Elon Musk argues that giving money away is easy if the goal is public perception. However, deploying capital to create *actual* good in the world is profoundly difficult. He separates the 'reality of goodness' from the 'appearance of goodness,' stating the former is the real challenge.

Startups in social impact or wellness often receive positive but misleading feedback from VCs. Investors are hesitant to reject these missions outright, so they offer praise while privately declining due to perceived weak business models and a lack of "cutthroat" founders. This creates a "Save the Whales trap" for idealistic entrepreneurs.

The key insight in effective giving is not just comparing charities, but recognizing that most individuals can dramatically increase their positive impact by redirecting donations to highly effective opportunities they are likely unaware of, achieving up to 100 times more good with their money.

Sir Ronald Cohen critiques the philanthropic model, arguing that relying on donations keeps charitable organizations small, underfunded, and perpetually begging for capital. This prevents them from achieving the scale needed to solve massive problems, a flaw that impact investing aims to correct by creating self-sustaining models.

Don't judge a charity's effectiveness by its website. An Indian charity, Bandhan, had a 90s-era website but an evidence-based program praised by Nobel laureates. Organizations excellent at impact delivery may be poor at marketing, presenting an opportunity for diligent donors to find undervalued opportunities.

We often mistake stylistic polish for substantive competence. A tech company's slick website is the work of designers, not engineers. Similarly, a charity's beautiful website reflects marketing skill, not its ability to effectively deliver interventions. The two skill sets are distinct and should not be conflated during evaluation.

A critical flaw in philanthropy is the donor's need for control, which manifests as funding specific, personal projects instead of providing unrestricted capital to build lasting institutions. Lasting impact comes from empowering capable organizations, not from micromanaging project-based grants.

Frame philanthropic efforts not just by direct impact but as a "real-world MBA." Prioritize projects where, even if they fail, you acquire valuable skills and relationships. This heuristic, borrowed from for-profit investing, ensures a personal return on investment and sustained engagement regardless of the outcome.

Preventing a problem, like malaria, is often more effective than curing it, but it creates a marketing challenge. It's difficult to tell a compelling story about a child who *didn't* get sick. This "identifiable victim" bias means funds often flow to less effective but more narratively satisfying interventions.