Ch•rfty Re8irtration No: 1156222 CoThwry Ilo". ￿702259 IEn#l•nd and Wales) The CH Foundation IUK) (a Charltsble Company Limited by Guarantee} Trustees. Report and Financial Statements For the Year Ended 28 February 2021 The CH FouTrdatiorb IUKI IA Company Limited by Guarantee) Charty Re8t5tration No.. 1156222 Jmpany Regi#rntion No: 08702259 Contents Page Legal and Administrati¥e Information Trustees, Report Statement of Tru5tee5' Re5pon5ibilitse5 IndependentAudr(ors' Report io Statement of Flnancial Acii¥fties 13 8alance Sheet 14 Statementol Cash Flow5 Is Note5 to the Financial Statements 16 The CH Foundation IUKI IA Company knmited by Guarantee) Charity Registraiion No= 1156222 Company Registration No.. 08702259 Legal and Adminlstrative Infomiation 0lrtrtorsandTr￿$tees Sir Christrjpher Hohn Mr Matthew kn.ng Charity Number 1156222 Comp•ny Number 08702259 R￿lS1¢￿ed Offi 7 Clrfftsrd Slreet London WIS 2Ft nker HSBC Bank Pk 8 Canada Square London E14 5HQ 1ndt￿ndefftt A￿1knr Pricewaterhou5eCwpEf5 One Spencer l)ork North Wall Quay Dublin I Ireland The CH Foundatbn IUKI IA Company Limfted by Guaranteel Chartty Reg￿ration No.. 1156222 Company Registration No.. 08702259 Trustees, Report TheTrustees PTe5enttheir report and audited financial statements for the year ended 28 February 2021. The finanoal statements have been prepared in accordance with the accounting policies set out on pages 16 to 18 and Comp￿ with the Current statutory requirements, the Charilies Art 2011. the CompaThie5 Act 2CQ6. the Memorandvm and Articles ol Association. and Accountin8 and Reporting by Charities.. State￿At of Recommended Practice applicable to charities preparing their xcounts in accordance with the Financial Reporting Standard appli(•ble in the UK and Republic of Ireland IFRS 1021 leffective ljanuary 20191. Status The CH Foundation IUKI Ithe -Foundation"I wa5 Incorporated on 23 September 2013 as a (haritable company limited bv guarantee and registered a5 a charity on 17 Marth 2014. for exclusive￿ charitsble purposes pursuant to its Articles of Association dated 23 5eptembET Z013. TheArtth ofAssociatioTh definesthe objects and power5 ofthe Foundat￿￿. Foundotlon QbJe¢th*s and Mtsdon The Foundation's objettives. as stated in theArticles of Association. are the holding of Incor￿ and property upon trust and to apply the income for the publK benefit for excluSNe￿£haritrble objects and purposes in any part of the wodd. In setting the Foundation's objectives and planning its actNities. the Trustees It*ho are also direttorsl have considèred Section 17 of the Charities Act 2011. In doing so they are satisfied that they have compjied with their duty to have regard to the Public Benefrt guidance published by the Charity Comm￿$10￿. The Foundation's activities and ath￿eMentS are outlined throughout this Trustees. Report and the Tru5tee5 beliEve they demonstrate that the Foundation 15 providing public benefit. The main objectNe5 of the Foundatton. asagreed bythe Trustees. are to.. provide assistance to those who are in Treed by reason of poverty. sickness or human suffering as a resulr of human trafficking Of Other seriou5 or organised criminal behaviour: advance education and to promote health- and promote such other purp05e5 being exdu5ivety charitsble as agreed bytheTru5tee5. 21 31 Oryanlsatlon The 8oard of Trustees meets to review and update the Foundatx)n's strategy and area5 of activity. in¢ludin8 con5ider3tion of grarst-makin& a reviewof the resenies polKy as well as the o¥wall risk profile of the FoundatK¥n. Fundra151n8 The Foundation does not seek to raise funds from the public and has en8a8ed with any professirjnal fvnd-raiser or commercial participator to ra￿ funds. Appolntment ofTNstt*s The Trvsiees who held office durinRthe year were= Slr Christopher Hohn Mr Matthew King The Trustees are selected on the basi5 of their skills and expertise and the contribution. in parricular in the areas of business managernent and developmeTht. which they ran make to determine the strate￿ and polKies of the Fgundation and to monitor irnplementstion. The Trustees are ￿$￿nsIble for finance, development and planniTh¥. There is no formal pro(e5s for training Trustees. but training is provided to indNidual Trustees and to theTrustees a5 a whgle a5 need5 arise. All Trustees gNe th•rtime freely and [￿T￿￿ee remuneration was paid in the year. The CH Foundat￿￿ IUKI IA Company Limited by Guarantee) Charity Registration No.. 1156222 CompaThy Registration No.. 08702259 TNstees' Report fcontinuedj ReseNes Polt¢y The Trustees are committed to app￿ing the Foundation'5 re50uro5 in a responsible manner for the purposes of yleldin8 maximum benefrt. The Trustee5 are aware re5erye5 are needed to brmlge the gap bewn the spendin8 and r￿￿￿￿¥ of income. The Trustees airn to rnaintsin free reserves in unrestricted funds at a level that wll provide suffKient fvnds to iespond to applKations for grants and ensure that support aThd ¥o¥ernance costs are (overed. RestrirtedFtsnds Restricted Funds are generated when the donor 5tipvlate5 how their donation may be spefTrt. In most cases. there will be • time la8 between when such funds are receNed and when they are e¥pEnsed. The Tru5tee5 ensure that these funds a expensed in accordantr with thetems underwhith they have donated to the Ftsundation. During theyear no amounts were donated which had restrKtsons placed on them12020= £nill. Expendable Etjdowrnent Expendable Endowment Funds include all funds receNed which the Trustees are authorised to spend when and rf they decide to spend these fvnds. The lunds may be used to further the specific charitable purpose5 the Foundation was ewblished to support. These costs can include both dirett and 511PPOrt C0515 a5wciated with artivitie5 undertaken by the Rettritted Funds within the Foundation. Oper0t￿nty1Rt$e￿tS Cash flow prolett￿n$ for incorne and expenditure are regular￿ reviewed by the Trustees to ensure that the level of disposab￿ net assets is adequate and that the Foundation 15 in a posltioTh to meet all its 8rani-makin8 and working capital commitments lor the foreseeable future. In the event that the Tru5tee5 find themselves ursable to Me￿ the FoundatlOn'5 commitments from reserves of Unre#ric￿ Fund5 at theif di5POsal. they will. draw on the Expendable Endowment to meet those commitments as necessary. The reserves policy bs reviewed annualty to reassess the risks and reliect any chan8e5 to the FOUndat￿￿'S inmme. capital. riThancial obligations and long term plans for charbtsble expendi￿￿. The Unrestricted Fund5 are expendable at the discretion of the Board of TNstees in fvrthernnce of the objects of the Foundation. Investment Pdlcy Under the Articles of Associatson. the Foundation has the prywer to in¥e5t in any waythe Trustees wtsh. The Trustees. hamng regard to the liquidity requirements of the Foundation and to the reserves policy currently operate policy of keeping available funds in an interest bearing deposr¢ account Gratstini Policy The Trustees meet r￿Ularty to consider what grants will make and to review any feedback they have received. The Twstees a￿ committed to apptyin4 the Foundatiori's re5011r(e5 in a responsible manner for the purp05e5 of yieldin maximum benelit. skststement The Trustees are responsible for the maftageme￿ of the risks fa￿d by the Foundation and have examined the major strategic. business and operational risks to which the Foundation is and may be exposed. They are Satisfied that the systems and contro15 are in place to mitigate and manage exposure to such major risks identified by the Trustees. They continue to review Current pr(Kesses fecrynising that Systems ran onty prcNide reasonable but not absolute a$5urdnce that maior ri5k5 have been adequate￿ managed. The CH Foundation IVKI IA Company Limited by Guarantee) Charrty Reg￿tratIOn No: 1156222 Company Registration No: 08702259 Trustees. Report (continued) R15k Statement Icontinued} The Tru5tee5 acknowledge the challenge5 of the current market Cond￿On$ ènd day to day working due to the COVID-19 pandemic. The Trustees are of the that COVID-19 has not had. and wll not have. a signthcant impact on the Foundation's resource53Thd operation5. However. the Trustees ￿11 continue to mtmitor the Situation. The FoUndat￿n.$ principal rlsks ¢an be br￿d￿ErOuped a5 folkrw5: Strotegicrisk Strategic risks are those that arise from the decisions tsken concernin8 the Found￿10￿,5 objectives and ability to meet those objectives. The Foundation has a clear vishTh. mission and strate8K plan that have agreed by the Trvstees. The Trustees regularly review the prove55 of the Foundation in relation to its w&on. mission. strate8icobjertwe5 and annual tsrget5. Operotionolnsk Operational risk isihe risk of lo￿ tesutiingfrom inadequateor failed internal processes and systems. orfrom extemal events. The Foundation has appropriate polKies and controls in plare to manage 115 operational risL induding system failuies, fraud and thett and failure to compty with legal. regulatory and sta￿l¢)ry iequirements. The COVID-19 pandemic has created challenges to day to day workin8. The Foundation and many of its servKe provide15 have implemented business continuity procedures, indudin8 remote workin& to ensure the safetyof personnel and to continueto operale with minimal impart. Credlt nsk The Foundation's exposure tr) ¢￿dr( risk arises main￿1 through its cash and cash equivalents. The Foundation holds all Cash with banks whom the Foundation has ttron& well*stablthed relationships and who typically have a minimum Moody's or S&P rating of investment grade. At the reportin£ date. the maximum exposure to credrt risk is represented by the carrWng amount in the Balance SheeL liquidityrisk Liquidity risk is the risk that the Foundation will encounter d1ffKult￿S in meetirvx the obligatiofis associated with its financial liabilitses that are settled by delivering cash or another finanaal asset. The Foundation expetts to rne￿ tt5 financial obligations thrO￿8h operaiing cash flow5. In the event that the operating (ash Ibows would not cover all the financial obligations the Foundation has 13sh reserves and credil facilTbe5 available. Financlal Rthryew Totsl incomin8 resources. made up of voluntary donations. erft aid, interest reteprtd and investment income. amounted to £15,831.85612020.. £3.223.0351. Durin8 the year, the Foundatbtin continued to luffil its main objects by8ranting£ll.014.1)6012020.. £4,805,952). The asset base of the Foundation stand5 at £15.377.50112020.. £11￿￿.2201 and 15 Predominate￿ made up of cash at baThk and an investment in an unlisted investment fund. The a55et base will enable the Foundation to meet its ongoin8 objects. The Trustees are olthe wew that COVIO-19 has not had. and wll not have. a signrhcant impact on the Foundation's resources and operations. The FoUndat￿n.5 incoming resources and thartrable grant expendrture increased significantly during the year. A5 all incoming resour￿$ come ftom a selett number of donors, each donor a related party of the Foundation. the Trustee5 believe there will be no irnpact on the availabilrty of donations from the donors fo¥ the foreseeable future. The Foundation also has s￿￿￿1£0nt cash and investment balan￿ at the ￿ar end. whth means that Rrants can continue to be prowded to Specif￿ projerts for the foreseeable future. Achlevements and Performance During the year. the Foundation granted £5,9)9.25012020= £3.647.2931 to The Children's Investment Fund Foundation IUKI I"CIFF"l. a charitsble company ￿81*ere￿ in England and Wales. CIFF 15 the worfd'5 largest philanthiopy that focuses speCifKa1￿ on improvin¥ children's lives. CIFF works wrth a wde range of partners. and area5 of work indude maternal and ¢hild health, adolesont sexual health. nutrition. education. dewormin& tsckling child slavery and explOitat￿n. increasing opportunities for girls and young women. and 5UPPOrting smart ways to slow down and stop tlim*e chan8e. The CH Foundation IUKI IA Company Limited by Guarantee) Charity Regi5tratiDn No.. 1156222 Company Re8istration No: 08702259 Trustees, Report (continuedj Achlevements and PerformarKe (contlnuedj The total amount granted by the Foundation to OFF consisted of a number of Bronts forthefollowin8tharitsble purr4)5es: i) The Foundation grarrted SS.LTr￿.l￿yj 1£3.980.9J)I to OFF to be used for CIFF'S grant to MANA Nutritive Produrts Incorporated I'MANA'I. a charitable organisation registered in USA. MANA'S mission it to end malnutrition and ha5 produced enough Ready-ttrU5e Therapeutic Fc#)d I"RUTF"I to treat over two million children worldwde. The purpose of the grant is to support MANAto vertK31ty integrate the product￿￿ of RUTF by adding a peanut roatting and patte making facilrty to its produthion line. 21 The Foundation granted $2.ts)J.ts)) lÉI.SSO.SL￿1(1O20.. $2.INki.cwxI I£1.601,CEOII to CIFF to be used in conjunction with CIFF'S grant to Educate Girls Gk$bal￿ I"Éducate Girls"l. a Charitab￿ orRani5ation re&￿tered in India. The Foundation committed to a SU￿rant of up to SS.(LK).LKN) of CIFF'S total committed 8rant amount of $9,5CKI,OCQ. The purpose of the grant isto dose Irbdia'5 edUcat￿Tr gender gap. The aggregate grant will allow Educate Girls tts= Enrol 1.6 million of the total out-of-sCh￿l girls population in India. through grades 1-10. by rapidly scaling the existing Educate Girls model. expanding to four ststes (Bihar. Rajasthan. Madhya Pradesh. Ultar Pradeshl over the next 5 years.. b. Within the school sy5t*rn, improve learnin8 OUtCor￿SfOr Over￿.(￿) children by implementing a remedial and a life-skills curriculum that will supplement the state curriculurn.. and . Stren￿￿en the xhool 8overnart¢e system and its infvastructure. 31 The Foundation granted SSLN).LU)1£377.850112020: Si.rKK).fKK)1£813,53711 to CIFF to be used in conjunction with CIFF'S grant to THORN. a charitsbk organisatiorb registered in USA. The Foundation CoMm￿ed to a sutrFgrant of up to S2.C￿.0(￿1. The purpose of the aggregate grant is to dramatKalty reduce the amount ol time to identify virtirns of online child Sexual abuse as well as eliminate Tts existentr from the open web. To arrive at these goals, THORN will build or rebuild and Scale current and new techThology produrts- induding Wrth0￿ limitation SOU5 and SAFER io arm both law enfOrce￿Nt and ifidustry with the tools they need. a5 well as connect global data. and address new and emerging threats to ¢hildren onlifte. During the year. the Foundation made grnnts to the Associat￿n for Voluntary Art￿ I'AVA'I. a charitable organi5ation registered in India. AVA is the legal entty managing the core activities of Bachpan Bèchao Andolan. a pioneering gra5S¥OOts initiative since 1980. to create an empowered child friendly sOC￿ty. where children are proterted, treated with d￿gnity and receNe free and quality education. The grants are forthe following chariiable purposes.. i) The Foundation 8fdnted $1.750.CK(I 1£1.340.SLKII during the ￿ar and Si.s(K).LKK) I£L158.6591 during the prior vear to allow AVA to ewnd their an￿traffIckIng work and extend the following ser¥Kes to the Wims and survivors.. a. Dirert and immediate sery¥ces to wrtim5 and SUTvivors.' b. Building ¢apa¢tties and immediate support to care8i¥er5 and partner organisations working on the anti- traffi£kin8 issue: and c. Building the capacities of the 13w Enlor¢ement A8encie5 and other 5takeholder5 on the anti-traffJckin8 work and service5 to be provided. 21 The Foundation granted $1.920.0￿ I£1.457.2801 during the year to AVA'S projert for access to justice for survivor5 of child rape and trafficking. The grant will allow AVA to.. a. Ensure that child fape and sexual abuse suwvi¥ors re￿Ne direct aid and assistsnce for effertive ju5titr delivery throu8h Fast Track Special Courts- and b. Ensure rescue. rehabilitstior5 and PrO5￿￿tIOn for 2.1￿ child trafficking¥ittim> During the year, the Foundation granted $2,￿l￿{£2.18s,92O1 to the Kailash Satyarthi Children's Foundation I'KSCF"). a charitable org3nis3tion registered in India. KSCF has. thrLWBh concerted and sustained action5. demonstrated that the need for a child friendly society can be ach￿ed through dirett and coniinued grassroots level interaction. KSCF continues to fight against all kinds of child rights ¥￿13t￿n. indudirb8 child labour. child trafficking and thild sexual abuse. The purpose of the grant 15 to further KSCF'5 campaign against trafficking and (hild rape. The CH Foundation IUKI IA Company Limited by Guarantee) Charity Registration No.. 1156222 Company Registration No.. 08702259 Trustees, Report (continuedj Athlevements and PerforniarKe {£ontlnued} Durin8 the year. Ihe Foundation granted $150.((#J1£121.1101 to Han(wer Charilies I'Hanovertl, è charitab￿ O￿anisation in Jamaica. for Hanover's scholarship proBramme. Education is a key focus for Hanover and there are several education-tsased schemes supported by the charity. including scholarships that have been awarded in the fiekls ol medicine. law. education, social worl nursing. communscat¢ons and agricu￿￿Te. Sub5equont Events and Fulufe Plans The Foundation ha5 sufficient funds at the end of the ffinaniial year to allow ￿t to in(Te4se it5 actNitie5 in the forthcoming vears in order to meet ihe main objecbves of the Foundati¢)n and to ensu￿ that the application of any intome for the public benefr( is exclusive￿lor charitable objerts and purposes. Foll¢)win8 the year end. the Foundation acquired a nonm General Accepted Accounting Practice). Under company law ihe Trustees musi not approve the finanoal statements unless thèy a satisfied that they give a true and fair view of the state of the affair5 of the Foundation and of the incoming resources and applKation of resource5. indudiThg the iThcorne and expenditure. of the Foundation for that period. In preparirbg these finafiaal statements. the Trustees are requiTed to.. selett suitable accounting policiesand then applythem t0nsistei1t￿- ob5erye the methods and prinoples in the AccountinK aThd Reportin8 by Charitie5= Statement of Recommended Practice11 January 20191,. makelud8ements and estimates that are reasonable and prudent. state whether applicable UK Accountin8 Standards. comprising FRS 102. have been followed. subiett to any material departure5 disdosed and explained In the finanaal statements.. and prepare the finanoal statements on the going concern basi5 il is inappropriate to Presume that the Foundation will continue in business. The Trustees are responsible lor keeping adequate a¢countin8 records that ale sufficient to show and explain the Foundation's transartions and disdose with reasonable accuraty at any time the financial postlion of the Foundation and enable them to ensure that the finanoal statements COMP￿ wrih the Companies Att 2￿6. They are also ￿SponSIbl@ for safeguarding the assets of the Fourbdation and hence for taking reasonable steps for the prevention and detettion of fraud and other irregularitVd5. The Truslee5 are re5pon5ible for the maintenance and iThleBrity of Foundation's web51te. Legislation in the United KiTrgdom 8overnin8 the prepaiatson and dissemination tsf ffillancial state￿Trts may drfferfrom legislation in other jurisdictions. By orderof the Board gf Truyees M•tthew KI￿ (Chty"r} Trustee Date.. 11 November 2021 ## _**Independent auditors’ report to the members of The CH Foundation (UK)**_ ## **Report on the audit of the financial statements** ## **Opinion** In our opinion, The CH Foundation (UK)’s financial statements: - give a true and fair view of the state of the company’s affairs as at 28 February 2021 and of its net movements in funds and cash flows for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards, comprising FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”, and applicable law); and - have been prepared in accordance with the requirements of the Companies Act 2006. - We have audited the financial statements, included within the Trustees' Report and Financial Statements, which comprise: - the Balance Sheet as at 28 February 2021; - the Statement of Financial Activities for the year then ended; - the Statement of Cash Flows for the year then ended; - the notes to the financial statements, which include a description of the significant accounting policies. ## **Basis for opinion** We conducted our audit in accordance with International Standards on Auditing (UK) (“ISAs (UK)”) and applicable law. Our responsibilities under ISAs (UK) are further described in the Auditors’ responsibilities for the audit of the financial statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. ## _Independence_ We remained independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, which includes the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. ## **Conclusions relating to going concern** 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 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. 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. However, because not all future events or conditions can be predicted, this conclusion is not a guarantee as to the company's ability to continue as a going concern. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. ## **Reporting on other information** The other information comprises all of the information in the Trustees' Report and Financial Statements other than the financial statements and our auditors’ report thereon. The trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and, accordingly, we do not express an audit opinion or, except to the extent otherwise explicitly stated in this report, any form of assurance thereon. 10 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 an apparent material inconsistency or material misstatement, we are required to perform procedures to conclude whether there is a material misstatement of the financial statements or a material misstatement of the other information. 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 based on these responsibilities. With respect to the Trustees’ Report, we also considered whether the disclosures required by the UK Companies Act 2006 have been included. Based on our work undertaken in the course of the audit, the Companies Act 2006 requires us also to report certain opinions and matters as described below. ## _Trustees’ Report_ In our opinion, based on the work undertaken in the course of the audit, the information given in the Trustees’ Report for the year ended 28 February 2021 is consistent with the financial statements and has been prepared in accordance with applicable legal requirements. In light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we did not identify any material misstatements in the Trustees’ Report. ## **Responsibilities for the financial statements and the audit** ## _Responsibilities of the trustees for the financial statements_ As explained more fully in the Statement of Trustees' Responsibilities , the trustees are responsible for the preparation of the financial statements in accordance with the applicable framework and for being satisfied that they give a true and fair view. The trustees are also responsible for such internal control as they 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 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 company or to cease operations, or have no realistic alternative but to do so. ## _Auditors’ 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 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. Our audit testing might include testing complete populations of certain transactions and balances, possibly using data auditing techniques. However, it typically involves selecting a limited number of items for testing, rather than testing complete populations. We will often seek to target particular items for testing based on their size or risk characteristics. In other cases, we will use audit sampling to enable us to draw a conclusion about the population from which the sample is selected. 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. Based on our understanding of the company and industry, we identified that the principal risks of non-compliance with laws and regulations related to compliance with Part 8 of the Charities Act 2011, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the financial statements such as the Companies Act 2006. We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to use of income or assets of the charitable company for activities that do not support the objects of the charitable company. 11 Audit procedures performed included: - Discussions with management and company staff, including consideration of known or suspected instances of non-compliance with laws and regulations and fraud; - Reading relevant minutes of meetings held during the year, including those of the Trustees; - Designing audit procedures to incorporate unpredictability around the nature, timing and extent of our testing; - Testing the appropriateness of journal entries identified based on our fraud risk criteria. There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. A further description of our responsibilities for the audit of the financial statements is located on the FRC’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditors’ report. ## _Use of this report_ This report, including the opinions, has been prepared for and only for the company’s members as a body in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and for no other purpose. We do not, in giving these opinions, accept or assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing. ## **Other required reporting** ## **Companies Act 2006 exception reporting** Under the Companies Act 2006 we are required to report to you if, in our opinion: - we have not obtained all the information and explanations we require for our audit; or - adequate accounting records have not been kept by the company, or returns adequate for our audit have not been received from branches not visited by us; or - certain disclosures of trustees’ remuneration specified by law are not made; or - the financial statements are not in agreement with the accounting records and returns. We have no exceptions to report arising from this responsibility. ## **Entitlement to exemptions** Under the Companies Act 2006 we are required to report to you if, in our opinion, the directors were not entitled to take advantage of the small companies exemption from preparing a strategic report. We have no exceptions to report arising from this responsibility. Aisling Fitzgerald (Senior Statutory Auditor) for and on behalf of PricewaterhouseCoopers Chartered Accountants and Statutory Auditors Dublin 11 November 2021 12 The CH Foundation IUKI IA Company Limited by Guarantee) Charity Registration No.. 1156222 Comparby Registration No.. 087022S9 Statement of Flnanclal Activities for the Year Ended 28 February 2021 28 Febrnary 2021 29 Febrnary 2020 Note Incorne Donations and legacies Investment income Total inromp 15.678,516 153.340 15.831.856 3.223.035 3.223.035 Empendhure Expendr(ure on charitable actNities Totsl emperthllture 111.330,1471 111,330,147) 14.808,4661 14.808,4661 Net Incoffle I leyrbdlturel 4.501,709 11.585.431> IL0551 I pin on in¥e5tmpnts 1180.4281 23.981 Net movernent In lunds 4.321.281 11.561.450) Re¢on¢lll•iion olfvnds Total funds brought forward 13 11.056.220 12.617.670 Total fund5 ￿rrIed forward 15.377,501 11.056,220 The Statement of Fina￿101 ￿ts￿lI1e$ has been prepared on the basisthatall artivitie5 are (ontsnuing. There are no recognised gains and hjsses otherthan those induded in the results above and therefore no separate statement of total recognised gains and losses has been P￿Sented. The accountiTh¥ poliaes and the note5 on pages 16 to 21 form part of the Financial Statements. The CH FOundat￿n IVKI IA Company Ltmited by Guaranteel Charity RegiStrat￿n No.. 1156222 Company Rwstration No: 08702259 Balance Sheet as at 28 February 2021 28 February 2021 29 February 2020 Flxed Assets Investrnents 4.192.249 4.192,249 4,372.677 4.372.677 Currenta55ets Debtors Cash at bank and in hand Total vJrr•nt4S5ets 1.684,389 9.509B72 11,194,261 983.317 5.708.746 6.692.063 U•bHltles Credff(ors'. amounts falling due wtthin one year Net current assets io 19.C¥J91 11.18S,252 18.5201 6.683.543 Total a55ets 15.377.501 11,056,220 The fund5 olthe F(wndation: Unrestricted Fund5 Total Foundatlon fvnds 13 15.377.501 15.377,501 11,056.220 11,056.220 The acwuntinz polic￿5 and the [￿te50￿ page5 16to 21 form partof the Finanaal Statements. The Financial Statements were approved by the Trnstees and authorised for issue on 11 November 2021 and signed on their behalf bv.. Matthew Twstee 14 The CH Foundation IUKI IA Company Limited byGuaranteel Charity fle8i5tfat￿n No.. 1156222 Cornpany Re8i5tTrtion No: 08702259 Statement of Cash Flows for the Year Ended 28 February 2021 28 February 2021 29 February 2020 Net cash generated byl lused in) operatingattNities 14 3,801,126 1657.7541 Cash fftow frorn xti¥ltles Purchase of investments Net Cash used in inves￿￿3ct0¥ltleS 11,087,ICQI 11.087.ICQI Not Incr*ase I Idecrea5el in (ash and (ash equNalents 3,801.126 11.744.8541 Cash and Cash equwalents atthe beginningof the year 5.708.746 7.453,6(￿1 Cash and Icl Income Income is induded in the respectNe line item5 of the Statement of Financial ArtNitie5 when the Foundation is legally eTrti(led to the incorne and the arnount can be quantified with reasonable certainty. Incorne cornpri5es of donations. recognised when received and banked, and GIftA￿, recogni5ed when there 15 a Wdl¥J dedaration from the donor. Idl Glfts In klnd and don•ted ser*kes Gifts in kind and donated sayices are valued and induded. Whe￿ m•erial, in the financial #atements. The Contrib￿10￿ of volunteers has been excluded from the Staiement of Finanaal ActNr(ies as ihe value of their contribution to ihe Fourtdation cannot be reasonabty quantifvdd in financial terms. Due to the immaterial nature of donated services and the difficulty in quarbtifying the financial impart of same the (urrefit year. therewere no amounts induded in respect of same. lel Expenditure Expenditure 15 accounted for on èn accruals basis. Con5trurt￿e obligations lindudin8 grants payable) are accounted for as liabilities where it 15 probable that thefe ￿11 be a tran51er of economic benefrts and the amount of the obligation can be reliably ettimated and communic*ed to the wipienL Costs of charitable activities comprise all costs In￿rred in the pursur£ ￿the charitable objetts. These costs. where not Wh￿ attributable. are apportioned betsRen the (ategorie5 of charitableexpenditure in addit￿ to the direct costs. In Support and laverna￿e casts Support costs are those costs which do not ￿late dIrett￿t0 a single actr￿ty. Governance costs are those costs incurred in the compliance with constitutional and statutory reqUI￿￿nts indudinÉ rdated professional fee5. and are accounted for on an accruals basis. These cosis are induded under the heading charitable attMt*s in the 5tatemeni of Financial Artwitie5. Support and governance costs have been app)rbor*d between d￿ritable activities on an expenditure ba515. whereby the costs are allocated propDrtionateto the nature of the grant funded aciwitv. 16 The CH Foundation IUKI IA Company Limited by Guarantee) Ctharity Registration No.. 1156222 Comparty Registrat￿n No.. 08702259 Notes to the financial Statements (continuedj 3 Accwnlin¥ PoliEie5 1cont1nt￿d) ) Forei￿ currencytranslation Monetary a55ets and liabilities denominated in forew currencies are tran￿ated into pound Sterling at the rates of exchange ruling at the Balance Sheet date. Transaclion5 in forei8n currencie5 are recorded at the rate ruling at the date of transaction. I differences a￿ taken to the Staternenl of Financial Athitie5. Ihl Funds Unrestricted Funds comprise those funds t*thith the Trustees are free to use in au(Kdance wth the tharitrble objective5 of the Foundation. Restrirted Fund5 comprise those funds that (an On￿ be used for particular re5trKted purposes within the objectives of the Foundation. Restricted Funds arise when the funds are 5peufied 35 such by the donorlsl OT when fursds are raised for particular fe#ricted purpose> Expendable Endowment Funds indude all funds re¢eNed whith the Trustres ¥e authorised to spend when and if they decide to spend these funds. The funds may be used ￿ further the specifr¢ charitable purposes the Foundatiofi was e5tabli5hed to 5UPPOrt. These costs can include both direct and support costs associated with attl￿tieS undertaken by the restritted funds within the Foundation. lil Inve5trnents Investments comprise a non-COntrollin8 interest in an investment fund whith 15 measured at fair value. The fair value of the investment 15 determined by the net asset value of e￿h fund a5 at the reportin8 period end date. Changes in fair value are recognised in the Statement of Finan¢ki1 Aciivities. til Cash ar￿ cash equlvalents Cash and cash equivalerbts indudes cash in hand and bank overdrafts. Bank overdrafts, where applicable, are shown wiihin borrowings in current liabilities. Ikl Flnanual instruments The Foundat￿Tr has chosen to adopt 5ettion 11 of FRS 102 in ￿$pert of finanoal instrumen 11} Finonclol ossets ondlnvestments Basic finanaal assets. including receNables. and cash and cash equtvalents. a￿ inr¢iatly rect>8nised at transaction price, unless the arrangement constitutes a finanong transaction. where the transattion is measured at the ptesent value of the future receipts discounted at a market rate of interest. Suth assets are subsequently carried at amortised cost using the effectwe interest method. At the end of each reporting period finanual assets measured at arnOrt￿ cost are assessed for objective evidence of impairment. If an asset is impaired the impairment 105$ i% the difference between the carrying amount and the Present value ol the estimated cash flows drscounted at the a$5eVs oriwnal effertwe interest rate. The irnpairment Ios5 15 recognised in the Statement of Financial AaNities. Other financial assets. including in¥estments. are inr(la1￿ measured at fair value, whith is nom)a1tythetrdnsa￿Iofi price. Such assets are subsequently carried at fair value and the changes in fair Value are recogAised in ptoftt or loss, el￿pt that inve5trnent5 in equity instruments that are not Pu￿•d¥ traded and whose fair values cannoi be MeaSu￿d reliably are measured at C05t less irnpairment. Ilij Flnonciall￿￿iI1fleS Basic financial liabilr¢ies, in¢luding inde and ￿her payables. a￿ inilialfv recoÈni5ed at transact*)n price. unless the arrangement constiiutes a financinB transaction. where the debt instrumeftt i% measured at the present value of the future receipts discounted at a market rate of inierest. Trade payables are obli8ations tr) pay for £l￿d5 or services that have been acquired in the ordinary course of business from supplier& Trade payables are recognised lnttia1￿ at tran￿rtIon pri￿ and 5ub5equently rneasured at arnOrt￿ed c05t usingtheeffective interest method. 17 The CH Foundation IVKI IA Company Limited byGuaranteel Charity Registration No.. 1156222 Company Registration No.. 08702259 Notes to the Financlal Statements {continuedJ 3 Acayjnting PolKies Icontinuedj 111 Crltlcai accounttngludgementsand estlmatkn uncertahity Estimates and judgements are continually evaluated and are based on historical experience and other factors. induding expectation5 of fvture eventsthat are bel￿d to be reasonable under the circumstances. The preparation of financial Statements in conformity wilh FRS 102 require5 the use of certain C￿￿ra1 accounting e5tirnate5. It a150 requires managementto exertise its judgement in the proces$0fapp￿rtKthe Foundation's %countin8 pol￿)es. The fair value of the investments are deterniined by the proportionate inierest of the net asset value of each fund as at the reporting petiod end date. The Trustees Pla￿ reliance on the acctsracy of the net asset value of the investment fund, d￿erMined by the boards of the investment fund and. il applicable. appointed external Valuers. The key accouniin8 judgements and estimates in determinlng the net assetvalue of the in¥estment fvnds are the fatr value measurements of the finanoal instruments held by the investrnent fund. 4 Charitable aclriibe5 Grnntfvnded Support & 28 February tNity governance 2021 29 February 2020 Hurnanitarian aid a5 a result of Cfiminal behaviour Advancement of education and promotion of heallh 5.361.550 5.652,510 11.014,060 153.868 162,219 316.087 5.515.418 5,814,729 11,330,147 1.973.228 2.835,238 4,808.466 Aft?￿51$ of support and I￿￿eMan(e costs General Governance fvnttion 28 February 2021 29 February 2020 support Governance Finance Inforrnation technoloRY 9,329 9.329 304.956 1.802 316,087 14.989 114.5791 2.104 2.514 304.956 1.802 306.758 9.329 Finance costs include$ 8¥ins aThd losses on forein exth3n8e t￿n￿l￿)n5. S Staff costs The Foundation had noemployees duringthe year12020: nill. The Foundation considers its key management personnel to comprise of the Tru5tee5. The Tru5tee5 were not paid. nor received any benefits. from the Foundation during the year12020.. £nill. The Trustees were not reirnbursed expeTr5e5 duriThg the year12020.. £nill. No Trustee rece￿￿ payrnent foT professional or other service5 suppl￿d to the Foundation12020.. £nill. 6 Tavllon The Foundation ts exempt from tax on income and Bains fallin8 wthin sertion 505 01 the Taxes Att 1988 or 252 of the Ta¥atii)n of Chargeable Gains Act 1992 to the extent thatihese ale applied to its charitable objects. 7 Net Sncorne I (ex￿ndI￿re) 28 February 2021 29 February 2020 Net income I lexpendituTel is stated after charging Ilcreditingl.. L055es I Igainsl tsn foTeiEn exchange transadTrons Fees payable to the Foundation's auditor forthe audrt of the finanoal statements 304.956 8.988 114.5791 8.498 18 The CH Foundatw)n IUKI IA Cornpany Limited by Guaranteel Charity Re8i5tration No.. 1156222 Company Registration No: 08702259 Notes to the Flnanclal Ststements [continuedJ 8 IrNestments 28 February 2021 29 February 2020 8rtsu8ht forward Additions (Lossl I gain on financial assets at fair value Carried forward 4.372.677 3.261.S96 1.087.lQ] 23,981 4.372.677 1180.4281 4,192.249 The investment represents 3 5ubxription entered by the Fwndation into an unlisted investment fvnd. The investment fund provides debt financinÉ to finanoal in5titutw)ns and water and sanitation enterpri5e5 providing water supply and sanitation microbans, producis, or servtces to families li￿n& im India. Indonesiti. CJmi¥)dia. and the Philippine5. The investment fund e¥pert5to reach 4.6 million people with safe Waler or ￿nitat￿n over its seveTh year life. 9 Debtors 28 February 2021 29 February 2020 Gift Aid receivable Loan reteivable Other reCe￿￿bleS Prepayments 1.371.250 305.053 7.917 169 642.SCiI 331.458 7.917 1.442 983,317 1.684.389 10 Cfedilo 28 Febwary 2021 29 February 2020 Trade payable5 Accruals 21 8,988 8,520 8,520 11 Flnanclal Instfumtnts 28 February 2021 29 February 2020 Financial assets at fairvalye 4.192,249 4.372,677 Financial assets that are debt instruments. measured atamorti5ed cost: Loans receivable Other receivable5 305.053 7.917 312.970 331.458 7.917 339,375 Financial liabilities measured aiamortised cost= Trade payables 21 12 Flnaftdal r55k manatement The Foundation's financial adivities may expose It to a Variety of financial risks. broadfy grouped as market risl tredit risk and liquidity risk. 19 The CH Foundation IUKI IA Company ￿'mIted by Guarantee) Chartty Registration No: 1156222 Comparby Registrat￿￿ No: 08702259 Notes to the Financial Statements fcontinuedj 12 Flnanrial f15k rnanaymertlcontinuedj Mèrket rlsk The Foundation'5 exposure to market risk is limrted to currency exchange risk and Pri￿ risk. The currency exhange rfsk arises from the inve5trnents held in curTencie5 other than the funcbonal currenry of the Foundation. The Foundation does not a￿1velY seek to hedge tts e¥p05ure lo foreign exchan4e risk. The pri￿ risk ari5e5 on the investments due to their exposure to flyttuations in market prices lotherthan currency exthange risk). whetherth05e change5 are caused by factors specific to the finan£ial instrument or its Issuers, orlattors affecb.ng all similar financial in5trurnentstraded in the market. Credlt rfsk The Foundation'5 exposureto credit risk arises mainty through its cash balar￿eS and loan re￿Nats1e. The Foundation will hold all cash with banks whom the Foundation has stron& welkestablished relationships and who typicalfy have a minimum Moody's or S&P rating of investmeTht grade. The Foundation monitors the borrower's finaTrtial performance on a quarterly basis. Atthe reporting date. the maximum exposureto credit risk 15 represented by the carrying amount in the Balance Shew. Llquldliv rl$k Liouidity risk is the risk that the Foundation will encounter diffi¢ulbe5 in Meeting the obligations a5xxiated with its financial liabilities that are seffled by delNerinK cash or another finaAoal asseL The Foundation expect5 to meet it5 financial obligations through rjperating cash flows. In the event that the operatifiÈ cash Ik)w5 would not cover all the financial obligations the Foundation has Cash reserves and £￿dfL1aCI1itleS available. 13 M<>¥ement infund5 29 February 2020 Inmming Resources Resources Expended 28 February 2021 Unrestricted 11,056.220 15.6SI,428 11.056,220 15.651,428 111,330.1471 111.330.1471 15,377,501 15.377.501 14 Note5 to the Statement of Cash FI￿5 28 February 2021 29 February 2020 Net income / lexpenditurel forthe financial year 4,321,281 11.561.4501 Adjustments for.. Loss / Igainl on in¥eMments Ilncreasel / decrease in debtors lThcrea5e in creditor5 Net cash generated by I ltssed in) opeiating attr¥ities 180.428 1701.0721 123.9811 927.108 569 16S7.7541 3.801.126 15 Continyntthabililies and￿na￿l01 oxnrnilments The Foundation had commitments at the year end of £7.472.14512020.. £15.332.9841. The Foundation has entered Intr) grant greements with Charitab￿ organi5ation5 and made grants available as drawdowrb faalrf(ie5 over the grnnt ierms. The commitments at the year end represent the ￿rna1nder of the lotsl committed grants that the charitsble Organisations have not drawdown. The Foundation will fvnd ihe ¢ommitmentsthri)u8h exisiing c35h balances and future donations receNed. The FOundat￿n had no contin8ent liabilities at 28 Febrnary 202112020.. £AiII. 16 Rehted partytransadion5 During the year. the Foundation receThEd donations wrthout conditions of £14.306.060 12020.. £2.570.fWl from related parties. During the year. the Foundation made charitable grants io The Children's 1n¥e$b￿efftt Fund Foundation IUKI I"CIFF"l of £5.9)9.25012020.. £3.647.2931. OFF is related due to C. Hohn being a trustee of aFF. The CH Foundèiion IUKI IA Cornpany Limited byGuaranteel Charrty Registration No.. 1156222 Company Re8iStration No.. 08702259 Notes to the Financial Statements (continuedj 17 Contmlllni p The controllin8 party are the Trustees acting in the General Meeting. 18 Sub5e9uent t￿nts Followin£ the year end. the Foundation acquired a non-controllin8 interest in a limiled liability partnership incorporated in England and Wales at a eost of £1.097.047. There have been no other signtficant events whKh require further disdo$u￿ since the finanoal year end and the date these financial StateMentswe￿ authorised for issue. 21