## Avert
## **Limited by Guarantee**
## **Trustees Report**
## **and Financial Statements**
for the year ended 31st March 2021
**Registered Charity Number 1074849 Registered Company Number 03716796**
**AVERT** FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **CONTENTS**
||**Page**|
|---|---|
|**Charity information**|**1**|
|**Trustees’ report**|**2**|
|**Independent auditors’ report**|**12**|
|**Statement of financial activities**|**15**|
|**Balance sheet**|**16**|
|**Statement of cash flows**|**17**|
|**Accounting policies**|**18**|
|**Notes to the financial statements**|**21**|
**AVERT** FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **CHARITY INFORMATION**
|**Trustees**|Professor Simon Forrest (Chair)|
|---|---|
||Anna Becker|
||Emily Hughes|
||Carole Leach-Lemens|
||Beryl Mutonono-Watkiss|
||Sam Price–Resigned 29thJuly 2021|
||Lynne Slowey|
||Andrew Walker|
|**Principal and registered office**|6thFloor, Platf9rm|
||Tower Point|
||44 North Road, Brighton|
||BN1 1YR|
|**Registered charity number**|1074849|
|**Registered company number**|03716796|
|**Company secretary**|Professor Simon Forrest|
|**Board secretary**|Kerry Pike|
|**Key management personnel**|Sarah Hand–Chief Executive Officer (CEO)|
||Simon Moore–Director of Communications and Digital Health|
||Kate Harrison–Director of Partnerships and Fundraising|
||Jon Edgell–Finance and Operations Manager|
|**Bankers**|CAF Bank Ltd|
||25 Kings Hill Avenue|
||Kings Hill|
||West Malling|
||Kent|
||ME19 4JQ|
||Barclays Bank Plc|
||Leicester|
||LE87 2BB|
|**Investment managers**|J M Finn & Co|
||4 Coleman Street|
||London|
||EC2R 5TA|
|**Solicitors**|Irwin Mitchell|
||Belmont House|
||Station Way|
||Crawley|
||West Sussex|
||RH10 1JA|
|**Auditors**|Blue Spire Limited|
||Cawley Priory|
||South Pallant|
||Chichester|
||West Sussex|
||PO19 1SY|
**Page 1**
**AVERT** FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **TRUSTEES’ REPORT**
The trustees, who are also directors of the charity for the purposes of company law, are pleased to present the annual report incorporating the directors’ report for the purposes of the Charities Act 2011 and sections 415 to 419 of the Companies Act 2006, together with the accounts for the year ended 31[st] March 2021. In preparing the financial statements the trustees have adopted the updated provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” (FRS 102).
## **MESSAGE FROM THE CHAIR AND CEO**
It has now been 40 years since the first case of what the United States Centre for Disease Control later confirmed to be HIV was first seen. This would mark the start of what became one of the world’s most alarming epidemics of the late 20th century. Since then an estimated 75.7 million people have become infected with HIV and 32.7 million people have died of AIDS-related illnesses. The global response was unprecedented for its time, bringing governments and civil society together with science and financial institutions not previously accustomed to working with each other - and all still committed to bringing an end to AIDS.
Eighteen months into a new pandemic, COVID-19 continues to cause uncertainty and threatens progress on HIV and other global health areas. COVID-19 has exposed the inadequacy of investments and profound inequities in public health. At the same time, COVID-19 has benefitted from four decades of HIV experience as witnessed by the rapid development of COVID-19 vaccines. The pandemic has also opened doors to new possibilities for HIV science and service delivery and highlighted the vital importance of health communications.
The last year has certainly been like no other in our 32 year history. We started the year surrounded by flux and – uncertainty unclear what direct impact the COVID-19 pandemic would have on our team, our work, our income and the wider HIV sector and civil society space. While some of this uncertainty remains we have learnt to work with it and adjust. Already accustomed to working virtually and engaging with our global key audiences through digital channels we were able to quickly adapt to the “new normal”. We responded to our audience needs by ensuring they had access to COVID-19 health information and what we understood about the relationship between COVID-19, HIV and sexual health. Building on our excellent Google search ranking our COVID-19 content was swiftly whitelisted by Google which helped ensure people were getting access to trusted accurate sources during an infodemic.
We are enormously proud of our achievements during the year which saw us continue to grow our audience and their engagement in our health communication materials; carry out a review of our closing strategy; develop an exciting and relevant new strategy for the next 3 years; and maintain our work in funder and partnership building. Despite the reduction, and in some cases closing down of fundraising opportunities, we continued to make modest gains in the year which have helped support a stronger start to our FY22. Working in partnership to support collaboration, user engagement, learning and efficiency remains key to our work. We are pleased to have continued to grow the number of partnerships we now have that are helping us shape new communication products and approaches. These have included working with the Global Network of People Living with HIV (GNP+) on a new reporting and information app for their network members as well as working with VSO and AfricAid on how our Boost app for community health workers can be rolled out in their programmes.
We understand that we continue to work in a highly volatile and uncertain environment and take seriously the implications of this on our strategy, governance and finances. We also recognise our strengths as a small, nimble organisation not afraid of change. We are confident that our new strategy is firmly rooted in the needs of the HIV response and this will support our efforts to ensure our sustainability.
We would like to acknowledge and thank all our staff, trustees, supporters and partners for their hard work and dedication this year. We are extremely grateful to the funders who have invested in Avert supporting new work and research which has allowed us to grow. We look forward to building on this in the year ahead and moving confidently into a new strategic period with their support.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
The organisation is a charitable company limited by guarantee, incorporated on 16[th] February 1999 and registered as a charity on 25[th] March 1999.
The company was established under a memorandum of association which established the objects and powers of the charitable company and is governed under its articles of association. The trustees and Senior Management Team
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**AVERT** FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **TRUSTEES’ REPORT**
have updated the charitable objects following review to ensure they are aligned to the new organisation’s strategy. The articles of association are in the process of being updated.
All trustees give their time voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are set out in note 12 to the accounts.
We refer to trustees throughout but for the purposes of the Companies Act the trustees are the directors.
## _Appointment of trustees:_
The charity has a single management body, the Board of Trustees, elected by its members. The charity continues to benefit greatly from a talented committed Board. In the first quarter of FY22, recruitment started to appoint new trustees required to replace those due to retire later in the year and build skills to support the new strategy.
The Board of Trustees meets quarterly with the CEO and other management staff to review finances, progress, and performance, consider risk, strategy and going concerns. Trustee attendance is always high at 80% and above. In addition individual trustees with specific skill sets do from time-to-time work directly with the CEO and members of the management team on specific projects that require their expertise. We established a new Fundraising and Partnerships Technical Working group in Q3 which is made up of two trustees and two pro-bono technical experts in the International Charity sector. This technical working group meets to provide support and strategic direction to the Director of Fundraising and Partnerships. Once a year, trustees come together with the Senior Management Team – for an away day providing an opportunity for more detailed work and training. This year’s Trustee Away Day focused on the development of the new strategy. Trustees regularly consider the latest guidance from the Charity Commission and other relevant bodies on good practice.
## _Remuneration policy for key management personnel:_
The pay and remuneration of the charity’s key management personnel is established through job evaluation, sector benchmarking, availability of funding, recruitment advertising, individuals’ skills, knowledge and experience, and relevant salary surveys comparison. The CEO, together with the Board, review budget availability for all appointments. The Chair of the Board reviews the remuneration of the CEO.
The charity has a staff handbook that contains all necessary human resource and employment policies, including a remuneration policy. The remuneration policy was updated in April 2021. The handbook is reviewed and updated regularly by external employment law specialists. The charity takes the safeguarding of its employees and the people we work with seriously. All staff are asked to sign a code of conduct when joining the organisation and are provided with regular training on safeguarding. The charity’s safeguarding policy is available to the public and was last updated in May 2021.
## _Organisation and decision making:_
The CEO is responsible for the day to day operations, compliance and delivery of the charity’s strategy and is accountable to the Board of Trustees. Working closely with the Senior Management Team, decisions are taken to ensure the successful delivery of the agreed annual work plans, budgets, fundraising priorities and activities. Income, spend and performance are reviewed on a quarterly basis and any corrective actions taken and shared with the trustees to keep projects on track and spend within budget. The organisation has 9 staff positions including the CEO. Two of these are part-time positions. Staff are recruited into roles identified as key to the organisation’s current strategic focus. Any additional skills required to support short-term activity, such as digital web-development and design are hired in on a consultancy / contractor basis. The charity did not make any staffing changing during the year under review, however projected growth in staffing numbers is anticipated during Q2 of the new financial year to align with the growth in activity. Additional capacity will also be added to the Fundraising and Partnerships team to manage a growth in our work and a reduction in hours requested by the Fundraising and Partnerships Director.
## **OBJECTIVES**
The charity’s objects were reviewed and updated during the year to reflect the changing work of the charity and the changing needs of the HIV global response sector. As of January 2021:
The objects of the charity are:
The advancement of health worldwide in all areas specific to HIV and related conditions and to address the social determinants. The charity does this by providing activities that will include, but not limited to improving knowledge, awareness, attitudes, practice and ability through informing, educating, motivating and influencing.
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**AVERT** FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **TRUSTEES’ REPORT**
## Prior to the adoption of new objects the charity’s objects were:
The advancement of public education and research in the medical science of Acquired Immune Deficiency Syndrome (“AIDS”) and to publish and disseminate the useful results of the research thereof provided that if in the opinion of the trustees it appears that significant or major advances have been made in the research into and the treatment of AIDS the trustees may apply the charity’s funds for education, research and treatment of all or any other medical sciences.
In pursuance of the objects, for the public benefit, the trustees have undertaken the activities outlined below and had regard to the Charity Commission’s guidance on public benefit.
## **ACTIVITIES, ACHIEVEMENTS AND PERFORMANCE**
## **Who we are**
Avert uses digital communications to build health literacy on HIV and sexual health. With over 30 years’ experience, we are a trusted provider of accessible, accurate and actionable content and resources that support informed choice. Our work supports global efforts to end AIDS and achieve the Sustainable Development Goal for health.
## **Our vision**
A world with no new HIV infections, where people make empowered sexual health choices, and where those living with HIV do so with dignity, good health and equality.
## **Our mission**
To increase health literacy on HIV and sexual health, among those most affected in areas of greatest need in order to reduce new infections and improve health and well-being.
## **Our values**
We believe in every person’s right to health and to the information that enables them to make informed choices around sexual health. The following values inform our work:
- **Evidence-based** We are committed to providing reliable, accurate, and high-quality information on HIV and sexual health. We use the latest evidence to inform our content and programmatic priorities.
- **Responsive** We adapt our approach to respond to changing trends in the HIV epidemic and in how our target audiences access and consume information **.**
- **Trustworthy** We have more than 30 years’ experience of working in the HIV response. We are recognised and accredited as a provider of accurate and reliable information.
- **Creative**
- We understand the power of new approaches to bring about change. We focus on solutions and think creatively to continually improve our work and bring new insights to the sector.
- **People-oriented** –
- We put people at the centre of what we do and how we do it supporting, valuing, engaging and involving them. We aim to be accessible, inclusive and friendly in everything we do.
- **Collaborative**
- We believe by working in partnership we can pool skills and resources, share learning, and have greater impact.
- **Sex-positive**
- We believe in a sex-positive approach to sexual health and rights that recognises and celebrates sexual pleasure and sexual diversity, prioritises personal agency, and is free of judgment.
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**AVERT** FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **TRUSTEES’ REPORT**
The year under review was a bridging year between closing out on our 2017-21 strategy _Investing for Impact_ and the _–_ launch of our new strategy 2021-24 _From Knowledge to Action Working towards informed choices on HIV and Sexual Health_ . We continued to focus our budget and activities around 3 Response areas from the previous strategy as well as investing time and budget in developing the new strategy; responding to COVID-19; relocating the office and starting the discovery phase for the Avert.org re-development project. The three programme response areas were:
## **Response 1** : Promote knowledge and education on HIV.
_Result: Knowledgeable people are making informed choices._
**Response 2** : Harness innovation to reach those that need to know. _Result: Most at risk populations can access targeted HIV information._
## **Response 3:** Supporting civil society responses that inform and empower.
_Result: Civil society delivers effective programmes and demonstrates their value_ .
## **Highlights from the year**
The COVID-19 pandemic continues to present a real threat to the global HIV response and the achievement of the UNAIDS targets for ending AIDS by 2030. While many countries did achieve the UNAIDS 90-90-90 2020 Fast Track targets, such as Eswatini, many did not, and most concerning of all was the overall failing to reduce the numbers of new HIV infections globally to less than 500,000 annually. Working within this challenging environment Avert remains passionate and committed in its efforts and the role health communications plays.
Despite the presence of COVID-19, this year saw Avert continuing to support an ever increasing number of people with information and materials on HIV and sexual health through our digital channels and products. COVID-19 created an urgency around digital health information and shone a spotlight on the importance of clear, accessible, trustworthy content. During the first quarter we made considerable efforts to get new content on COVID-19 and HIV onto Avert.org and onto Boost. This content soon became the most accessed and popular content on the site. By June the COVID19 and Sex page had become the most viewed page on the site (with over 200,000 views that month). Overall we reached 15.5M with information on HIV and sexual health through Avert.org **–** an increase of 31% on the previous year. We grew our audience in our target region of sub-Saharan Africa by 30% to 2.1M supporting the vital need for people to have the facts, make informed decisions and reject stigma. We reached over 12.5M people with key messages on HIV and sexual health through social media, 9M of whom were in our target countries in southern Africa demonstrating the ongoing appetite and enthusiasm for information to support people to be informed and empowered. An increase in our free Google charity grant to support COVID-19 content and a successful funded application to Gilead Cares all supported this success in reach and engagement of our content.
We were very pleased with the detailed and consultative process we followed during the year to develop our new 3 year strategy. This work included developing a number of ‘influence papers’ that included a peers and competitors analysis, a review of the digital landscape, epidemic analysis, funding trends, and behaviour change models and theories. By the second half of the year we had started work on re-visioning our digital offerings to align with the new strategy. This would include agreeing to the re-development of Avert.org and starting the discovery phase of a new education and information site targeted at our key audiences and would launch our new strategy.
Alongside these substantial pieces of work, we continued to develop Boost, our app for community health workers that we launched the previous year, expanding out its technical functions and content modules. We started working with KiOS, the main operating system for feature phones, to ensure Boost and our sexual health content could reach a wider audience and we launched Young Voices in Swahili to East Africa. Due to COVID-19, we pivoted our research project in Zambia which was originally designed to evaluate the impact of our Young Voices products on young adults’ behaviours and attitudes to health services. The new project will evaluate the role digital can play in changing attitudes and intentions around SRH services.
We were delighted to have had the opportunity to work with a number of new partners including the Global Network of People Living with HIV, providing technical and content development support to their VOICE+ app as well as continuing work with existing partners the Organisation for Public Health Interventions and Development (OPHID) and AfricAid in Zimbabwe and OPHID in Zambia. We are grateful for the support we received from valued funding partners and the time given from new organisations we hope to work with in the coming years as we move to deliver on our new strategy.
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**AVERT** FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **TRUSTEES’ REPORT**
**Our work this year in detail: Response 1: Promote knowledge and education on HIV. Result – Knowledgeable people are making informed choices** :
## _**Avert.org users**_
_“It's very helpful and awesome... I have really learnt a lot from this. Thanks.”_
With well presented, PIF (The UK quality mark for trustworthy health information) tick accredited content Avert.org has over 183 content pages covering 7 broad themes ranging from basic facts through to living with HIV. Avert.org ranks highly for HIV-related search terms. We work to ensure our content is highly relevant to users’ search queries, by using search engine optimisation (SEO) techniques throughout our content creation and review process. Google and other search engines also see our website as a highly authoritative and trusted source. Google determines this by a number of factors including longevity, frequency of updating, and which other websites link to Avert’s, as these links are typically treated as an endorsement for the target site's content. In the case of Avert’s website, over 20,000 sites link to it, including high profile sites such as the BBC, New York Times, The Guardian, UN and WHO, as well as smaller and regional sites from around the world. This means that when someone searches for information on HIV and sexual health, they are very likely to find Avert’s content.
Avert.org serves a wide audience ranging from health seekers looking to understand some of the basic facts around HIV and sexual health as they apply directly to them, through to professionals working across the HIV response who are looking for information to support them in their daily work.
With 1.5M people becoming newly infected with HIV in 2020 knowledge that increases health literacy, promotes positive behaviours and increased uptake of services remains central to ending the HIV epidemic. Last year we were pleased to have supported 15.5M people to access content across Avert.org. We had 15.2M unique page views of core content on our public pages including “About HIV and AIDS”; “Transmission and Prevention”; and “Testing”. Through our bi-annual qualitative surveys 80% of respondents said they learnt something new. We strive to ensure out content is accessible, sex positive and informed by theories emerging from behavioural science and research.
_“This has to be the best resource I have come across on HIV awareness worldwide. The simplicity of the interface and the wealth of information I have gotten cannot be over emphasized.” – Avert.org user, Nigeria_
While Avert.org has been a hugely successful resource and a core part of our offer for many years, we recognise the need to adapt this resource to meet the changing needs of our audiences and how they consume digital content – to ensure it remains fit for the future and is a resource our donors and partners are keen to support us with. Aligned to the aims of our new strategy an extensive review of Avert.org started in the second half of the year. Central to this review has been engaging with our key audiences and finding out what it is they want and how best we can deliver this. We look forward to sharing the results of this in the new financial year.
Boost, launched last year, is a mobile phone app and online resource co-created with over 100 community health workers and peer educators in southern Africa to give them the resources and support they need to provide up-todate high quality care to their clients and communities. This year, we continued to learn from the Boost project and invest in new ways to ensure Boost remains a valued and relevant resource. Adding a new COVID-19 module to Boost at the start of the COVID-19 pandemic proved to be an excellent and highly valued way to support Community Health workers as they found themselves on the frontline of the COVID-19 response.
“ _All peer educators and lay counsellors require this app. I have loved it since when I got a hold of it” – Boost user, Zimbabwe_ .
With additional support from Gilead Sciences and learning from our experience operating Boost as a progressive webapp we have built a native web-version which has increased its reach and improved its performance as a data-light app that works off line. We have also included a new WhatsApp based chatbot which has made engaging with the content easier for many community health workers who are familiar with navigating WhatsApp. Community health workers can now easily ask the BoostBot their question and share the answers with their clients through WhatsApp.
We were also excited to work with KiOS – the largest operating system that works on feature phones across Africa and South Asia this year. Feature phones are much cheaper than smart-phones and remain the phone of choice for
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FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **AVERT**
## **TRUSTEES’ REPORT**
millions of people in these regions. We worked with KiOS to develop a version of Boost that would work on their – platform increasing access to many more Community Health Workers, opening access up to as many people as possible.
## **Response 2: Harness innovation to reach those that need to know. Result** – **Most at risk populations can access targeted HIV information:**
Certain population groups are more key than others to the HIV epidemic and its response. These include adolescent girls and young women in east and southern Africa, men who have sex with men and people living with HIV. Digital communication presents opportunities to provide tailored health content that resonates with these groups, supports – health literacy, behaviour change and empowers in a non-judgemental manner in the privacy of their own environments.
– This year we continued to see strong engagement in our Young Voices content a set of co-created, motivational, dilemma based animation videos focused on topics relevant to young people. We added two new animations focused on condoms and sexual consent. The launch promotion to audiences in sub-Saharan Africa went very well, reaching 686,707 people with 285,900 post engagements, 75,983 50% video views, and 12,800 link clicks. With further funding support from Mercury Phoenix Trust we have also had the opportunity to work with a regional youth organisation in east Africa to translate the Young Voices videos into Swahili further increasing the opportunity for young people to engage.
This year’s World AIDS Day campaign focused on young people in sub-Saharan Africa and the best ways to have a happy and healthy sex life. We recruited through social media a user group of young people interested in supporting sexual health communications and asked them to share messages offering tips and advice to their peers. This presented a number of obvious challenges but was certainly worth attempting and despite the group’s hesitations to share, engagement with the actual campaign was very positive. We reached 3,844,091 people, with 118,748 post engagements and 4,474 link clicks.
Over the last year, with the support from the Vitol Foundation and Risk Pool Fund we have also been working with CIDRZ, the Centre for Infectious Diseases Research Zambia, on a project designed to understand young people’s motivations and barriers to accessing SRH services during COVID-19. The project allowed us to co-design a digital intervention – named Be-In-The-Know, aimed at encouraging increased uptake of services, and improving knowledge and confidence in relation to SRH and HIV. The project wanted to learn if it was possible to use entirely online codesign processes to create a digital intervention that engages young people. Through our strong social media presence in Zambia, we were able to recruit over 1,000 young people to use the app and participate in providing their feedback to the research questions. 95% of respondents rated it as “excellent”.
Stigma surrounding HIV and discrimination directed to those living with or affected by HIV continues to be major barrier to progress and deeply affects people. We have continued to ensure our content, across all our products addresses stigma by presenting an evidence and rights based approach. Last year we reached over 1.2M people with content that addressed stigma and other barriers affecting the HIV response.
## **Response 3: Supporting effective civil society responses which inform and empower those in the hardest hit areas. Result – Civil Society deliver effective programmes and demonstrates their value.**
Having brought our direct grant making and technical support to civil society organisations programme to a close in the previous financial year, this year we focused on continuing to build partnerships with a range of civil society organisations working in similar areas to Avert and focused on exploring how digital health communications work can support their efforts.
At the beginning of the year we started work on a new project supporting the Global Network of People Living with HIV (GNP+) on the development of a new digital resource, VOICE+, which aims to connect it better to its membership, help it gain better updates and insights from the ground for advocacy, and provide information to its volunteers and ambassadors on COVID-19 related issues for people living with HIV. Avert is providing both strategic support and developing content across a number of themes including COVID-19. This work will continue into the new financial year as the scope of the VOICE+ app expands and a review of its performance to date is considered.
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**AVERT** FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **TRUSTEES’ REPORT**
We continue to provide technical support to the Umunthu Foundation, a long standing partner of Avert’s in Malawi, who are implementing a community support programme to increase engagement in prevention of mother-to-childtransmission services. The programme was severely affected by the COVID-19 pandemic as women stayed away from attending their HIV clinical care and ante-natal appointments. Despite this the programme continued to support 1,300 pregnant HIV positive women through their ante-natal period, supporting treatment adherence and helping them understand vertical transmission and the testing and follow-up needs of their new born babies.
We have continued to promote Boost and Young Voices with a range of civil society organisations working with – community health workers and young people including VSO, Sentebale, Elizabeth Glaser Pediatric AIDS Foundation (EGPAF) and United Purpose who have all expressed how these products can benefit their programmes. In all cases we explored partnerships and joint concept developments throughout the year to look for ways we might be able to work together. This work will continue into the new strategic period.
## **– – 2021-24 Strategy From Knowledge to action working towards informed choices on HIV and sexual health.**
_“If you are a young woman living in Zambia confused about what you’ve heard about HIV from an older relative, or a young gay man in India lacking confidence to speak to a health worker about sex, or a community health worker in Zimbabwe trying to keep up with new developments in the HIV response and how to speak about these to your clients – Avert is here to provide you with the information, tools and resources you need.” Sarah Hand, Chief Executive._
## **From health literacy to health outcomes**
Millions of individuals and health workers, in many of the places most affected by HIV, do not have up-to-date knowledge to support their own and their communities’ sexual health. Our work aims to close this HIV knowledge gap and build health literacy by translating complex health literature into accessible, accurate and actionable content, which supports and improves individual health journeys. Our strategy sets out three complementary strategic objectives focused on increasing knowledge, confidence, skills and evidence-based practices among specific targeted audiences, in order to drive improvements in health literacy, self-efficacy, uptake of services, and quality of community and local health worker responses.
- **Strategic response 1: Increase the HIV and sexual health-related knowledge, skills and confidence of those most at risk of HIV and poor sexual health, and those living with HIV.**
- **Strategic response 2: Increase the knowledge, skills and confidence of educators and advocates working on local responses to HIV and sexual health.**
- • **Strategic response 3: Support evidence-based practice among primary HIV and sexual health practitioners.**
Our approach is based on clear evidence that health literacy increases and improves an individual’s engagement with and uptake of available health services, which in turn improves overall health outcomes. By addressing the HIV and sexual health knowledge gaps and building health literacy we are supporting achievement of the UNAIDS global targets on HIV which feed into the wider health-related Sustainable Development Goals.
## **FINANCIAL REVIEW**
Avert has been fortunate to operate with relative financial security made possible through an endowment fund gifted to the charity by its founding directors over 30 years ago. The fund was provided to support the charity to deliver on its charitable objects. The Trustees have therefore taken a prudent approach to its use to ensure a balanced approach between stability, growth, investment and innovation. Recognising the need to attract new funders, a deliberate strategy was taken 5 years ago to increase spend from the endowment to support growth in innovation and quality. This strategy is now paying off as we begin to see investment from new donors and partnerships to support the charity’s objectives.
The charity’s key financial objective for the year was to continue work to diversify the funding base and reduce the percentage of income required from the charity’s invested endowment. While we saw a slight decrease in the value of new funds secured in comparison to the previous year (down 8%) we are pleased overall with the work carried out in the year to increase prospects likely to come through in FY22.
The total income for the year was £205,257. The total cost for raising funds was £97,606 (similar to the previous year) and includes the costs related to managing the charity’s expendable endowment fund. Restricted income is identified
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**AVERT** FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **TRUSTEES’ REPORT**
as such and managed in accordance with the donor’s terms and conditions of grant. No compliance issues arose in the management and handling of restricted funds.
Total expenditure for the year was £677,373 which is a 12% reduction on last year. The reduction is due to the ending of our grants programme, cost savings in the administration of the charity and a reduction in activity spend in the digital programme as we worked on establishing the new strategy and areas for investment in the new financial year. This reduction in spend in the activity area did not affect our reach and engagement figures.
The charity continues to make up the difference between income and expenditure with capital from the charity’s expendable endowment. Operating with a deficit is a strategic decision taken by trustees to drive growth. Our operating deficit has been reducing year on year over the last 4 years. The trustees review the operational plans for the year and the value of the work planned against the wider vision and financial security of the charity before committing unrestricted reserves. They understand that investment in certain activity is necessary to secure the interest and partnership of new funders and that new funding can take up to three years to secure from some trust and foundations.
The charity adopts a prudent financial policy that aims to ensure that all activities undertaken are efficiently managed in accordance with approved budgets and good practice. All expenditure is monitored and payments processed through a system that endeavours to ensure that any possibility of error or fraud is minimised.
## **Principal risks and uncertainties**
The trustees perform a review to identify the major risks to which the charity is exposed on an annual basis and have established systems and procedures to mitigate these risks. These risks include the possibility of volatility in the investment market affecting the charity’s endowment fund, over reliance on the decreasing investment fund to meet – our core operational costs, the ongoing uncertainty created by the COVID-19 pandemic affecting staff and operations, a serious technology failing in the hosting of our digital products and platforms, negative external publicity affecting how our users engage in our digital educational materials, failing to deliver on contractual obligations to donors, and retention and development of staff.
To mitigate the serious threat presented by our current reliance on our endowment fund to fund activity, we have put in place a clear fundraising strategy that has already started to produce results. As we go into the new financial year we have a strong fundraising pipeline which we hope will see a 50% increase in income in the coming year. We have – introduced strong programme management practices to guide the implementation of all work including donor funded.
## **Investments and Reserves**
The charity holds flexible relevant reserves and investment policies that are reviewed annually during budget setting. The charity currently holds an expendable endowment, the purpose of which is to support the charity to deliver on its charitable objects. The investment managers provide a detailed monthly statement of all investments bought and sold and meet with the Board once a year to review the overall strategy and portfolio.
Financial cut-off-points are in place to ensure sufficient funds are always available to meet all necessary statutory and contractual obligations for any 12 month period ahead. These financial cut-offs inform decisions taken on how much the charity can afford to invest, and if and when re-strategizing and down-sizing may be required.
Based on the current financial model of Avert and the charity’s reliance on capital and dividends from the investments to meet its core running and activity costs, the trustees have taken the decision to ensure all funds held by the charity are well invested to ensure a maximum return approach. The extreme global market volatility as a result of COVID-19 at the start of the financial year meant the Trustees held an additional meeting to review the situation. The investment managers issued their guidance and the trustees took the decision to release the necessary anticipated capital requirements for the first six months of the new financial year whilst maintaining a low risk investment portfolio. Investment markets recovered and Avert regained the losses suffered at the end of last year with the total endowment fund ending the financial year valued at £1,369,190. Other unrestricted funds amounted to £79,206 meaning the total unrestricted resources available to the charity at year end were £1,448,396 (2020: £1,555,277). In addition a restricted fund balance of £23,696 represented by 4 unspent grants will be carried forward into the new year.
## **Fundraising**
The charity has a designated Director of Fundraising and Partnerships who leads on all new income and business opportunities with the senior management team. The charity’s fundraising strategy is to ensure the long term sustainability of the charity’s work, for as long as the need continues, through a secure and diverse funding model.
**Page 9**
**AVERT** FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **TRUSTEES’ REPORT**
Our focus over the last three years has been on Trust and Foundations, institutional donors and building partnerships with other implementing organisations we aim to either sub to or bid for new work together on. This year we saw – significant activity under all areas with results in all bar institutional funding. We have received funds that have supported new COVID-19 content; provided additional funding to the evaluation of digital interventions in Zambia project targeted at adolescent girls; and funding to carry out a social medial campaign promoting PREP in southern Africa. In addition we have secured a strong pipeline going into FY22 that will see us start work as a sub-contractor with VSO delivering a life-skills app for young out of school adolescent girls in Mozambique, and a significant new investment from an existing donor to deliver a project in Zimbabwe adapting Boost for youth community health workers.
The charity continues to benefit from a small level of individual donations, mostly through our website – but does not actively run individual giving campaigns. The charity is not involved in event based fundraising and does not use professional fundraisers or commercial participators. Avert is registered with the Fundraising Regulator in the UK, and is committed to best practice in fundraising. There was full compliance of these regulations and codes and the charity received no complaints relating to its fundraising practice.
Avert continues to work with the grant making foundation arms of a number of pharmaceutical companies who support the HIV response, health education, self-care and health literacy. Their support in the past allowed us to develop Boost – a digital education resource for community health workers in southern Africa and in this year provided resources to support us to develop new content on COVID-19 for our global audiences and to add a module on COVID-19 to Boost. The charity has no conflict of interest concerns relating to these funding relationships. There is no question that our values, editorial independence, or impartiality are compromised by these funding relationships.
## **Liabilities and grant commitments**
– Avert has a sub-agreement in place with CIDRZ Centre for Infections Disease Research Zambia, to implement the research project partially funded by the Vitol Foundation. All funds have been transferred in accordance with the subagreement and will be reported and closed out on in September 2021. We also made a grant to OPHID in Zimbabwe, in the form of a one off payment specific to work they are doing to support the rollout of Boost in Zimbabwe. There are no accrued liabilities at the year-end on either grant commitments.
Avert’s lease on its previous offices came to an end in October 2020 and the decision was taken not to renew – largely due to the change in office working patterns created by COVID-19 and the concern at the liabilities associated with renewing on another long lease. Avert now has a flexible annual rental agreement with Platform 9, a shared office working environment that will be reviewed in November 2021.
## **PLANS FOR THE FUTURE**
– The charity starts the new year financial year with a new 3 Year Strategy _**From Knowledge to Action**_ . The strategy clearly articulates our mission and objectives and ways of working that we are confident are aligned to the needs of the HIV epidemic. As the epidemic continues to change, Avert is clear that it needs to remain flexible and responsive to these changes in its strategic offer. We will increase our staffing capacity in Fundraising and Partnerships and develop a new fundraising and partnerships strategy to help guide the income we need and the partnerships necessary to deliver the new strategy. We will invest more in the wider profiling of the organisation to support our fundraising work through sharing the results of our work at events, through publications and at conferences. We will further continue to invest in supporting our staff and ensuring they have the skills and development opportunities to support the new strategy.
We will continue to track the direct and indirect effects of the COVID-19 pandemic response on our work and take the necessary actions required to ensure Avert can continue to fulfil its mission.
Specifically, we will build on our learning and expertise in health literacy and supporting the knowledge needs of three – key audiences; individual health seekers, community health workers and health practitioners all living and working in the areas hardest hit and in greatest need. We will continue to invest and improve in our monitoring and evaluation work to ensure we are gathering data to show the effects we are having, course correct when necessary and learning as we go. We are committed to supporting co-creation approaches and more user-led content across all our digital channels to support conversations and create action orientated content that empowers and gives voice to those living and affected by the HIV epidemic. We look forward to working with industry experts to help us shape the technology
**Page 10**
**AVERT** FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **TRUSTEES’ REPORT**
and innovation we use to deliver and manage our digital offer to ensure ever increasing numbers of people around the world can continue to get the information they need and want on HIV and sexual health.
## **STATEMENT OF TRUSTEES’ RESPONSIBILITIES**
The trustees (who are also directors of Avert for the purposes of company law) are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP 2019 (FRS 102);
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the trustees are aware:
- there is no relevant audit information of which the charitable company’s auditor is unaware; and
- the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information
The trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
## **APPOINTMENT OF AUDITORS**
The charity reappointed Blue Spire Limited as the charity’s auditors for the year under review.
Blue Spire Limited have expressed their willingness to stand for reappointment and a resolution proposing their reappointment will be put forward at the annual general meeting of the charity.
## **SMALL COMPANIES PROVISIONS**
This report has been prepared in accordance with the small companies regime under the Companies Act 2006.
Approved by the trustees and signed on their behalf.
Professor Simon Forrest Chairman
Date 21 October 2021
**Page 11**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **AVERT**
## **INDEPENDENT AUDITOR’S REPORT**
## **Independent auditor’s report to the members of Avert**
## **Opinion**
We have audited the financial statements of Avert (the ‘charitable company’) for the year ended 31 March 2021 which comprise Statement of Financial Activities, Balance Sheet, Statement of Cash Flows[ and] notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
- give a true and fair view of the state of the charitable company’s affairs as at 31 March 2021, and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Companies Act 2006.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The other information comprises the information included in the trustees’ report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
## **Opinions on other matters prescribed by the Companies Act 2006**
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the trustees' report (incorporating the directors’ report) for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the directors’ report has been prepared in accordance with applicable legal requirements.
**Page 12**
**AVERT** FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **INDEPENDENT AUDITOR’S REPORT**
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors’ remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit **;** or
- the trustees were not entitled to prepare the financial statements in accordance with the small companies’ regime and take advantage of the small companies’ exemptions in preparing the directors’ report and from the requirement to prepare a strategic report **.**
## **Responsibilities of trustees**
As explained more fully in the statement of trustees responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
## **Auditor’s responsibilities for the audit of the financial statements**
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
- Enquiry of management, those charged with governance around actual and potential litigation and claims;
- Enquiry of entity staff to identify any instances of non-compliance with laws and regulations;
- Reviewing minutes of meetings of those charged with governance;
- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations.
- Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and revieing accounting estimates for bias.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/Our-Work/Audit/Audit-and-assurance/Standards-and-guidance/Standards-and-guidance-forauditors/Auditors-responsibilities-for-audit/Description-of-auditors-responsibilities-for-audit.aspx. This description forms part of our auditor’s report.
**Page 13**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ st] MARCH 2021
## **AVERT**
## **INDEPENDENT AUDITOR’S REPORT**
## **Use of our report**
This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed
Cawley Priory South Pallant Chichester Geoffrey Frost BSc(Hons) FCA (Senior Statutory Auditor) West Sussex For and on behalf of Blue Spire Limited, Statutory Auditor PO19 7UY
15 November 2021 Date
**Page 14**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT)**
|**Note**
**INCOME AND ENDOWMENTS FROM:**
Donations and legacies
**1**
Charitable activities
**2**
Investments
**3**
Other income
**4**
**Total**
**EXPENDITURE ON:**
Raising funds - Investment management
**5**
Raising funds - Seeking funds
**5**
Charitable activities
**6**
**Total**
Net gains/(losses) on investment assets
**Net Income/(expenditure)**
**Transfers between funds**
**19**
**Net movement in funds**
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
**19**
**Total funds carried forward**
**19**|**Unrestricted**
**Funds**
**£**
6,907
26,982
52,085
704
86,678
-
84,555
422,626
507,181
-
(420,503)
487,920
67,417
11,789
79,206|**Restricted**
**Funds**
**£**
118,579
-
-
-
118,579
-
-
157,141
157,141
-
(38,562)
-
(38,562)
62,258
23,696|**Endowment**
**Funds**
**£**
-
-
-
-
-
13,051
-
-
13,051
326,673
313,622
(487,920)
(174,298)
1,543,488
1,369,190|**2021**
**Total**
**Funds**
**£**
125,486
26,982
52,085
704
205,257
13,051
84,555
579,767
677,373
326,673
(145,443)
-
(145,443)
1,617,535
1,472,092|**2020**
**Total**
**Funds**
**£**
137,623
24,319
74,582
366|
|---|---|---|---|---|---|
||||||236,890|
||||||15,323
82,062
672,751|
||||||770,136|
||||||(68,888)|
||||||(602,134)
-|
||||||(602,134)
2,219,669|
||||||1,617,535|
The charity has no recognised gains or losses other than those dealt with in the statement of financial activities. All of the above results are derived from continuing activities.
**Page 15**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **BALANCE SHEET AS AT 31 MARCH 2021**
|||**2021**||**2020**||
|---|---|---|---|---|---|
||**Note**|**£**|**£**|**£**|**£**|
|**FIXED ASSETS**||||||
|Tangible assets|**13**|4,807||6,269||
|Investments|**14**|1,369,190||1,543,488||
||||1,373,997||1,549,757|
|**CURRENT ASSETS**||||||
|Debtors|**15**|8,913||45,657||
|Cash at hand and in bank||148,229||61,965||
|**Total current assets**||157,142||107,622||
|**CURRENT LIABILITIES**||||||
|Creditors: amounts falling due within one year|**16**|59,047||39,844||
|**Net current assets/(liabilities)**|||98,095||67,778|
|**Net assets/(liabilities)**|||1,472,092||1,617,535|
|**THE FUNDS OF THE CHARITY**||||||
|**Endowment funds**|**19**|||||
|Expendable endowment||837,033||1,155,302||
|Fair value reserve||532,157||388,186||
||||1,369,190||1,543,488|
|**Restricted funds**|**19**||23,696||62,258|
|**Unrestricted funds**||||||
|Designated Funds||4,807||6,269||
|General Funds||74,399||5,520||
|**Total unrestricted funds**|**19**||79,206||11,789|
|**Total charity funds**|||1,472,092||1,617,535|
The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements on pages 15 to 32 were approved and authorised for issue by the trustees on 21 October 2021 and signed on their behalf by:
…………………………………………. Professor Simon Forrest Chairman
Avert
Registered Charity Number 1074849 Registered Company Number 03716796
**Page 16**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **STATEMENT OF CASH FLOWS**
|**Note**
**£**
**£**
**Net cash flow from operating activities (see below)**
(465,999)
**Cash flow from investing activities**
Purchase of tangible fixed assets
(788)
Purchase of investments
-
Proceeds from sales of investments
373,492
Receipts from sale of tangible fixed assets
-
Investment income
52,080
**Net cash flow from investing activities**
424,784
**Net increase/(decrease) in cash and cash equivalents**
(41,215)
**Cash and cash equivalents at 1 April 2020**
209,830
**Cash and cash equivalents at 31 March 2021**
168,615
**Cash and cash equivalents consist of:**
Cash at bank and in hand
148,229
Cash held within investments
20,386
**Cash and cash equivalents at 31 March 2021**
168,615
**Reconciliation of net income to net cash flow from operating activities**
**£**
**£**
Net income for the period
(145,443)
Adjusted for:
Investment income
(52,080)
(Gains)/losses on investments
(326,673)
Depreciation and impairment of tangible fixed assets
2,250
Loss on disposal of fixed assets
-
Decrease/(increase) in debtors
36,744
Increase/(decrease) in creditors
19,203
(320,556)
(465,999)
**Analysis of changes in net debt**
**2021**
**Cash and cash**
**equivalents**
**£**
Total net debt brought forward
209,830
Cash flows
(41,215)
Total net debt carried forward
168,615
**2021**
**2021**|**£**
**£**
(553,181)
(1,135)
-
538,268
75
74,573
611,781
58,600
151,230
209,830
61,965
147,865
209,830
**£**
**£**
(602,134)
(74,573)
68,888
1,880
15
53,486
(743)
48,953
(553,181)
**2020**
**Cash and cash**
**equivalents**
**£**
151,230
58,600
209,830
**2020**
**2020**|**£**
**£**
(553,181)
(1,135)
-
538,268
75
74,573
611,781
58,600
151,230
209,830
61,965
147,865
209,830
**£**
**£**
(602,134)
(74,573)
68,888
1,880
15
53,486
(743)
48,953
(553,181)
**2020**
**Cash and cash**
**equivalents**
**£**
151,230
58,600
209,830
**2020**
**2020**|
|---|---|---|
|||(553,181)|
|||**2020**
**Cash and cash**
**equivalents**
**£**
151,230
58,600|
|||209,830|
**Page 17**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **ACCOUNTING POLICIES**
## **General information, scope and basis of the financial statements**
Avert is an incorporated charity, limited by guarantee, incorporated in England with the company number 03716796. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The address of the registered office is given in the charity information page of these financial statements. The nature of the charity’s operations and principal activities are outlined in the trustees' report.
The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice.
The financial statements are prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The financial statements are presented in sterling which is the functional currency of the charity and rounded to the nearest £.
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.
## **Incoming resources**
All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.
For donations to be recognised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.
For legacies, entitlement is the earlier of the charity being notified of an impending distribution or the legacy being received. At this point income is recognised. On occasion legacies will be notified to the charity however it is not possible to measure the amount expected to be distributed. On these occasions, the legacy is treated as a contingent asset and disclosed.
Income from government and other grants are recognised at fair value when the charity has entitlement after any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably. If entitlement is not met then these amounts are deferred.
Investment income is earned through holding assets for investment purposes such as shares and cash deposits. It includes dividends and interest. Where it is not practicable to identify investment management costs incurred within a scheme with reasonable accuracy the investment income is reported net of these costs. It is included when the amount can be measured reliably. Interest income is recognised using the effective interest method and dividend income is recognised as the charity’s right to receive payment is established.
## **Resources expended**
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. It is categorised under the following headings:
● costs of raising funds; which includes the costs of organising events and investment management fees
● expenditure on charitable activities; which includes grants made to beneficiaries and costs incurred to support those activities
Grants payable to third parties are within the charitable objectives. Where unconditional grants are offered, this is accrued as soon as the recipient is notified of the grant, as this gives rise to a reasonable expectation that the recipient will receive the grants. Where grants are conditional relating to performance then the grant is only accrued when any unfulfilled conditions are outside of the control of the charity.
## _Support cost allocation_
Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs and administrative payroll costs. They are incurred directly in support of expenditure on the objects of the charity. Where support costs cannot be directly attributed to particular headings they have been allocated to cost of raising funds and expenditure on charitable activities on a basis consistent with use of the resources.
The analysis of these costs is included in Note 7 and has been included on the following basis.
Promoting knowledge and education 60% (2020: 60%) Harness innovation 20% (2020: 20%) Supporting civil society 20% (2020: 20%)
**Page 18**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **ACCOUNTING POLICIES**
## **Employee benefits**
When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service.
## **Pension costs**
The charity operates a defined contribution pension scheme. Contributions to the scheme are charged to the statement of financial activities on a payable basis.
## **VAT**
The charity is not registered for VAT and is unable to recover VAT incurred. On this basis costs are recorded inclusive of VAT within the SoFA.
## **Taxation**
The charity is considered to pass the tests set out in sections 466 to 493 Corporation Tax Act 2010 (CTA 2010), as such no income tax is payable on the charity's activities.
## **Fixed assets**
Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.
Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:
Office equipment 25% reducing balance
## **Fixed asset investments**
Investments are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are measured at fair value with changes recognised in ‘net gains/(losses) on investments’ in the SoFA if the shares are publicly traded or their fair value can otherwise be measured reliably.
## **Debtors and creditors receivable / payable within one year**
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.
## **Cash and cash equivalents**
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value. In addition it includes cash at bank and in hand and cash balances within the investment portfolio available for investment transaction purposes.
## **Operating leases**
Rentals payable under operating leases are charged in the statement of financial activities on a straight line basis over the lease term.
**Page 19**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **ACCOUNTING POLICIES**
## **Fund accounting**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Endowment funds represent those assets which were gifted to the charity to be held for income generation and applied in furtherance of the charity’s objects. Income arising on the endowment funds can be used in accordance with the objects of the charity and is included as unrestricted income. Any capital gains or losses arising on the investments form part of the fund. Investment management charges and legal advice relating to the fund are charged against the fund.
Further details of each fund are disclosed in Note 20.
## **Going concern**
The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.
**Page 20**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **AVERT**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **1. Donations and legacies**
|Donations
Grants
Donations
Grants
**2. Charitable activities**
Earned income
Earned income
**3. Investments**
Bank interest
Income from investment holdings
Bank interest
Income from investment holdings|**Unrestricted**
**Funds**
**£**
6,907
-
6,907
**Unrestricted**
**Funds**
**£**
8,580
-
8,580
**Unrestricted**
**Funds**
**£**
26,982
26,982
**Unrestricted**
**Funds**
**£**
24,319
24,319
**Unrestricted**
**Funds**
**£**
5
52,080
52,085
**Unrestricted**
**Funds**
**£**
9
74,573
74,582|**Restricted**
**Funds**
**£**
-
118,579
118,579
**Restricted**
**Funds**
**£**
-
129,043
129,043
**Restricted**
**Funds**
**£**
-
-
**Restricted**
**Funds**
**£**
-
-
**Restricted**
**Funds**
**£**
-
-
-
**Restricted**
**Funds**
**£**
-
-
-|**Endowment**
**Funds**
**£**
-
-
-
**Endowment**
**Funds**
**£**
-
-
-
**Endowment**
**Funds**
**£**
-
-
**Endowment**
**Funds**
**£**
-
-
**Endowment**
**Funds**
**£**
-
-
-
**Endowment**
**Funds**
**£**
-
-
-|**2021**
**Total**
**Funds**
**£**
6,907
118,579|
|---|---|---|---|---|
|||||125,486|
|||||**2020**
**Total**
**Funds**
**£**
8,580
129,043|
|||||137,623|
|||||**2021**
**Total**
**Funds**
**£**
26,982|
|||||26,982|
|||||**2020**
**Total**
**Funds**
**£**
24,319|
|||||24,319|
|||||**2021**
**Total**
**Funds**
**£**
5
52,080|
|||||52,085|
|||||**2020**
**Total**
**Funds**
**£**
9
74,573|
|||||74,582|
**Page 21**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **NOTES TO THE FINANCIAL STATEMENTS**
## **4. Other income**
|Furlough receipts
Miscellaneous income
Furlough receipts
Miscellaneous income
**5. Raising funds**|**Unrestricted**
**Funds**
**£**
704
-
704
**Unrestricted**
**Funds**
**£**
-
366
366|**Restricted**
**Funds**
**£**
-
-
-
**Restricted**
**Funds**
**£**
-
-
-|**Endowment**
**Funds**
**£**
-
-
-
**Endowment**
**Funds**
**£**
-
-
-|**2021**
**Total**
**Funds**
**£**
704
-|
|---|---|---|---|---|
|||||704|
|||||**2020**
**Total**
**Funds**
**£**
-
366|
|||||366|
||||||
|**5. Raising funds**|||||
|---|---|---|---|---|
|_Investment management_
Investment management fees
_Cost of seeking donations, grants and legacies_
Staff costs
Other costs
_Investment management_
Investment management fees
_Cost of seeking donations, grants and legacies_
Staff costs
Other costs|**Unrestricted**
**Funds**
**£**
-
-
69,803
14,752
84,555
84,555
**Unrestricted**
**Funds**
**£**
-
-
71,566
10,496
82,062
82,062|**Restricted**
**Funds**
**£**
-
-
-
-
-
-
**Restricted**
**Funds**
**£**
-
-
-
-
-
-|**Endowment**
**Funds**
**£**
13,051
13,051
-
-
-
13,051
**Endowment**
**Funds**
**£**
15,323
15,323
-
-
-
15,323|**2021**
**Total**
**Funds**
**£**
13,051|
|||||13,051|
|||||69,803
14,752|
|||||84,555|
|||||97,606|
|||||**2020**
**Total**
**Funds**
**£**
15,323|
|||||15,323|
|||||71,566
10,496|
|||||82,062|
|||||97,385|
**Page 22**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **NOTES TO THE FINANCIAL STATEMENTS**
## **6. Charitable activities**
|_Promote knowledge and education on HIV_
Grants
Staff costs
Other direct costs
Support and governance costs
_Harness innovation to reach those that need to know_
Staff costs
Other direct costs
Support and governance costs
_Supporting effective civil society responses which inform and empower_
Grants (see note 8)
Staff costs
Other direct costs
Support and governance costs
_Promote knowledge and education on HIV_
Grants
Staff costs
Other direct costs
Support and governance costs
_Harness innovation to reach those that need to know_
Staff costs
Other direct costs
Support and governance costs
_Supporting effective civil society responses which inform and empower_
Grants
Staff costs
Other direct costs
Support and governance costs|**Unrestricted**
**Funds**
**£**
-
152,055
42,753
97,730
292,538
50,685
14,251
32,576
97,512
-
-
-
32,576
32,576
422,626
**Unrestricted**
**Funds**
**£**
-
139,054
86,614
90,653
316,321
46,351
28,872
30,217
105,440
54,109
17,891
800
30,217
103,017
524,778|**Restricted**
**Funds**
**£**
38,366
45,803
41,125
-
125,294
15,268
13,708
-
28,976
1,200
1,671
-
-
2,871
157,141
**Restricted**
**Funds**
**£**
60,406
32,712
32,571
-
125,689
10,904
10,857
-
21,761
-
523
-
-
523
147,973|**Endowment**
**Funds**
**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
**Endowment**
**Funds**
**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-|**2021**
**Total**
**Funds**
**£**
38,366
197,858
83,878
97,730|
|---|---|---|---|---|
|||||417,832|
|||||65,953
27,959
32,576|
|||||126,488|
|||||1,200
1,671
-
32,576|
|||||35,447|
|||||579,767|
|||||**2020**
**Total**
**Funds**
**£**
60,406
171,766
119,185
90,653|
|||||442,010|
|||||57,255
39,729
30,217|
|||||127,201|
|||||54,109
18,414
800
30,217|
|||||103,540|
|||||672,751|
**Page 23**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **NOTES TO THE FINANCIAL STATEMENTS**
## **7. Support and governance costs**
|**7. Support and governance costs**|||||
|---|---|---|---|---|
|Staff costs
Premises
Recruitment and training
Travel, conference and events
Security including Legal and HR
Printing, postage and stationery
Telephone
Computer costs and equipment hire
General office and office moving expenses
Insurance
Subscriptions
Depreciation
Governance:
Audit fee
Trustee training and expenses
Strategic Development
_Allocation of support costs_
Promote knowledge and education
Harness innovation
Supporting civil society
Staff costs
Premises
Recruitment and training
Travel, conference and events
Security including Legal and HR
Printing, postage and stationery
Telephone
Computer costs and equipment hire
General office expenses
Insurance
Subscriptions
Depreciation
Governance:
Audit fee
Trustee training and expenses
Strategic Development
_Allocation of support costs_
Promote knowledge and education
Harness innovation
Supporting civil society|**Unrestricted**
**Funds**
**£**
59,416
37,689
661
2,557
2,329
3,987
2,880
3,625
32,614
2,334
4,182
2,250
5,250
20
3,088
162,882
97,730
32,576
32,576
162,882
**Unrestricted**
**Funds**
**£**
52,361
58,046
1,342
4,589
4,384
3,485
5,216
1,873
1,823
3,402
4,123
1,880
5,100
1,793
1,670
151,087
90,653
30,217
30,217
151,087|**Restricted**
**Funds**
**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
**Restricted**
**Funds**
**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-|**Endowment**
**Funds**
**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
**Endowment**
**Funds**
**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-|**2021**
**Total**
**Funds**
**£**
59,416
37,689
661
2,557
2,329
3,987
2,880
3,625
32,614
2,334
4,182
2,250
5,250
20
3,088|
|||||162,882|
|||||97,730
32,576
32,576|
|||||162,882|
|||||**2020**
**Total**
**Funds**
**£**
52,361
58,046
1,342
4,589
4,384
3,485
5,216
1,873
1,823
3,402
4,123
1,880
5,100
1,793
1,670|
|||||151,087|
|||||90,653
30,217
30,217|
|||||151,087|
**Page 24**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **NOTES TO THE FINANCIAL STATEMENTS**
## **8. Analysis of grants**
|Grants to institutions
Zimbabwe - AfricAid
Zimbabwe - OPHID
Zambia - CIDRZ
Lesotho - Phelisanang Bophelong
Zambia - Bwafwano Integrated Services Organisation
Malawi - Umunthu Foundation
Analysed between
Promoting knowledge and education
Supporting civil society|**2021**
**Total**
**Funds**
**£**
-
2,281
36,085
-
-
1,200
39,566
38,366
1,200
39,566|**2020**
**Total**
**Funds**
**£**
3,488
8,609
48,309
11,417
13,493
29,199|
|---|---|---|
|||114,515|
|||60,406
54,109|
|||114,515|
## **Future commitments**
The charity budgets for instalments of multi year grants that have not yet been approved. These future commitments are not contractual as the amounts are not part of the charity's formal grant offer, and are subject to the grantee satisfying the charity's monitoring requirements and showing that they are making satisfactory progress towards meeting the grant's objectives. At the balance sheet date the charity had no obligations for future instalments of grants.
## **9. Auditors' remuneration**
|**Unrestricted**
**Funds**
**£**
Auditors' remuneration - audit
5,250
**Unrestricted**
**Funds**
**£**
Auditors' remuneration - audit
5,100
**10. Wages and salary cost**
Gross wages
Employer's national insurance costs (inclusive of employer national insurance allowance)
Employer's pension contributions
Termination payments*|**Restricted**
**Funds**
**£**
-
**Restricted**
**Funds**
**£**
-|**Endowment**
**Funds**
**£**
-
**Endowment**
**Funds**
**£**
-
**2021**
**Total**
**Funds**
**£**
327,732
31,216
26,387
-
385,335|**2021**
**Total**
**Funds**
**£**
5,250|
|---|---|---|---|
||||**2020**
**Total**
**Funds**
**£**
5,100|
||||**2020**
**Total**
**Funds**
**£**
308,654
28,481
24,423
3,000|
||||364,558|
*During the comparative year under review termination payments of £3,000 were paid to a former employee. No additional amounts were due.
**Page 25**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **AVERT**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **10. Wages and salary cost (continued)**
One employee (2020: One employee) received employee benefits inclusive of social security contributions (excluding employer pension costs) in the range £60,000 to £70,000.
The average number of employees was:
|Administration of charitable activities|9
9|9|
|---|---|---|
|||9|
## **11. Pension scheme**
The charity operates a defined contribution pension scheme for its employees. The total payable for the year under review was £26,387 (2020: £24,423). £3,556 (2020: £3,238) was outstanding at the end of the financial year.
## **12. Related party transactions**
None of the trustees received any remuneration during the year under review (2020: £nil). £20 (2020: £1,793) was reimbursed to or paid on behalf of the trustees listed on page 1.
No donations (2020: £nil) were received from the charity's trustees in the year under review.
During the year under review the charity reimbursed or paid expenses on behalf of the four (2020: five) key management personnel incurred in the performance of their duties totalling £7,384 (2020: £9,953).
At the end of the reporting year the charity had four key management personnel comprising the CEO, Director of Communications and Digital Health Strategy, Finance and Operations Manager and Head of Programme Funding with a Partnership and Engagement Manager leaving in the comparative year. The total employee benefits, inclusive of employer's national insurance and pension contributions, received by those key management personnel amounted to £216,339 (2020: £216,237).
## **13. Tangible fixed assets**
|_Cost_
At 1 April 2020
Additions
Disposals
At 31 March 2021
_Depreciation_
Accumulated at 1 April 2020
Charge for the year
On disposals
At 31 March 2021
Net book value at 31 March 2021
Net book value at 31 March 2020|**Office**
**equipment**
**£**
11,582
788
(3,415)
8,955
5,313
2,250
(3,415)
4,148
4,807
6,269|**Total**
**£**
11,582
788
(3,415)|
|---|---|---|
|||8,955|
|||5,313
2,250
(3,415)|
|||4,148|
|||4,807|
|||6,269|
**Page 26**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **NOTES TO THE FINANCIAL STATEMENTS**
## **14. Fixed assets investments**
|_Reconciliation of movement on investments_
Carrying (market) value brought forward
Additions at cost
Disposals at carrying value
Gain/(Loss) on revaluation
Net increase/(decrease) in cash
Carrying (market) value carried forward
_Gains/(losses) on investments_
Unrealised (from above)
Realised on disposal of fixed asset investments
_The investments above are analysed as follows:_
Listed investments
Cash or cash equivalents|**Listed**
**investments**
**£**
1,395,623
-
(184,351)
137,532
-
1,348,804
137,532
189,141
326,673
1,348,804
-
1,348,804|**Cash**
**£**
147,865
-
-
-
(127,479)
20,386
-
-
-
-
20,386
20,386|**2021**
**Total**
**Funds**
**£**
1,543,488
-
(184,351)
137,532
(127,479)
1,369,190
137,532
189,141
326,673
1,348,804
20,386
1,369,190|**2020**
**Total**
**Funds**
**£**
2,093,127
-
(407,516)
(199,640)
57,517|
|---|---|---|---|---|
|||||1,543,488|
|||||(199,640)
130,752|
|||||(68,888)|
|||||1,395,623
147,865|
|||||1,543,488|
## **15. Debtors**
|Trade debtors
Other debtors
Prepayments
Accrued income receivable within one year|**2021**
**Total**
**Funds**
**£**
-
5,914
2,843
156
8,913|**2020**
**Total**
**Funds**
**£**
7,549
-
13,562
24,546|
|---|---|---|
|||45,657|
Accrued income consists of grant income receivable at the balance sheet date in respect of gift aid of £55 and Coronavirus Job Retention Scheme of £101. In the comparative year accrued income consisted of gift aid of £36 and VITOL of £24,510.
## **16. Creditors: amounts falling due within one year**
|**16. Creditors: amounts falling due within one year**|||
|---|---|---|
|Trade creditors
Accruals
Other creditors
Taxation and social security|**2021**
**Total**
**Funds**
**£**
10,762
34,801
3,556
9,928
59,047|**2020**
**Total**
**Funds**
**£**
8,727
17,563
4,895
8,659|
|||39,844|
**Page 27**
## **AVERT**
## FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **NOTES TO THE FINANCIAL STATEMENTS**
## **17. Commitments under operating lease**
|**17. Commitments under operating lease**|||
|---|---|---|
|Not later than one year
At 31 March the charity had total minimum lease payments under a non-cancellable operating lease, for
land and buildings, as follows:|**2021**
**Total**
**Funds**
**£**
-
-|**2020**
**Total**
**Funds**
**£**
22,116|
|||22,116|
## **18. Analysis of net assets between funds**
|**18. Analysis of net assets between funds**||||||
|---|---|---|---|---|---|
|Tangible fixed assets
Fixed asset investments
Current assets
Current liabilities|**Unrestricted**
**Funds**
**£**
4,807
-
133,446
(59,047)
79,206|**Restricted**
**Funds**
**£**
-
-
23,696
-
23,696|**Endowment**
**Funds**
**£**
-
1,369,190
-
-
1,369,190|**2021**
**Total**
**Funds**
**£**
4,807
1,369,190
157,142
(59,047)
1,472,092|**2020**
**Total**
**Funds**
**£**
6,269
1,543,488
107,622
(39,844)|
||||||1,617,535|
## **19. Analysis of net movement in funds**
|_Endowment funds_
Expendable endowment
Fair value reserve
_Total endowment funds_
_Restricted funds_
Vitol Foundation
ViiV Healthcare
Gilead Sciences
Cricket Without Boundaries
Mercury Phoenix Trust 1
Mercury Phoenix Trust 2
Risk Pool Fund
_Total endowment funds_
_Unrestricted funds_
_Designated funds_
Fixed asset reserve
General Fund
_Total unrestricted funds_
Total funds|||**Year ended 31 March 2021**|**Year ended 31 March 2021**|||
|---|---|---|---|---|---|---|
||**Total funds**
**brought**
**forward**
**£**
1,155,302
388,186
1,543,488
47,214
1,450
-
3,094
10,500
-
-
62,258
6,269
6,269
5,520
11,789
1,617,535|**Total**
**incoming**
**resources**
**£**
-
-
-
-
2,621
76,046
-
-
9,890
30,022
118,579
-
-
86,678
86,678
205,257|**Total**
**resources**
**expended**
**£**
(13,051)
-
(13,051)
(47,214)
(2,871)
(76,046)
(3,094)
(3,331)
-
(24,585)
(157,141)
(2,250)
(2,250)
(504,931)
(507,181)
(677,373)|**Gains and**
**(losses) on**
**investments**
**£**
182,702
143,971
326,673
-
-
-
-
-
-
-
-
-
-
-
-
326,673|**Transfers**
**between**
**funds**
**£**
(487,920)
-
(487,920)
-
-
-
-
-
-
-
-
788
788
487,132
487,920
-|**Total funds**
**carried**
**forward**
**£**
837,033
532,157|
|||||||1,369,190|
|||||||-
1,200
-
-
7,169
9,890
5,437|
|||||||23,696|
|||||||4,807|
|||||||4,807
74,399|
|||||||79,206|
|||||||1,472,092|
**Page 28**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **AVERT**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **19. Analysis of net movement in funds (continued)**
|_Endowment funds_
Expendable endowment
Fair value reserve
_Total endowment funds_
_Restricted funds_
Vitol Foundation
Vitol Foundation
ViiV Healthcare
Gilead Sciences
Cricket Without Boundaries
Mercury Phoenix Trust
_Total endowment funds_
_Unrestricted funds_
_Designated funds_
Fixed asset reserve
General Fund
_Total unrestricted funds_
Total funds|||**Year ended 31 March 2020**|**Year ended 31 March 2020**|||
|---|---|---|---|---|---|---|
||**Total funds**
**brought**
**forward**
**£**
1,494,089
599,038
2,093,127
10,716
-
1,973
68,499
-
-
81,188
7,104
7,104
38,250
45,354
2,219,669|**Total**
**incoming**
**resources**
**£**
-
-
-
-
112,950
-
813
4,780
10,500
129,043
-
-
107,847
107,847
236,890|**Total**
**resources**
**expended**
**£**
(15,323)
-
(15,323)
(10,716)
(65,736)
(523)
(69,312)
(1,686)
-
(147,973)
(1,880)
(1,880)
(604,960)
(606,840)
(770,136)|**Gains and**
**(losses) on**
**investments**
**£**
141,964
(210,852)
(68,888)
-
-
-
-
-
-
-
-
-
-
-
(68,888)|**Transfers**
**between**
**funds**
**£**
(465,428)
-
(465,428)
-
-
-
-
-
-
-
1,045
1,045
464,383
465,428
-|**Total funds**
**carried**
**forward**
**£**
1,155,302
388,186|
|||||||1,543,488|
|||||||-
47,214
1,450
-
3,094
10,500|
|||||||62,258|
|||||||6,269|
|||||||6,269
5,520|
|||||||11,789|
|||||||1,617,535|
## **20. Description of funds**
Expendable endowment Expendable endowment funds comprise an expendable endowment donated to the charity in 1989. Fair value reserve Representing the variance between cost and fair value of the charity's investment assets. Vitol Foundation Funds received to carry out an impact assessment of our Young Voices project. ViiV Healthcare Funds received from ViiV Healthcare's Positive Action for Children Fund to support Umunthu's Prevention of Mother-to-Child Transmission project. Gilead Sciences Funds received for work with community health workers and young adults living with HIV. Cricket Without Boundaries Funds received from Cricket Without Boundaries to support the charity's Cricket for HIV education and awareness project. Mercury Phoenix Trust 1 Funds received from Mercury Phoenix Trust to support the charity's Promoting knowledge and education projects. Mercury Phoenix Trust 2 Funds received from Mercury Phoenix Trust to create a social media campaign promoting awareness, interest, support and demand for PrEP among young people in Southern Africa. Risk Pool Fund Funds received from the Risk Pool Fund in collaboration with The Vitol Foundation to evaluate sexual health communications during the coronavirus epidemic in Zambia. Fixed asset reserve Designated funds representing the net book value of fixed assets. General funds Funds available for use at the discretion of the trustees.
**Page 29**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **NOTES TO THE FINANCIAL STATEMENTS**
## **21. Transfers between funds**
|**From**
**To**
_Transfer 1_
Expendable endowment
General fund|**Unrestricted**
**Funds**
**£**
487,920
487,920|**Designated**
**Funds**
**£**
-
-|**Restricted**
**Funds**
**£**
-|**Endowment**
**Funds**
**£**
(487,920)
(487,920)|**Total**
**Funds**
**£**
-|
|---|---|---|---|---|---|
||||||-|
|_Transfer 2_
General fund
Fixed Assets
(788)
788
-
(788)
788
-
-
487,132
788
-
(487,920)
Transfer from general funds to fixed assets designated fund representing the additions to and disposal of fixed assets
Transfer from expendable endowment funds to general fund to support the expenditure of the charity|-|
|---|---|
||-|
||-|
## **22. Financial instruments**
The carrying amounts of the charity's financial instruments are as follows:
|_Financial assets_
Measured at fair value through net income/(expenditure):
Fixed asset investments*
_*Fair value is taken as the average of the bid and offer price for each security_
_Financial assets_
Measured at amortised cost:
Trade debtors
_Financial liabilities_
Measured at amortised cost:
Trade creditors|**2021**
**Total**
**Funds**
**£**
1,369,190
1,369,190
**2021**
**Total**
**Funds**
**£**
-
-
10,762
10,762|**2020**
**Total**
**Funds**
**£**
1,543,488|
|---|---|---|
|||1,543,488|
|||**2020**
**Total**
**Funds**
**£**
7,549|
|||7,549|
|||8,727|
|||8,727|
**Page 30**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **AVERT**
## **NOTES TO THE FINANCIAL STATEMENTS**
|**22. Financial instruments (continued)**
The income, expense, net gains and net losses attributable to the charity's financial instruments are summarised as follows:
**2021**
**Total**
**Funds**
**£**
_Income and expense_
Financial assets measured at fair value through net income/(expenditure)
Investment income
52,080
Investment management fees
(13,051)
39,029
_Net gains and losses (including changes In fair value)_
Financial assets measured at fair value through net income/(expenditure)
Unrealised gains/(losses) on investments
137,532
Realised gains/(losses) on investments
189,141
326,673|**2020**
**Total**
**Funds**
**£**
74,573
(15,323)|
|---|---|
||59,250|
||(199,640)
130,752|
||(68,888)|
Fixed asset investments are held at fair value with valuations obtained using closing mid-market price.
**Page 31**
## **AVERT**
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[st] MARCH 2021
## **NOTES TO THE FINANCIAL STATEMENTS**
|**24. Comparative statement of financial activities**
**Note**
**INCOME AND ENDOWMENTS FROM:**
Donations and legacies
**1**
Charitable activities
**2**
Investments
**3**
Other income
**4**
**Total**
**EXPENDITURE ON:**
Raising funds - Investment management
**5**
Raising funds - Seeking funds
**5**
Charitable activities
**6**
**Total**
Net gains/(losses) on investment assets
**Net Income/(expenditure)**
**Transfers between funds**
**19**
**Net movement in funds**
**RECONCILIATION OF FUNDS**
**Total funds brought forward (restated)**
**19**
**Total funds carried forward**
**19**|**Unrestricted**
**Funds**
**£**
8,580
24,319
74,582
366
107,847
-
82,062
524,778
606,840
-
(498,993)
465,428
(33,565)
45,354
11,789|**Restricted**
**Funds**
**£**
129,043
-
-
-
129,043
-
-
147,973
147,973
-
(18,930)
-
(18,930)
81,188
62,258|**Endowment**
**Funds**
**£**
-
-
-
-
-
15,323
-
-
15,323
(68,888)
(84,211)
(465,428)
(549,639)
2,093,127
1,543,488|**2020**
**Total**
**Funds**
**£**
137,623
24,319
74,582
366|
|---|---|---|---|---|
|||||236,890|
|||||15,323
82,062
672,751|
|||||770,136|
|||||(68,888)|
|||||(602,134)
-|
|||||(602,134)
2,219,669|
|||||1,617,535|
**Page 32**