It was created to support research in the natural sciences, technology and medicine by awarding long-term grants to basic research of the highest international class.

From its start in 1917 to 1971 the board members of the Foundation were mostly from the Wallenberg family.

[3] In 1971 a Council of Principals was established which changed the membership pattern, and the academics began to serve as board members of the KAW.

[3] Then politicians from the Centre Party were also assigned to the board, including Christina Rogestam, Anders Dahlgren, and Thorbjörn Fälldin.

[3] Since its establishment it has approved funding of just over SEK 27.2 billion to Swedish research and education.