Through this service, RBS Coutts provides consultancy and banking services to help high-net-worth clients give to charitable causes they care about, said Mark Evans, who started the philanthropic service.

'My role is to help clients create their own effective giving strategy,' said Mr Evans.

RBS Coutts discusses with clients their motivation and objectives in giving, then commissions experts to do research on relevant charitable causes. For example, Coutts commissioned research on homelessness to find its root causes, which included drug addiction, family conflict and mental health problems.

Coutts then met charities that dealt with drug addiction in order to address one of the causes of homelessness.

'When the client decides on the cause they want to give to, we ask experts to find the charities and help clients ask the right questions before they make a donation.'

After a client makes a donation, Coutts monitors the use of the funds. 'What we aim to provide is a value-added service, which is connected with the Coutts approach of holistically managing clients' wealth,' said Ignatius Chong, the Hong Kong head of RBS Coutts.

In this city, RBS Coutts has clients who have majority ownership in Hong Kong-listed companies and have put their listed companies' shares in charitable trusts. The dividends are used for charitable purposes, but they cannot give out the entire dividend as they often find it difficult to find the right charity, said Mr Chong. 'They don't have adequate experience in choosing a charity.'

Coutts' clients have included Polish composer Frederic Chopin, novelist Charles Dickens, British monarchs Queen Victoria and King George III, as well as British prime ministers such as William Pitt.

Today, the bank, which is called Coutts & Co in Britain and RBS Coutts elsewhere, manages about 100,000 clients worldwide, including Hong Kong businessmen, football players and pop stars.

It has 15 offices, including three in Asia - in Hong Kong, Singapore and Japan.

But in the current difficult economic climate, charities around the world are finding donors less forthcoming and those in Hong Kong are no exception. The Hong Kong Red Cross has been witnessing slower growth in donor numbers, with 176 signing up in September compared with a monthly average of 304 earlier in the year. But Coutts still has high hopes for Hong Kong.

Will your Asian clients want to give at a time like this?

Mr Chong: The fact that they are showing keen interest in our forums in Singapore and Hong Kong is proof there is still a strong commitment. Philanthropists who have the means to donate will go ahead.

But some charities, with their endowments invested in the market, may find their income affected by the crisis. For them, we offer a philanthropy investment service that helps balance income, preservation of capital and capital growth.

Mr Evans: In general, although some people may delay giving, or stop giving altogether, there are many who will not be deterred.

How are you going to convince clients to continue giving?

Mr Evans: There are two types of donors: the chequebook giver and the engaged philanthropist. The chequebook giver is someone who will make a spontaneous donation to a charity without looking for a lasting engagement. The engaged philanthropist wants to understand the cause they are giving to and get more involved because they are passionate about making a difference.

We think the engaged philanthropist will want to continue to give to causes even during difficult times and will therefore need the sort of advice we're hoping to offer.

Who are your typical philanthropic clients?

Mr Chong: Often they are people who say they're having more fun giving away their money than making it. Their motivation may not be to leave all their wealth to their children, not to sail around the world, not to start another company and not to improve their golf. All they want is to give away most of their wealth in their lifetime. Most of our clients say it can be more difficult to give money away effectively than making it.

How do you convince clients their money has made a positive impact?

Mr Evans: Each charity has to be seen individually. When you look at companies, you measure their performance by parameters like profit and turnover. There are no such parameters in philanthropy. That's part of the challenge.

You say some of your British clients do not want to leave all their money to their children, but it seems Asian tycoons mostly want to do exactly that.

Mr Evans: Absolutely right. That's the feedback we have got from most of our Asian clients. But at the same time, they are open to giving some of their money away and involving their children, too, in giving. Hongkongers are more open to the idea of leaving a little less for their children so that they can still find their own motivation to succeed.

Has giving to charities anything to do with preventing conflicts between children over family wealth?

Mr Evans: Not so much. For most rich people, it's more to do with wanting to prepare their children for the responsibilities that come with inheritance and making them value money from a young age.

But assuming that rich Asians leave more money to their children and less to charities than their European counterparts, how will that affect your philanthropic service in Asia?

Mr Evans: A lot of Asian families are still setting up charitable foundations, and some of these are sizeable. They want to make a difference in areas that mean a lot to them. For example, a family in Hong Kong wants to make a difference on the mainland because that is where they came from. A number of Asian families are also motivated by their religious beliefs. Various religions encourage individuals to give part of their wealth to charitable causes. That often drives families to seek advice on how to give effectively.

Question time

Questions to ask yourself before giving:

What causes am I most passionate about?

How much can I afford to give?

What other plans do I have for my money?

Do I want to make small donations to several charities or large donations to one or two?

How much do I want to leave to my family?

If my donation is tax-deductible, how much will I save in taxes if I give away an asset, as against selling the asset and give away the proceeds?

Will setting up a charity account make my giving tax-efficient?

Would it be more tax-efficient to give through my company or from my bonus or dividend as an individual?