2022-12-31-accounts - The Cantor Foundation (UK)

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Charity No. 1100779

THE CANTOR FOUNDATION (UK)

Report and Financial Statements For the year ended 31 December 2022

THE CANTOR FOUNDATION (UK)

LEGAL AND ADMINISTRATIVE INFORMATION

ADDRESS

5 Churchill Place Canary Wharf E14 5RD London

TRUSTEES

The trustees in office during the period and at the date of this report are:

A Jain (Resigned 12 August 2022) J R Lightbourne (Appointed 23 October 2023) S A Windeatt (Appointed 23 October 2023) S Lynn (Appointed 23 October 2023) H Lutnick (Resigned 23 October 2023) A Lutnick (Resigned 23 October 2023) E Lutnick (Resigned 23 October 2023)

MANAGEMENT

Day to day management is undertaken by the trustees using the senior management and support functions from BGC European Holdings LP Group (‘BGCEH LP Group’).

AUDITORS

Ernst & Young LLP 25 Churchill Place Canary Wharf London E14 5EY

THE CANTOR FOUNDATION (UK)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022

The trustees present their report and the audited financial statements for the year ended 31 December 2022. The financial statements have been prepared on the basis of the accounting policies set out in note 2 to the financial statements and comply with the Charity’s trust deed, applicable law and the requirements of the Statement of Recommended Practice, “Accounting and Reporting by Charities” published on 16 July 2014.

STRUCTURE, GOVERNANCE AND MANAGEMENT

The Cantor Foundation (UK) (‘the Charity’) is governed by the Trust Deed dated 28 October 2003 and is constituted as a charity.

The number of trustees should not be less than three except in the instances set out in the Trust Deed and they serve for three years and may then be re–appointed.

The trustees are appointed by the current trustees.

Day to day management is undertaken by the trustees using senior management and support functions from BGCEH LP Group.

OBJECTIVES AND POLICIES

The Trust Deed defines the Charity’s ‘Objects’ including:

To further the general purposes of such Charitable Institutions or for such charitable purposes as the Trustees shall think fit and in relieving employees and former employees of BGC International (including its subsidiary and associated entities worldwide) and their dependants who are in need, hardship or distress.

FINANCIAL REVIEW

For the year ended 31 December 2022, the Charity recognised US$7,084k (2021: US$nil) of income in relation to amounts donated by the BGCEH Group and its affiliates. Simultaneously, the Charity recognised US$7,257k (2021: US$nil) of expense in relation to accruals for donations to charitable causes, including the Cantor Fitzgerald Relief Fund (‘CFRF’), a charitable corporation registered in the State of Delaware, United States of America.

FUNCTIONAL AND REPORTED CURRENCY CONVERSION

On 1 January 2021, the Charity's functional currency changed from GBP to USD and its presentation currency was retrospectively changed from GBP to USD.

The trustees have performed an assessment of the Company's functional currency and concluded that it had changed from GBP to USD as of that date. The procedure of translating the Company's income, expenses and financial position into the new functional currency has been prospectively applied from the date of change using the exchange rate at the date of change.

The presentational currency of the Charity has also been changed from GBP to USD. This change has been applied retrospectively in accordance with FRS 102, Section 30. The Charity did not have income in excess of the reporting threshold for the prior year, so the comparative figures have not been previously reported, therefore no restatement was necessary.

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THE CANTOR FOUNDATION (UK)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022 (CONTINUED)

GOING CONCERN

The trustees have a reasonable expectation that the Charity will continue to be granted adequate donations and management services to continue its activities for the foreseeable future, and for 12 months from the date of the approval and signing of the Statement of Financial Position. They therefore continue to adopt the going concern basis of accounting in preparing the annual financial statements.

RUSSIA'S INVASION OF UKRAINE

On 24 February 2022, Russia invaded Ukraine. The trustees have considered the impact of this event on the financial statements and have determined that no adjustments are required as the Charity does not operate in either of these regions and has no credit risk exposure to countries in these regions.

UNRESTRICTED FUNDS

Unrestricted funds represent funds, which are expendable at the discretion of the trustees in the furtherance of the objectives of the Charity. Such funds may be held in order to finance both working capital and capital investment.

RESERVES POLICY

In view of the objects and activities of the Charity, the reserves policy is to retain only such funds as are sufficient to enable it to meet its expenses as they fall due. The trustees will distribute the reserves in accordance with the objectives of the charity. To the extent that the charity does not have sufficient resources, its expenses are met by BGCEH LP Group.

FUTURE PROSPECTS

The Charity plans to continue the activities as outlined above in the forthcoming years subject to satisfactory funding arrangements.

RISK MANAGEMENT

The trustees place reliance on the BGCEH LP Group’s Risk Management function to manage and monitor risks as well as other related matters, in particular those related to the operations and finances of the Charity and are satisfied that systems are in place to mitigate the Charity’s exposure to those major risks.

TRUSTEES’ MEETINGS

There were no meetings held throughout 2022.

RELATED PARTIES

The related parties of the Charity are considered to be BGCEH LP Group and its related parties, together with the trustees and the trust secretaries.

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THE CANTOR FOUNDATION (UK)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022 (CONTINUED)

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the Charity’s incoming resources and application of resources during the year and of its financial position at the end of the year. In preparing financial statements giving a true and fair view, the trustees are required to:

select suitable accounting policies, observing the methods and principles in the applicable charities Statement of Recommended Practice (‘SORP’) and then apply them consistently;
make judgements and accounting estimates that are reasonable and prudent;
present information, including accounting policies, in a manner that provides relevant, reliable, comparable and understandable information;
provide additional disclosures when compliance with the specific requirements in SORP is insufficient to enable users to understand the impact of particular transactions, other events and conditions on the Charity’s financial position and financial performance;
in respect of the financial statements, state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
prepare the financial statements on the going concern basis unless it is appropriate to presume that the Charity will not continue in operation.

The trustees are responsible for keeping accounting records which disclose with reasonable accuracy the financial position of the Charity and which enable them to ascertain the financial position of the Charity, which enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations and the provisions of the Trust Deed. The trustees are responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

POST BALANCE SHEET EVENTS

There are no significant events occuring after the balance sheet date, up to the date of approval of the financial statements that would meet the criteria to be disclosed or adjusted in the financial statements as at 31st December 2022 and for the year then ended.

AUDITORS

Ernst & Young LLP will be deemed to be re-appointed as auditors of the Charity 28 days after approval of these financial statements.

Approved by the trustees and signed on their behalf by:

J Lightbourne Date: 30th October 2023

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Building a better workinq world INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF THE CANTOR FOUNDATION (UK) CHARITY Opinion We have audited the financial statements ol The Canlof Foundation IUKI ("Ihe Charity") lor the year ended 3 1 December 2022 which comprise the Statement of Financial Activities, the Statement of Financial Position. the Cash Flow Slalemenl and the related notes 110 9. incltjding as summary ol significant accounting policies. The financial reportinij framework that has been applied in their preparation is applicable law and United Kingdotn Accounting Standards (United Kingdotn Generally Accepted Accounting Practice). includino FRS 102 'The Financial Reporting standard applicable in the UK and Republic of Ireland" In our opinion the financial slatemenls: give a true and fair view ol the slate of the charity's affairs as al 31 December 2022 and ol ils incoming resource5 and application of resource5. for the year then ended,. have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Pracliee., and have been prepared in accordance with the requirements ol the Charities Act 2011. Basls for oplnlon 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 lor the audit of the financial statements section ol our report below. We are independent ol the charity in accordance with the ethical requirements that are relevant to our audit ol the financial slalemenls in the UK, including the FRC'S Ethical Standard, and we have lullilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and approprlate to provlde a basls lor our opinion. Conclusions relating to goinq concern In audilinq the financial slalements, we have concluijed Ihal the trustees. use ol the going concern basis of accounting in the preparation ol the linancial slalements 15 appropriate. Based on the work we have perlormed. we have not identified any material uncerlainlies relating to events or conditions that. individually or collectively. may ca515ignificanl doubl on the charity's ability to continue as a ooing concern for a period of twelve months from when the financial slalemenls are aulhorised lor issue. Our responsibilities and the responsibilities ol the trustees with respect to going concern are described in the relevant sections ol this report. However. because not all lulure events or conditions can be predicted, this statement is not a ouarantee as to the trustee's ability to continue a5 a going concern. Page 4

Building a better wtsrklt¥J world Other Matters The financial statements of the charity for the year ended 31 December 2021 {corresponding figures) were unaudited. other Informatlon The other information comprises the information included in the annual report, other than the financial statements and our auditor's report Ihereon. The trustees are responsible lor the other information contained in the annual report. Our opinion on the financial slalemenls does not cover the olher information and we do not express any lorrn of assurance conclusion Ihereon. Our responsibility is lo read the other information and. in doing so. consider whether the other inlorrnalion is materially inconsistent with the financial 51atemenls or our knowledge obtained in the audit or otherwise appears lo be materially misstaled. 11 we identify such material inconsistencies or apparent material misslalements, we are required lo determine whether thi5 gives rise to a material misslalemenl in the financial slalemenls themselves. 11. based on the work we have perlormecl, we conclude that there is a material misstatement ol the other information. we are required to report that lacl. We have nothing lo report in this regard. Matters on whlch we are requlred to report by exceptlon We have nothing to report in respect ol the followinq mallers where the Charities (Accounts and Reports) Regulation5 2008 require us lo report to you il, in our opinion: the information given in the Trvslees, Annual Report is inconsistent in any material respect with the financial stalemenls., or sullicient accounting records have not been kept- or the financial statements are nol in aqreemenl with the accounting records and returns; or we have not received all the inlormalion and explanations we require for our audit. Responslbllltles of trustees A5 explained more lully in the trustees. responsibilities slalement set out on page 3. the trustee5 are responsible lor the preparation ol the financial statements and lor being satisfied that they oive a true and lair view, and lor such internal control as the trustees determine is necessary lo enable the preparation ol financial statements that ore free from material misstatement. whether due to fraud or error. In preparing the financial slalements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, a5 applicable, matters related to going concern and using the going concern basis of accounlino unless manaoement either intends to liquidate the charity or to cease operations, or has no realistic alternative but lo do so. Page 5

Building a better wtsrklt¥J world Auditor's responsibilitie5 for the audit of the financial 5tatement5 We have been appointed as auditor under section 144 01 the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having elfect thereunder. Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free Irorn material mi5Stalement. whether due to fraud or error. and lo issue an auditor's report that includes our opinion. Reasonable assurance is a hioh level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always delect a material misstatement when it exists. Mi5Stalements can arise from fraud or error and are considered material il, individually or in the agoreoale, they could reasonably be expected lo influence the economic decisions of users taken on the basis ol these financial slalements. Explanatlon as to what extent the ?udlt was ¢onsldered capable of detectlng Irregularltles, Ancludlng fraud Irregularilie5, including fraud. are instances of non-compliance with laws and regulations. We design proce(Jures in line with our responsibilities, outlined above, lo delect irregularities, including fraud. The risk of not deteclino a material misslalemenl due lo fraud is higher than the risk ol not delecling one resulting from error, as fraud may involve deliberate concealment by, lor exarnple, forgery or intentional misrepresenlalions, or through collusion. The extent to which our procedures are capable ol delecling irregularities, including fraud is detailed below. However, the primary responsibility lor the prevention and detection ol fraud rests with both those charged with governance of the enlily and managemenl. Our approach was as follows: We obtained an understanding ol the legal and regulatory frameworks that are applicable lo the charity and determined that the most sionilicant are the Charities (Accounts and Reports) Regulations 2008, the Charities Act 2011 and Financial Reportinq Standard 102. We understood how the charity is complying with these leqal and regulatory frameworks bv making enquiries ol management and those responsible lor legal and cornpliance rnaller5. We have reviewed correspondence between the charity and its regulatory bodies, reviewed minute5 ol the trustees, made enquiries of management lor their awareness ol any non-compliance with laws and regulations and gained an understanding ol the charity's approach to governance through the review ol the Board's approval of the risk management frameworh and the internal controls processes. We assessed the susceplibilily of the charity's financial stalemenls lo material misslalemenl. including how fraud might occur by considering the risk ol management override and designating management override and revenue recognition outside the normal course of charity activities to be Iraud risks. We considered the controls that the charity has established to address these risks identified, or that otherwise seek lo prevent, deter or delect fraud. Based on this understanding we designed our audit procedure5 to identify non-compliance with such laws and regulations. Our procedures involved enouiries of executive management and those responsible lor legal and compliance mallers and journal entry testing. We corroborated our enquiries through review ol Trustee meeting minutes and policie5. Page 6

Building a better workinq world A further description of our responsibililies lor the audit ol the financial slalements is located on the Financial Reporting Council's website al https=/lwww.frc.org.uk/auditorsresponsibilities. This description form5 parl of our auditor's report. Use of our report This report is made solely to the Trustees. as a body. in accordance with Part 4 01 the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might slate lo the charity's Iruslees those matters we are required lo state lo them in an auditors, report and lor no other purpose. To the fullest extent permilled by law. we do not accept or a55ume responsibility lo anyone other than the charity and the charity's trustees as a body. for our audit work, lor this report. or for the opinions we have formed. Peter Wallace (Senlor statutory audltor) For and on behall ol Ernst & Young LLP. Statutory Auditor London Date: 31 October 2023 Ernst & Young LLP is eligible to act as an auditor in terms ol section 1212 of the Companies Act 2006 Page 7

THE CANTOR FOUNDATION (UK)

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2022

Note Incoming resources Income from Charitable activities 3 Expenditure Expenditure on Charitable activities 4 Other expenses 4 Net expenditure and movement in funds Total funds brought forward Total funds carried forward	2022 2021 US$ US$ 7,084,480 -
	(7,257,407) - (21,785) (1,770)
	(194,712) (1,770)
	194,712 196,482
	- 194,712

The statement of financial activities includes all gains and losses recognised in the year.

All incoming resources and resources expended derive from continuing activities.

The notes on pages 11 to 13 form part of these financial statements.

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THE CANTOR FOUNDATION (UK)

CHARITY NO. 1100779

STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2022

Note Current Assets Cash Total Current Assets Creditors: amounts falling due within one year 6 Net Current Assets Current Liabilities Net Assets Funds Unrestricted Funds	2022 2021 US$ US$ 7,257,407 194,712
	7,257,407 194,712 (7,257,407) -
	- 194,712
	- -
	- 194,712

	- 194,712

The notes on pages 11 to 13 form part of these financial statements.

The financial statements were approved by the trustees and signed on their behalf by:

J Lightbourne Date: 30th October 2023

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THE CANTOR FOUNDATION (UK)

CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2022

Note Net cash flows from operating activities 7 Net cashflows Effect of exchange rates on cash and cash equivalents Change in cash for the year Cash at the beginning of the year Cash at the end of the year	2022 2021 US$ US$ 7,084,480 27
	7,084,480 27
	(21,785) (1,797)
	7,062,695 (1,770) 194,712 196,482
	7,257,407 194,712

The notes on pages 11 to 13 form part of these financial statements.

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THE CANTOR FOUNDATION (UK)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

1. STATEMENT OF COMPLIANCE

The Charity is a public benefit entity, registered in England and Wales. Its registered office is 5 Churchill Place, Canary Wharf, E14 5RD. The principal accounting policies of the Charity have been summarised below. They have all been applied consistently throughout the year and the preceding year.

2. ACCOUNTING POLICIES

2.1 Basis of accounting

The financial statements have been prepared under the historical cost convention, unless otherwise specified in these accounting policies, on the basis that the Charity is a going concern and in accordance the Statement of Recommended Practice (‘SORP’), ‘Accounting and Reporting by Charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The accounting policies adopted have been applied consistently in the current and preceding year.

2.2 Incoming Resources

Income is recognised in the period in which the Charity is entitled to receipt and the amount can be measured with reasonable certainty. Incoming resources includes cash donations.

2.3 Resources Expended

Expenditure is recognised in the period in which there is a legal or constructive obligation that commits the Charity to expenditure that will probably require a transfer of economic benefits in settlement and the amount of the obligation can be reliably measured. Resources expended include costs of charitable activities.

2.4 Going Concern

The trustees have a reasonable expectation that the Charity will continue to be granted adequate donations and management services to continue its activities for the foreseeable future, and for 12 months from the date of the approval and signing of the Balance Sheet. They therefore continue to adopt the going concern basis of accounting in preparing the annual financial statements.

2.5 Russia's Invasion of Ukraine

On 24 February 2022, Russia invaded Ukraine. The trustees have considered the impact of this event on the financial statements and have determined that no adjustments are required as the Charity does not trade in either of these regions and has no credit risk exposure to countries in these regions.

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THE CANTOR FOUNDATION (UK)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

2.6 Functional and Presentational Currency

The trustees have performed an assessment of the company's functional currency and concluded that it had changed from GBP to USD as of 1 January 2021. The procedure of translating the company's income, expenses and financial position into the new functional currency has been prospectively applied from the date of change using the exchange rate at the date of change.

2.7 Foreign Currencies

Transactions in currencies other than USD are recorded at the average rate for the month that the transactions occurred.

Monetary assets and liabilities denominated in foreign currencies are translated into USD at the exchange rates ruling at the balance sheet date. Translation differences are recognised in the Statement of Financial Activities.

The balance sheet conversion rate used to translate GBP into USD at 31 December 2022 was 1.203 (2021:1.354).

3. INCOME FROM CHARITABLE ACTIVITIES

Cash donations from BGCEH and its affiliates 4. EXPENDITURE Expenditure on Charitable activities Foreign currency exchange loss	2022 2021 US$ US$ 7,084,480 -
	2022 2021 US$ US$ 7,257,407 - 21,785 1,797

Management costs, including the audit fee of US$34k for the year ended 31 December 2022 (2021: US$nil), were borne by a related party, Tower Bridge International Services LP, a member of the BGCEH Group and not recharged to the Charity.

5. STAFF NUMBERS AND TRUSTEES' EXPENSES AND REMUNERATION

No staff were employed by the Charity during the year (2021: None).

The trustees were not paid remuneration or reimbursed for expenses during the year (2022: US$nil).

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THE CANTOR FOUNDATION (UK)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

6. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Payables to related parties 7. Net movement in funds Increase in creditors Effect of exchange rates on cash and cash equivalents Net cash flow from operating activities RECONCILIATION OF NET MOVEMENT IN FUNDS TO OPERATING ACTIVITIES	2022 2021 US$ US$ 7,257,407 -
	2022 2021 US$ US$ (194,712) (1,770) 7,257,407 - 21,785 1,797 NET CASH FLOW FROM
	7,084,480 27

8. RELATED PARTY TRANSACTIONS

For the year ended 31 December 2022, the Charity recognised US$7,084k (2021: US$nil) of income in relation to amounts donated by the BGCEH Group and its affiliates.

The Charity recognised US$7,257k (2021: US$nil) of expense in relation to accruals for donations to charitable causes, including, US$5,517k payable to the Cantor Fitzgerald Relief Fund ('CFRF'), a charitable corporation registered in the State of Delaware, United States of America, and US$1,740k payable to Tower Bridge International Services LP ('TBIS'), a member of the BGCEH Group, to reimburse it for payments made during the year on behalf of the Charity to third party charities.

Day to day management of the Charity is undertaken by the trustees using senior management and support functions from BGCEH LP Group, which is provided pro-bono.

9. POST BALANCE SHEET EVENTS

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