)
Updated: 2010-10-01 09:24

BEIJING - In China, getting money is hot. Giving it away is not.

After all, 30 years ago there were no billionaires in the country. The worship and pursuit of wealth have been given priority over philanthropy and charity.

But on?Sept 30?at the press conference where US billionaire philanthropists Bill Gates and Warren Buffett spoke about their private meeting with 50 of the Chinese super-rich the previous night, giving was suddenly hot.

The Chinese wealthy have "no reluctance" in speaking about philanthropy, the titans said on Thursday at a small group interview with China Daily before the press conference in Beijing.

The dinner did not pressure the affluent for money, nor was it followed by phone calls from the pair on "giving the pledge", as in the United States.

Software magnate Gates said that more than two-thirds of those invited came to the dinner, adding that some guests had handed over generous "gifts", although he would not elaborate further.

Not all of the guests were tight-lipped.

Real estate developer Pan Shiyi revealed on his blog that the most discussed topic was donating one's entire fortune - a pledge made by another guest, Chen Guangbiao.

Chen, worth an estimated $440 million according to last year's Hurun rich list, made a big deal about his attendance beforehand, as well as his efforts to get more Chinese tycoons involved in charity work and donating some of their wealth.

The "candid and open" conversations focused on attitudes toward wealth and philanthropy, efficiency in philanthropy and how it affects their families, according to the Shenzhen-based real estate tycoon Wang Shi's blog.

Big names, including "glass king" Cao Dewang, Lenovo founder Liu Chuanzhi and "dairy giant" Niu Gensheng, appeared at the event.

"We must have had 25 or 30 people who really talked about their own business, their own situation and their families," Buffett said.

Some Chinese rich did not show up at the event, a move largely considered a disagreement with Gates and Buffett.

Related readings:  Philanthropy: When Warren Buffett meets Bill Gates in China  Gates, Buffett on banquet with China's super-rich  Man challenges Gates, Buffett banquet with his own  Buffett, Gates ask billionaires to give away wealth

Wang Jianlin, a real estate developer in Dalian, argues that the time was not right for Chinese rich to give a large sum of their fortunes. Instead, he suggested, accumulating larger fortunes might be the solution to helping the employment rate and fostering economic growth.

But Gates said philanthropy and corporate growth could be developed in tandem.

"There is no timeline for doing philanthropy," he said. "Even at a young age, you should start thinking about philanthropy. But it is a very individual thing when you are ready to be involved."

Those who attended the private gathering were undoubtedly motivated by good causes. But when these rich businessmen gathered, the issue ballooned from simply giving back to society and became one of wealth management.

For the ultra rich in China or those in the rest of the world, it is worth the time and effort to discuss efficiently handling their capital resources.

Questions such as how to manage their personal and social capital collaboratively are even within the interests of Gates and Buffett, who have set up a new wave of philanthropy on "giving while living".

"Doing intelligent philanthropy is harder than doing intelligent investment," said investment mogul Buffett.