Securities and stocks

Yes, you can make a gift of securities and stocks. Learn about the benefits to you and how to donate securities and stocks.

Securities options

Donating appreciated securities is simple, cost-effective and the most tax-efficient way to make a charitable gift.

You can make a charitable gift of securities, such as shares of the capital stock of a corporation, units of mutual fund trust, exchange traded funds (ETFs), government savings bond, corporation bonds, shares, warrants and futures that are listed on a designated stock exchange.

There may be special conditions for gifts of private shares, employee stock option shares, flow-through partnership units and securities sold at a loss.

Benefits to you

Capital gains income on securities that have been donated to charity are non-taxable—the entire donation amount results in a tax credit.
Straightforward and easy to transfer—your broker can usually execute a transfer in one or two days.
Your charitable tax receipt is equal to the closing value of your securities on the date the securities are received in SFU’s account.
The proceeds from your securities are directed to the area of your interest.
You can deduct the entire gift in the current year or carry taxes credits forward for up to five years.

You can deduct the entire gift in the current year or carry taxes credits forward for up to five years.

Stock options

Donations involving employee stock options in a public company can be one of the most tax efficient ways to make a donation.

Normally, when stock options are exercised for personal gain, the difference between the stock's fair market value and its exercise price is considered a taxable employment benefit. This benefit is then taxed as a capital gain, such that 50% of the profit is counted as income; employers must withhold the required taxes on that amount, including EI and CPP.

However, charitable gifts arranged by donating stock options can result in a high value gift at low cost.

Benefits to you

Reduced cost of giving
Simple transaction
Maximized tax benefits

How to gift securities and stocks

Please use this form when the securities are held electronically at a brokerage firm:

Letter of direction from you to the broker (PDF)

Please use this form when securities are held in certificate form; an example: certificates in a safety deposit box.

Power of Attorney to transfer stocks, bonds and mutual fund units (PDF)

Please use this form specifically for mutual fund donations held at the mutual fund company or with financial planners.

Direction to transfer ownership of mutual funds held at a financial planning and mutual fund companies to SFU (PDF)

Questions?

If you have questions on how to make a gift of securities and/or stocks, please send us an email at askaae@sfu.ca.

SFU Advancement