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← The Claude And Sofia Marion Foundation

2023-12-31-accounts

Registered Charity number: 1117282 (England & Wales)

THE CLAUDE AND SOFIA MARION FOUNDATION

TRUSTEES’ REPORT AND AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

THE CLAUDE AND SOFIA MARION FOUNDATION

CONTENTS

Page
Charity Information 1
Trustees’ Report 2 - 6
Independent Auditors’ Report 7 - 9
Statement of Financial Activities 10
Balance Sheet 11
Statement of Cash Flows 12
Notes to the Financial Statements 13 - 19

THE CLAUDE AND SOFIA MARION FOUNDATION

CHARITY INFORMATION FOR THE YEAR ENDED 31 DECEMBER 2023

Trustees C M L Marion
N S G M F Marion
P M D R De Sousa
L D Gomes
L A M Marion
P P A Marion
C M E Marion
Registered charity number 1117282 (England and Wales)
Registered office 40 Queen Anne Street
London
W1G 9EL
Independent auditors Lewis Golden LLP
40 Queen Anne Street
London
W1G 9EL
Bankers Julius Baer
Bahnofstrasse 36
Zurich 8010
Switzerland
HSBC Bank Plc
HSBC Relationship Management Centre
1stFloor
88 Baker Street
London
W1U 6AX

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THE CLAUDE AND SOFIA MARION FOUNDATION

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2023

The Trustees present their annual report together with the audited financial statements of the Foundation for the year ended 31 December 2023. The Trustees confirm that the annual report and financial statements of the Foundation comply with the current statutory requirements, the requirements of the Foundation's governing document and the provisions of the Statement of Recommended Practice (SORP), applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Second Edition) and the accounting polices set out in the Notes to the financial statements.

Objectives and activities

Results

The net incoming resources for the year ended 31 December 2023 were £390,226 (2022: £2,153,572). As at 31 December 2023 total funds carried forward were £44,571,901 (2022: £44,181,675). There are no restricted funds. At the year end the Foundation held £4,002,681 (2022: £4,768,754) in cash at bank, £40,754,635 (2022: £39,892,164) in investments and £321,349 (2022: £344,057) in debtor balances together with grant commitments totaling £443,562 (2022: £726,542) included within creditors.

Review of governance and management

The foundation’s organisation chart is as follows:

==> picture [174 x 107] intentionally omitted <==

The Foundation is a trust, with charitable status and is governed by its Trust Deed.

The Trustees meet regularly to agree funding policy, monitor income and expenditure and allocate funds. New Trustee appointments must be proposed and agreed by current Trustees. The foundation is a family foundation which does not actively seek to change trustees or seek new trustees.

The Claude and Sofia Marion Foundation seeks to advance, promote or carry out, such charitable purposes as the Trustees in their absolute discretion see fit. The Foundation carries out these objects by providing grants to suitable institutions in line with the Foundation's grant making policies detailed below.

The Trustees consider that they have complied with Section 4 of the Charities Act 2011 with regard to the guidance on public benefit published by the Charity Commission.

Trustees

The Trustees of the Foundation during the year were as follows:

C M L Marion N S G M F Marion P M D R De Sousa L D Gomes L A M Marion P P A Marion C M E Marion

The reference and administrative information set out on page 1 form part of this report.

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THE CLAUDE AND SOFIA MARION FOUNDATION

TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

Review of activities

During the year ended 31 December 2023 a total of £861,741 (2022: £919,314) was granted to charitable organisations, cultural, healthcare and educational establishments. The prior year included amounts pledged by the Foundation to be paid in future years. Grants paid out in cash during the year totalled £1,127,708 (2022: £1,289,225), including amounts pledged in previous years.

Financial performance of the Foundation’s assets and reserves are monitored in US Dollars and in Euros because the activities of the Foundation are worldwide, however the accounting records are maintained and all reporting is produced in pound sterling.

Since inception the financial return in US Dollar terms is approximately 6%, while it is higher in EUR and in GBP as both the EUR and the GBP have significantly depreciated against the US dollar. The Foundation uses a targeted return of 5-7.5% per annum in US Dollars and Euro terms over the long term.

In order to achieve this relatively conservative target performance the Trustees have recommended a diversified mix of asset allocation among Bonds, Equities and Hedge Funds as well as a mix of currencies, the US Dollar and the Euro being the main currencies of the financial assets of the Funds with minor allocations to other currencies, including GBP.

Main achievements in the activities of the Foundation for 2023 were: the continued support of the Don Bosco schools and centers for the Young at Risk in South India including the major participation in the building of a new University College in Bangalore, The Don Bosco College; the increase support to the charities in Mozambique, this year including support to scholarships and the refurbishment of a hot water system for the Salesian school, and a donation to a local Foundation which supports children with disabilities; the important support of the TAG foundation activities in favor of Ukraine refugees; the purchase of surgical equipment for two hospitals (Sao Jose and Da Estefania) in Lisbon, Portugal; the continued support of Kairos Montessori school in Portugal and the support in favor of Ocean Souls’ production of documentaries on conservation issues.

The financial markets somewhat normalized in 2023: Central Banks seem to have been able to contain inflation, which had been their main objective in 2022 and that had created a difficult financial environment. This now seems to be over and 2023 was a year marked by high valuations in financial markets, slowing economic growth and geopolitical issues. The main driver of good financial performance was the ability of the US economy to avoid recession in 2023, against most forecasts. This led to a relief rally in equity markets and lower interest rates.

On the Foundation’s activities when measured against its target categories of beneficiaries, Healthcare, as well as Environment and Sustainability, were the two categories which got substantially under-allocated due to the lack of projects. But accounting policies tend to distort this as pledges made in prior years are accounted for the year they are made although they are disbursed over 3 or 5 years following the pledge.

Grant making policies

The Foundation’s aims are to support the development of education, with a special focus on education of the young at risk, healthcare, environment and sustainability, culture as well as social programs for the poor and other similar activities on a worldwide basis. This includes both direct charitable support and the support of charitable organisations, in the fields of education, healthcare, environment and sustainability, cultural and social activities, and economic development of the poor in emerging markets countries, among others.

Recipients are selected to receive grants (or other forms of financial support) from recommendations brought before the Trustees by one of the Trustees. The Trustees meet two to three times per year to discuss and decide upon proposals for new grants presented by one of the Trustees, and to monitor existing grants.

Grants may only be made for purposes which are charitable under UK law.

A significant number of grants are made to UK registered charities, including some which will use the donations outside the UK (such as Stanford University for example). Grants to institutions which are not UK registered charities are monitored directly by the Trustees, through a combination of personal visits and written reports. Significant grants to institutions which are not UK registered charities are monitored more closely, usually involving a visit by a representative of the Foundation, or periodic written exchanges and conversations with the sponsor of the project. Details of grants made in the year can be found in note 8.

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THE CLAUDE AND SOFIA MARION FOUNDATION

TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

The Foundation uses a variety of criteria to assess its success. On the financial side a target return of 5-7.5% per annum in US Dollars Euro terms over the long term is considered satisfactory. On the charitable side, the Foundation looks to lasting projects that will have a durable impact on society (Don Bosco schools, college, centers for the Young-at-risk in India and in Mozambique, Hospital in Kinshasa, Lisboa 42 Coding School in Portugal, Natural History Museum Research Scholarships, etc.) to which it can commit over several years. The Foundation then reviews the progress of these projects on a regular basis to assess its impact.

Grant making in GBP terms is low versus the income and reserves of the Foundation when compared to its target of spending the income every year. However, although the Foundation is a UK Charity and its accounting is in GBP, most of its beneficiaries are projects around the world and the Trustees prefer to look at its income and reserves in a mix of US Dollars and Euros especially since 2016 when GBP started its course of major depreciation against the US Dollar, and to a lesser extent to the Euro. As the financial performance in US Dollar terms in the last few years has been challenging the Trustees have tended to donate less than the annual income to catch up and rebuild the Foundation’s reserves.

Reserves policy

The Foundation has been funded through donations from Mr Claude Marion's former employer. No active fundraising from outside contributors is expected. The Foundation aims to fund operating expenses and charitable distributions solely through the income on the investment of its liquid assets.

The Foundation has no substantial fixed assets, no dedicated office, and no employees; thus it does not have reserves tied to fixed assets. As a result, no additional reserves need to be set aside to respond to potential drops in investment returns or overall income.

Investment policy and performance

The Trustees have noted their responsibility to have regard to the suitability of investments to the Foundation, considering the proportion of the Trust Fund being invested, the level of risk of the investments, and the accessibility of the Trust monies while invested. They have also noted the need for appropriate diversification of investments. The Trustees have also engaged an external consultant to provide advice and support relating to the Foundation's investment portfolio.

The Foundation takes its social, environmental and ethical responsibilities very seriously in its investment policy.

The Trustees meet formally twice per year to discuss the investments and review recommendations for future investment activity. At those meetings, the Trustees review and, if agreed, approve investment recommendations and review the investments of the Trust fund to ensure that they continue to fulfil the standard investment criteria described above. In addition, the Trustees have periodic telephone and email exchanges to discuss any issues and decisions which are subsequently ratified during these formal meetings. The Foundation currently invests in bank fiduciary deposits, money markets and corporate bonds and, to a lesser extent, listed equities, equity funds and hedge funds. This policy is reviewed at least annually.

The aim of the investments is to ensure that operating costs and grant making activity can be funded solely with the income on these liquid investments. Clearly the volatility in the financial markets caused by the fight against inflation through high interest rates and by the geopolitical challenges will be the main factors affecting the financial performance of the Foundation, hence the Trustees’ continued policy of diversification among asset classes and currencies.

Details of investment performance can be found in note 12 to the financial statements.

Plans for the future

The Foundation has already committed/pledged amounts for 2024 under the various pledges (EUR 50,000.00 for the Lisbon 42 Project, GBP 100,000.00 for the Natural History Museum in London. and USD 100,000.00 for Stanford University). Other beneficiaries will be some of the usual ones, but for these no commitment exists: the cultural activities of the French Institute in Lisbon and the Festa of the French Cinema, the various Don Bosco schools and centers in India, the social works of the parish in Cascais.

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THE CLAUDE AND SOFIA MARION FOUNDATION

TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

Other likely donations under future consideration will be the following:

Volunteer

The Foundation relies on the contribution of its Trustees who provide their services free of charge.

Major risks

As noted above, the Foundation aims to fund its activities through the income from the investment of its liquid assets, therefore the Trustees consider the major risks to relate to the performance of these investments and of the wider global equities, fixed income and currencies markets. The Trustees are confident that the necessary management systems and strategies have been implemented to mitigate those risks.

Statement of Trustees' responsibilities

The Trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and regulation.

The law applicable to charities in England & Wales requires the Trustees to prepare financial statements for each financial in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). The Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Foundation and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Foundation's transactions and disclose with reasonable accuracy at any time the financial position of the Foundation and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the Foundation and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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THE CLAUDE AND SOFIA MARION FOiJNDATION TRUSTEES, REPORT (CONTINUED) FOR THE YEAR EI¥DED 31 DECEMBER 2023 Dlg¢10gure of InfOrn￿tIOn to audllo Ea¢h of the persons who are Trustees at time when this T￿￿, Report is approved has confirnRd tha so far &$ that Tnts is aware, there is no relevaDI audit incormation of which the FouNlation's audilors aTe unaw8r4 that Trustee h&s token all the sleps that OU8bt to hav¢ b¢ttL taken as a Trn8￿ in to ￿ aware of ally relevant audit infon)￿tiOll at)d to G5tthlisb that the Foulld8ts"on's aw11toTs￿ aware ofthat inforn)ati Audl¢on The aUdI￿rS. L¢wi8 Golden LLP. have itJi¢a41 their7￿min￿ to ¢wiitiu¢ iti office. The desiBllated Trustee$ will propose & nw¢ion reappotnting the auditors at a nxekn8 of the Tn￿¢￿. Approved by oth of the membern ofthe board OfT￿￿te￿ 8nd Si￿￿1 on tb¢ir i%half by: arloD Tru51ee Dute..

THE CLAUDE AND SOFIA MARION FOUNDATION

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF THE CLAUDE AND SOFIA MARION FOUNDATION FOR THE YEAR ENDED 31 DECEMBER 2023

Opinion

We have audited the annual report and financial statements of The Claude and Sofia Marion Foundation for the year ended 31 December 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related Notes, including a summary of 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:

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 Charity 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 entity'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 Annual Report other than the financial statements and our auditors’ report thereon. The Trustees are responsible for the other information contained within the Annual 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. In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is 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.

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THE CLAUDE AND SOFIA MARION FOUNDATION

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF THE CLAUDE AND SOFIA MARION FOUNDATION FOR THE YEAR ENDED 31 DECEMBER 2023

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Responsibilities of Trustees

As explained more fully in the Trustees’ responsibilities statement set out on page 5, the Trustees 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 charity’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 charity or to cease operations, or have no realistic alternative but to do so.

Auditors’ responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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 auditors’ 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.

We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or to error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.

We tailored the scope of our audit to ensure that we performed sufficient work to be able to give an opinion on the financial statements as a whole. We used the outputs of a risk assessment, our understanding of the charity, its environment, its controls and critical business processes, to consider qualitative factors in order to ensure that we obtained sufficient coverage across all financial statement line items. We obtained an understanding of the legal and regulatory framework applicable to the Foundation and identified the Charities Act 2011 as being significant. Our audit fieldwork has been designed to obtain sufficient evidence to ensure the Foundations compliance with the Act.

Auditors’ responsibilities for the audit of the financial statements (continued)

Our audit procedures were designed to respond to those identified risks, including non-compliance with laws and regulations (irregularities) and fraud that are material to the financial statements. In identifying and assessing risks of material misstatement in respect of irregularities including non-compliance with laws and regulations, our procedures included but were not limited to:

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THE CLAUDE AND SOFIA MARION FOUNDATION

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF THE CLAUDE AND SOFIA MARION FOUNDATION FOR THE YEAR ENDED 31 DECEMBER 2023

We also considered those other laws and regulations that have a direct impact on the preparation of financial statements, such as the Charities Act 2011.

Our procedures in relation to fraud included but were not limited to:

The primary responsibility for the prevention and detection of irregularities including fraud rests with both those charged with governance and management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.

Use of our report

This report is made solely to the charity's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's Trustees those matters we are required to state to them in an Auditors' 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 charity and its Trustees, as a body, for our audit work, for this report, or for the opinions we have formed.

Lewis Golden LLP Date:

Statutory Auditor 40 Queen Anne Street London W1G 9EL

Lewis Golden LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

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THE CLAUDE AND SOFIA MARION FOUNDATION

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2023

Note
Income from:
Donations
4
Investments
6
Foreign exchange gain
Total income
Expenditure on:
Raising funds
5
Charitable activities
7
Interest paid and foreign exchange loss
Total expenditure
Net movement in funds before other
recognised gains
Loss on revaluation of fixed assets
12
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Unrestricted
funds
2023
£
2,400
1,661,612
429,390
2,093,402
141,324
940,123
87,574
1,169,021
924,381
(534,155)
390,226
44,181,675
390,226
44,571,901		 Total
funds
2023
£
2,400
1,661,612
429,390
2,093,402
141,324
940,123
87,574
1,169,021
924,381
(534,155)
390,226
44,181,675
390,226
44,571,901		 Total
funds
2022
£
5,250
1,522,940
3,710,385
5,238,575
179,820
997,130
290,896
1,467,846
3,770,729
(1,617,157)
2,153,572
42,028,103
2,153,572
44,181,675

The Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 13 to 19 form part of these financial statements.

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THE CLAUDE AND SOFTA MARION FOUNDATION BALANCE SHEET AS AT 31 DECEMBER 2011 Notr 2023 21122 FlIed 495ets Investtnents 12 40.754,635 39,892.164 Curr¢n¢ assets Debtors CAsh at baDk and iti haud 13 321.349 4.￿2,681 344.057 4,768.754 4,324.030 5.112.811 cr￿ltOrs. amounts fallln8 dut vAthln one year 14 (284.983) (368,497) Net ¢urrent ai$¢ts 4.039,047 4.7414.314 Ttstsl lets Current IlbUItI 44.793.682 44.636.478 Credltor¥: mmounts f￿1￿8 due after more tban otse year 15 (221,781) 1454.803) Totl D¢¢ #Mets 44.571.Wl 44.181,67S Ch#rlty fundj Unnstricted funds 44.5713YII 44.181,675 Totsl fuDd$ 44.571.9)1 44,181,675 Tho f￿ancial st8iement8 were approv￿ and authorised for Is￿ by th¢ TTU8tee8 8nd w¢r¢ s1￿cd on their behalf by.. CMLMArlo Trustee Date.. 15 Afix1202S Th¢ note5 on phges 13 to 19 forni part of th¢x fmancial

THE CLAUDE AND SOFIA MARION FOUNDATION

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2023

Note
Cash flows from operating activities
Net cash used in operating activities
17
Cash flows from investing activities
Dividends and interest from investments
Foreign exchange gain
Proceeds from sale of investments
1.8
Purchase of investments
1.8
Net cash (used) / provided by investing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 2023
£
(837,046)
1,661,613
429,390
39,548,623
(41,568,651)
(70,973)
(766,073)
4,768,754
4,002,681		 2022
£
(2,769,260)
1,522,940
3,710,385
14,695,743
(9,531,528)
10,397,538
7,628,278
(2,859,524)
4,768,754

The notes on pages 13 to 19 form part of these financial statements

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THE CLAUDE AND SOFIA MARION FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

1. Accounting policies

1.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with ‘Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Second Edition)’ and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011 and UK Generally Accepted Practice as it applies from 1 January 2015.

The financial statements have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following ‘Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Second Edition)’ rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

The Foundation meets the definition of a public benefit entity under FRS 102. The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes to these financial statements.

The following accounting policies have been applied in dealing with items which are considered material in relation to the Foundation's financial statements.

1.2 Going concern

The financial statements have been prepared on the going concern basis as the Foundation is able to meet its liabilities as and when they fall due. It has been determined that the Foundation will be able to continue operations for a period of at least 12 months from the approval of these financial statements. The Trustees have considered a period of at least 12 months from the date of approval of the financial statements and believe there are no material uncertainties regarding going concern.

1.3 Grants payable

Unrestricted funds are general funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Foundation and which have not been designated for other purposes.

1.4 Donations

All donations are recognised once the charity has entitlement to the donation, it is probable that the donation will be received and the amount of the donation receivable can be measured reliably.

1.5 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Foundation; this is normally upon notification of the interest paid or payable by the Bank.

1.6 Dividends receivable

All dividends are recognised when they are receivable and the amount can be measured reliably by the Foundation; this is normally upon receipt into one of the Foundation’s accounts.

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THE CLAUDE AND SOFIA MARION FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

Accounting policies (continued)

1.7 Foreign currencies

The Foundation's functional and presentational currency is GBP.

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

1.8 Fixed asset investments

Listed investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price.

Included within listed investments are fixed term cash deposits. Previously, the movements were disclosed as acquisitions and disposals in the cash flow. The Trustees have reflected and consider the movements should be aggregated to more accurately represent the transactions. The change has no overall impact on the Statement of Financial Activities or Balance Sheet for the year ended 31 December 2022 but does result in a reduction in the proceeds from the sale of investments and purchase of investments of £8,734,516 in the Statement of Cash Flows for the year ended 31 December 2022.

Unlisted investments with no reliable estimate of fair value are held at cost less impairment. The Statement of Financial Activities includes the net gains and losses arising on revaluation and disposals throughout the year.

The accounting policy for more complex fixed asset investments is set out in 1.11 below.

1.9 Debtors, creditors and provisions

Debtors represent accrued interest on listed investments, and are initially recognised at market value on purchase of the respective investment. Subsequently they are measured at fair value with movement shown under income from investments. They are derecognised when an investment is sold.

Creditors and provisions are recognised where the Foundation has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are initially recognised at transactions value as none represent a financing transaction. They are only derecognised when they are extinguished.

1.10 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

1.11 Financial instruments

The Foundation also trades in the following financial instruments:

Forward contracts for purchasing foreign exchange. The transaction costs for entering into such contracts are treated as an expense. The contracts are subsequently measured at fair value with gains or losses recognised in the Statement of Financial Activities. Forward contracts outstanding at the year end are shown as other fixed asset investments.

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THE CLAUDE AND SOFIA MARION FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

1.11 Financial instruments (continued)

Options, swaps and structured assets. The fee or premium for the contract is capitalised but any separately identifiable transaction cost incurred in acquiring the contract is treated as an expense. The contract is subsequently measured at fair value. Losses are recognised to the extent the Foundation is obliged to transfer cash in the future. The Foundation has not entered into derivative contracts to manage exchange risk associated with specific liabilities, therefore has not adopted hedge accounting.

2. Judgements in applying accounting policies and key sources of estimation uncertainty

The preparation of the financial statements requires management to make significant judgements and estimates. These judgments and estimates are based on historical experience and other factors that are considered to be relevant. The estimates and underlying assumptions are reviewed on an ongoing basis. There are no material areas of judgment or material areas of estimation uncertainty in these financial statements.

With respect to the next reporting period, January to December 2024, the most significant areas of uncertainty that affect the carrying value of assets held by the charity are the level of investment return and the performance of the investment markets (see the investment policy and performance in the Trustees’ Report). The carrying value of the investments at the end of December 2023 was £40,754,635 (2022 - £39,892,164).

3. Liability of Trustees

The Trustees shall not be liable for any loss to the Trust fund unless by reason of willful or individual fraud or dishonesty or wrongful omission on the part of the Trustee who is sought to be made liable.

4. Income from donations and legacies

Unrestricted
funds
2023
£
Donations
2,400
5.
Expenditure on raising funds
Unrestricted
funds
2023
£
Raising funds
Investment management fees
141,324
6.
Investment income
Unrestricted
funds
2023
£
Bank interest received
223,543
Dividends received
248,965
Bond interest received and accrued
1,189,104
Total
1,661,612		 Total
funds
2022
£
5,250
Total
funds
2022
£
179,820
Total
funds
2022
£
2,001
149,260
1,371,679
1,522,940

-15-

THE CLAUDE AND SOFIA MARION FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

7. Expenditure on charitable activities

Unrestricted
funds
2023
£
Grants payable (see note 8)
861,741
Auditors’ remuneration
32,300
Bank charges and sundry expenses
46,082
Total
940,123		 Total
funds
2022
£
919,314
22,000
55,816
997,130

8. Grants payable

Can Too Foundation Cancer Research,
Australia
CARAM, Lisbon
Casa da Crianca Santo Antonio, Portugal
Casa Hogar, Mexico
Circulo Eca de Queiros re Morocco
Earthquake Relief, Morocco
Circulo Eca de Queiroz, Portugal
Convento dos Cardaes, Lisbon, Portugal
Don Bosco BREADS, India
Don Bosco Davangere, India
Don Bosco Girl Center, Bangalore, India
Don Bosco Summer Programmes, Bangalore
India
Fundacao Apoio as Criancas Deficientes,
Mozambique
Igreja Matriz, Cascais, Portugal
Institut Français Lisbonne, Portugal
Irmas Clarissas Lisbon, Portugal
Jangada Lda, Festa Do Cinema Frances,
Portugal
Kairos Montessori School, Cascais, Portugal
Ocean Soul Films Ltd, UK
Salesians, Mozambique
Solidarite Notre Dame de Tanger, Sœur Marie
Jo, France
Tag Foundation for Social Development, UK
TARMA Industrias Electromedicas, Spain
Subtotal carried forward		 Total
Total
2023
2023
2023
2023
2022
€
$
£
£
£
-
-
2,618
2,618
-
-
-
2,199
2,199
-
-
2,500
-
2,061
-
-
-
4,078
4,078
-
5,400
-
-
4,672
-
3,000
-
-
2,617
-
10,000
-
-
8,631
8,624
-
35,000
-
27,839
25,000
-
20,000
-
15,817
-
-
-
54,000
54,000
50,000
-
15,000
-
13,188
-
10,000
-
-
8,812
-
50,000
-
-
43,129
34,142
25,000
-
-
22,013
-
43,827
-
-
38,637
-
30,000
-
-
25,649
25,468
52,650
-
-
45,480
60,580
50,000
-
43,000
86,156
50,665
70,000
-
-
61,028
29,218
-
-
4,314
4,314
-
100,000
-
-
87,760
84,474
38,832
-
-
32,832
-
487,905
72,500
110,209
593,530
368,171

-16-

THE CLAUDE AND SOFIA MARION FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

8. Grants payable (continued)

Subtotal brought forward
TEPREL Equipamentos, Hospital D Estefania,
Lisbon, Portugal
The Bangalore Salesian Society Don Bosco
College, India
Association Badao, Ilot de Boboto, Congo
Brazzaville
Bonne Pioche Ukrainiennes La Guerre Film,
Paris, France
Casa da Crianca, Rio de Janeiro, Brazil
Congregacao Sao Jose Cluny- Igreja Menino
Jesus, Portugal
Fundacao Alvaro Carvalho, cataract surgery,
Portugal
Fundacao Salesianos Cascais, Portugal
Get Kids Going, UK Charity, UK in support
of Luana’s Fundraising
Igreja São Nicolau, Lisbon, Portugal
Pancreatic Cancer UK, UK Charity re: John
Moore fundraising
Peppo La Tumaini, Kenya Re : Diane et
Gaultier fundraising
Poor Clares Colettines Nottingham, UK
Total		 Total
Total
2023
2023
2023
2023
2022
€
$
£
£
£
487,905
72,500
110,209
593,530
368,171
37,511
-
-
32,032
-
-
300,000
-
236,179
245,594
-
-
-
-
86,562
-
-
-
-
87,443
-
-
-
-
2,158
-
-
-
-
11,164
-
-
-
-
84,398
-
-
-
-
4,312
-
-
-
-
5,100
-
-
-
-
4,312
-
-
-
-
5,100
-
-
-
-
10,000
-
-
-
-
5,000
525,416
372,500
110,209
861,741
919,314

The above represents grants committed and communicated to recipients during the year. Grants paid out by the Foundation during the year totalled £1,127,708 (2022: £1,289,225).

9. Trustees’ remuneration

During the year, no Trustees received any remuneration or other benefits (2022: £nil).

During the year ended 31 December 2023, no Trustee expenses have been incurred (2022: £nil).

-17-

THE CLAUDE AND SOFIA MARION FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

10. Particulars of employees

The Foundation had no employees during the year (2022: nil).

11. Taxation

As a registered charity, the Foundation is exempt from Corporation Tax.

12. Fixed asset investments

Cost or valuation
At 1 January 2023
Additions
Disposals
Revaluations
Foreign exchange
movement
At 31 December 2023		 Unlisted
investments
£
114,876
-
-
-
-
114,876		 Listed
securities
£
39,165,392
39,681,879
(37,704,300)
(380,770)
-
40,762,200		 Options,
swaps and
structured
assets
£
(112,397)
1,886,773
(1,844,323)
(153,385)
-
(223,332)		 Forward
contracts
£
724,293
-
-
-
(623,403)
100,890		 Total
£
39,892,164
41,568,652
(39,548,623)
(534,155)
(623,403)
40,754,635

13. Debtors

Other debtors
Accrued interest		 2023
£
-
321,349
321,349		 2022
£
13,062
330,995
344,057

14. Creditors: amounts falling due within one year

Trade creditors
Accruals and deferred income
Grants accrued		 2023
£
-
63,202
221,781
284,983		 2022
£
37,379
59,379
271,739
368,497

-18-

THE CLAUDE AND SOFIA MARION FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

15. Creditors: amounts falling due after more than one year

2023 2022
£ £
Grants accrued 221,781 454,803

16. Summary of funds

Summary of funds – current year

Balance at
1 January
2023
£
Unrestricted funds
44,181,675
Summary of funds – prior year
Balance at
1 January
2022
£
Unrestricted funds
42,028,103		 Income
Expenditure
Revaluation
losses
Balance at 31
December
2023
£
£
£
£
2,093,402
(1,169,021)
(534,155)
44,571,901
Income
Expenditure
Revaluation
losses
Balance at 31
December
2022
£
£
£
£
5,238,575
(1,467,846)
(1,617,157)
44,181,675

17. Reconciliation of net movement in funds to net cash flow from operating activities

Net income for the year (as per Statement of Financial Activities)
Adjustment for:
Gains on investments
Income from investments
Foreign exchange gain
Decrease in creditors
Decrease in debtors
Net cash used in operating activities		 2023
£
390,226
1,157,558
(1,661,612)
(429,390)
(316,536)
22,708
(837,046)		 2022
£
2,153,572
550,553
(1,522,940)
(3,710,385)
(240,955)
895
(2,769,260)

18. Related party transactions

There are no related party transactions undertaken during the year or prior year.

-19-