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elea’s FOUNDATION AND OPER ATING MODEL 79

also the domicile of a pre-Socratic school of philosophy, the “Eleatics.” It seemed to be a good symbol for the ups and downs of globalization and for the importance of a solid philosophical underpinning. All of these decisions were taken with guidance from several princi- ples that are ultimately underpinned by liberal ethics. Among the most important ones were •• Additionality : elea aims to make a difference in the field of phil- anthropic impact investing, a field that was at a nascent stage of development when elea was founded and still, today, does not yet have established principles and best practices. With the privilege of a greenfield start and the possibility to take risks, we believed that elea should make an effort to contribute not only to the beneficiar- ies of its investments but also to the expansion and development of entrepreneurial philanthropy more generally. A specific consequence of this thinking was an initial commitment to build up a professional team of specialists inside of elea to develop and apply impact-oriented expertise in sourcing, evaluating, and supporting investment oppor- tunities. Later on, this fundamental belief led to the creation of the elea Center for Social Innovation at IMD, which seeks to inspire and encourage leaders in business, civil society, and government to create social innovation in their respective fields. While elea is not a formal member of the effective altruism movement that was launched in 2016, it has very much adopted the same mindset of reviewing its philanthropic endeavors with self-critical skepticism and a high aim for effectiveness (see: www.effectivealtruism.org). •• Justifying tax deductibility : A particular aspect of additional- ity is a continuous attempt to justify elea’s activities as a tax-exempt foundation under Swiss state supervision. In other words, elea aspires to at least meet and eventually to exceed the threshold set by the government regarding the alternative use of its tax savings as Swiss public expenses. Given that Switzerland has one of the world’s most effective and efficient governmental administrations, this threshold is high. For example, it can be met by focusing on those innovative, high-risk investments with substantial potential benefits for society for which the public sector is structurally not able, or is less well equipped, to undertake. 8