Company registration number: 8825712 Charity registration number: 1158970
Columbia Threadneedle Foundation
(A charitable company limited by guarantee)
Annual Report and Financial Statements
for the Year Ended 31 December 2020
Columbia Threadneedle Foundation
Contents
| Page(s) | |
|---|---|
| Legal and Administrative Details | 2 |
| Trustees' Report | 3 to 12 |
| Independent Auditors' Report | 13 to 16 |
| Statement of Financial Activities | 17 to 18 |
| Balance Sheet | 19 |
| Statement of Cash Flows | 20 |
| Notes to the Financial Statements | 21 to 28 |
Page 1
Columbia Threadneedle Foundation
Legal and Administrative Details
Chairperson A Jefferis Trustees M Beard (appointed 1 January 2020) L Cook (appointed 1 January 2020) C Felton (resigned 31 March 2020) S Hassabu (appointed 1 April 2020) N Janvier (resigned 31 March 2020) A Jefferis J Perrin (appointed 1 April 2020) R Pybus (resigned 5 February 2021) T Tang (appointed 1 April 2020) E Tekdag (resigned 31 March 2020)
Registered Office Cannon Place 78 Cannon Street London EC4N 6AG Company Registration Number 8825712 Charity Registration Number 1158970 Bankers Lloyds Bank Plc 25 Gresham Street London EC2V 7HN Independent Auditor PricewaterhouseCoopers LLP Chartered Accountants and Statutory Auditors 7 More London Riverside London
Page 2
Columbia Threadneedle Foundation
Trustees' Report
The Trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company for the year ended 31 December 2020.
Columbia Threadneedle Foundation is a Company Limited by Guarantee and a registered charity governed by its Articles of Association.
The Trustees have adopted the provisions of the 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”) (effective 1 January 2015) - (“Charities SORP (FRS 102)”), the Companies Act 2006 and Charities Act 2011 in preparing the report and financial statements of the Foundation. The legal and administration information on page 2 forms part of this report.
Trustees
M Beard (appointed 1 January 2020)
L Cook (appointed 1 January 2020)
C Felton (resigned 31 March 2020)
S Hassabu (appointed 1 April 2020)
N Janvier (resigned 31 March 2020)
A Jefferis
J Perrin (appointed 1 April 2020)
R Pybus (resigned 5 February 2021)
T Tang (appointed 1 April 2020)
E Tekdag (resigned 31 March 2020)
At the signing date the charities comission website details Laura Cook's name as Laura Mathew. This discrepancy is being rectified.
Objectives and activities
Objects and aims
The principal activity of the Foundation is to act as a corporate charity.
The Foundation’s objective is to further such purposes that are exclusively charitable under the laws of England and Wales as the Trustees from time to time shall think fit.
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Columbia Threadneedle Foundation
Trustees' Report
The Foundation’s strategic aim is to invest in the community by building partnerships with charities across a range of sectors, with a focus on charities that use education/training, art and sport to improve individual lives while also engendering lasting social change. We focus on charities that are driving social change through their work with disadvantaged or marginalised people. Common threads the Foundation looks for in its programmes and charity partners include the ability to build skills and confidence, challenge perspectives and broaden horizons. We believe this approach not only delivers improvement to individual lives but brings long-term benefit by helping address critical social issues and drive fundamental social improvement.
• Education – recognising the need to improve financial education and access to education and training more broadly, the Foundation supports educational programmes from schooly-based schemes to programmes designed to improve access to higher education, and skills and employability training for vulnerable groups.
• Arts – the Foundation believes that a vibrant arts sector brings a wide range of social, cultural and economic benefits, and supports charities that span visual and performing arts, art as therapy and art-based education programmes for diverse groups and communities.
• Sport – the Foundation recognises the unique power of sport to engage and motivate, build comradery and improve emotional and physical wellbeing, particularly among young people, and it supports sport-based charities that deliver these benefits.
During 2020 we made exceptional donations to support the frontline COVID-19 response, with grants to City Harvest, the Trussell Trust and the European Food Banks Federation.
The Foundation’s long-term charity partners share certain characteristics; they have a coherent long-term vision, clear strategic aims and strong management teams. Many are grass-roots initiatives that the Foundation believes have the potential to achieve outstanding growth and exceptional outcomes. Above all, the Foundation chooses charity partners that share its values of responsibility, integrity and excellence.
Objectives, strategies and activities
The Foundation applies a responsible and rigorous process to its choice of charity partners and recipients to ensure funding achieves direct, measurable outcomes and long-term sustainable partnerships are created. Trustees of Columbia Threadneedle Foundation undertake careful due diligence on individual and regular grants, to help ensure we maximise the public benefit impact of our donations against our stated themes. This due diligence is undertaken before any grants are confirmed by Trustees and is regularly reviewed during any partnership. Our due diligence process includes a review of past financial reports held by the Charity Commission, meetings with key charity staff and Trustees and ongoing grant monitoring and impact evaluation – both through a six-monthly written report and through regular face-to-face meetings as required. We are supported in this process by a firm of external consultants that works alongside the Trustees and helps to provide additional expertise, challenge and perspective.
In addition to financial support, the Foundation provides volunteering and pro bono opportunities for employees of Columbia Threadneedle Investments to encourage meaningful engagement with our charity partners. The Foundation also supports the efforts of employees raising money for charity, via payroll giving and matched giving programmes.
In shaping the objectives for the Foundation for the year and planning our activities, the Trustees have considered the Charity Commission’s guidance on public benefit.
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Columbia Threadneedle Foundation
Trustees' Report
Achievements and performance
Responding to the COVID-19 Pandemic
In 2020 we joined other long-term funders of UK charities, in signing a statement recognising the impacts of COVID-19 and providing reassurance of our ongoing support across London’s communities. Through the statement, organised by London Funders, the membership body for funders and investors in London’s civil society, we committed to a range of practical steps to help charities manage through the pandemic, including adapting activities, being flexible in terms of timing and application of funds and importantly listening to charities when they are ready to talk about the challenges they are facing.
Throughout 2020 the Foundation continued to develop our successful long-standing relationships with Access Sport, SEO London, KickStart Money, Clean Break, Bounce Back, The National Gallery, AT The Bus and A LA PAR.
We supported our charity partners as they adapted their approach and to support vulnerable groups and individuals during the pandemic, including the following examples.
Access Sport launches Winter Warriors programme
Access Sport is a dynamic UK national charity that gives children and young people, particularly in disadvantaged areas, access to a wide range of quality local sport, harnessing the power of sport to tackle social exclusion, inactivity and obesity. It builds thriving community sports clubs led by volunteers in the country’s most deprived urban areas. The charity’s impact extends beyond participants: clubs become a beacon in their local community, local volunteering is multiplied, and volunteers upskilled bringing significant economic, social and environmental benefits.
Winter Warriors was an initiative from Access Sport to donate inclusive multisport equipment and activity booklets to families, with a focus on reaching disabled children and their families. It was designed to support families to remain active during the winter months, whilst community clubs were closed for the holidays or shut due to COVID-19. The booklets encouraged individual and whole family activity, as well as fun wellbeing ideas like baking, quizzes and outdoor scavenger hunts to ensure families had a range of activities to do to support their physical and mental wellbeing. Families joined the Winter Warriors Facebook group to share their experiences and photos and every disabled child and young person who was part of the Winter Warriors received a t-shirt to wear proudly! More than 500 orders were received from families across London, Bristol, Manchester and Oxford.
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Columbia Threadneedle Foundation
Trustees' Report
Bounce Back - No Going Back
Bounce Back charity and social enterprise works both in and out of prison to train and prepare people for employment. With training centres in several prisons as well as in the community, their focus is on giving people the opportunity to gain skills and qualifications that will enable them to secure employment on release either in the Bounce Back Decorating Team or with construction industry partners. They train in skills that are in demand including painting and decorating, scaffolding, dry lining and aerial window cleaning. Fully supporting people throughout their time in prison and through the gate, Bounce Back act as a ‘bridge’ working with individuals for up to a year as they return to their lives and into work.
With Bounce Back’s work in prisons was severely restricted due to Covid-19, the charity partnered with the London Livery Companies to launch No Going Back, with the aim of specifically preparing individuals in prison for job opportunities that will be offered by Livery Company members. Jobs are primarily in the built environment, a broad remit encompassing a wide variety of opportunities from HGV driving, construction and facilities management to site supervision, administration and engineering, giving as many people as possible an opportunity to participate.
Importantly the project is aimed at meeting the skills needs of employers. No Going Back focuses on providing support on release with training, upskilling and employability to ensure the passage into employment is as seamless as possible for individuals and employers.
Clean Break and Write to Connect
Women’s offending is frequently underpinned by a range of complex and gender-specific needs. Clean Break produces ground-breaking theatre which puts women’s voices at its heart. Through theatre and tailored support, Clean Break builds women’s resilience, skills and creativity and gives them a voice. The Foundation supports Clean Break’s Members Programme, which is open to women aged 17 and above who have lived experience of the criminal justice system or are at risk of entering it. It offers a foundation of learning and skills in theatre performance, creativity and wellbeing, as well as opportunities to engage in professional, public facing performance projects. Through a unique repertory of new plays and theatre-based creative learning, Clean Break raises difficult questions, inspires debate, and helps to effect profound and positive change in the lives of women with experience of the criminal justice system.
In early May 2020, Clean Break partnered with the community organisation It’s Not Your Birthday But… to launch Write 2 Connect, a letter writing project connecting women through the prison walls with women in the community. There are 3,424 women in prison in the UK (at 24 April 2020), many of whom are locked in their cells for 23 hrs a day and whose visits, which can be a vital lifeline, were suspended to stem the spread of the virus. For two weeks in May, women from all walks of life sent letters with words of inspiration, hope and solidarity to women in prison. The letters shared something personal and offered hope-a gift which everyone can afford, and which can remind us in difficult moments that we are connected, we are part of a wider community and we are valued. Over 200 letters were delivered to HMP Downview, with the women in HMP Downview then writing their own letters in response which were passed on to women accessing services at women’s centres.
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Columbia Threadneedle Foundation
Trustees' Report
AT The Bus in a BOX
AT The Bus is an art-based charity that offers young people access to a high quality provision that seeks to improve their mental health. It offers a school-based programme of art as therapy to support the mental wellbeing of children and young people aged 5 -18 in Oxfordshire and London. Group sessions take place during the school day in a purposely designed therapeutic studio space in a double decker bus located on school grounds. Students work in small groups led by experienced facilitators trained in the Beattie Methodology, a creative therapeutic intervention that supports mental wellbeing, alleviates anxiety, develops resilience and helps young people build their self-esteem, self-confidence and independence. The double decker bus offers a calm, safe space within the school site for students to access.
In 2020 At The Bus in a BOX was developed to offer greater flexibility and ensure ongoing provision. Compact, wheeled boxes containing story books, art supplies and other resources equipped highly trained facilitators to run workshops in any appropriate and safe space within a school. AT The Bus in a BOX can be delivered flexibly and with short notice to schools in need, broadening the reach of the charity’s provision and building resilience, nurturing self-esteem, wellbeing, learning capacity and critical thinking in a supportive creative environment.
The Foundation also supported MASKED, a limited-edition portrait series published to raise funds for AT The Bus. MASKED featured 24 leading figures in the arts, education, communications and law, all photographed wearing masks and exploring the theme of communication.
A LA PAR introduces online activities
ALAPAR helps people with learning disabilities by promoting inclusive sport through its inclusive mountain bike school (MBT). While the school had to close in March and April 2020, online activities were introduced to ensure ongoing support and connection with participants. Once the school was able to open, activities continued throughout the year, such as inclusive sessions for athletes with and without learning difficulties and MBT countryside routes on weekends.
ALAPAR also provides housing and support for people with learning difficulties between 18 -65 years old, to enable them to live independently. Covid-19 had a financial impact on this work due to new safety requirements for communal living as well as impacting service users, most of whom were furloughed. Special Covid-19 relief funding, including an additional donation from Columbia Threadneedle Foundation, helped 70 users of the service from March until July.
SEO London
We continued our long-term partnership with SEO London, a charity that prepares talented students from ethnic minority or low socioeconomic backgrounds for career success. The Foundation supports SEO Advance, a programme that identifies, inspires and trains talented students in years 11-13, broadening their horizons through access to academic, professional and enrichment opportunities. SEO Advance hosts events and activities to inspire students, giving them the chance to explore options and make informed choices about their future. Activities include insight days and work experience placements; comprehensive skills sessions to develop commercial awareness and technical skills; bespoke open days at the UK’s top universities and mentoring from experienced SEO alumni and industry professionals. SEO London adapted to the pandemic, moving to virtual delivery of several programmes and an enhanced online offering for students.
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Columbia Threadneedle Foundation
Trustees' Report
KickStart Money
Similarly, our long-term support for KickStart Money continued through 2020. KickStart Money is an innovative investment sector initiative to teach primary school-aged children the principles of money and savings. It also actively strives to establish effective financial education as a compulsory element of the national primary school curriculum. The programme is delivered via MyBank, a UK charity that delivers expert-led financial education programmes for 5-25 year olds within schools and youth organisations.
In September 2020 KickStart Money launched new virtual financial education lessons, KickStart Online, to deliver effective and COVID-secure money management lessons in primary schools across the UK. The financial education sessions are delivered by live video to pupils aged 7-11 and offer a socially distanced alternative to the programme’s physical delivery to teach positive money attitudes when habits are first formed. Expert trainers lead classes through unique and engaging activities by secure video-link with the support of teachers in the classroom and materials sent in advance. The programme consists of an assembly video, teacher resources, a family pack and three 60-minute live video sessions delivered over six weeks in the classroom.
Take One Picture at The National Gallery
Columbia Threadneedle Foundation has partnered with the National Gallery in London since 2018 to support the Gallery’s ‘Take One Picture’ learning programme and exhibition. Take One Picture is the National Gallery’s flagship primary schools’ programme. Each year the Gallery chooses one painting from the collection to inspire primary classrooms countrywide. The challenge is then for schools to use the image imaginatively, both as a stimulus for artwork, and for work in more unexpected curriculum areas. A display of work produced by schools based on the painting is then shown at the National Gallery in a dedicated exhibition.
For 2020, the National Gallery selected Men of the Docks (1912) by George Bellows, which depicts a wintry river landscape in New York, as the source of inspiration. This year’s exhibition includes works from 37 schools from across England, ranging from model ships and towering skyscrapers to family interviews and letters home, exploring topical themes such as immigration, global trade and work. Take One Picture is an excellent example of the power of art to not only educate and inspire, but to provide a vehicle to raise pupils’ self-esteem, celebrate their creativity and build connections with the wider school community. Developing their analytical understanding to interpret the various aspects of an artwork, helps children develop their skills for future life.
Local Communities
Reflecting Columbia Threadneedle’s large employee base in the Swindon area, a group of employees represent the Foundation locally, engaging with the community and supporting charities working in and around the local area. In December 2020, a member of the Swindon team slept outside to raise awareness for charity partner Threshold Housing Link, which provides accommodation for homeless people. Due to restrictions imposed to combat the spread Covid-19 the annual ‘Threshhold BIG SleepOut’ could not the usual way, and Threshold asked all supporters to host an event within their own support bubbles.
In addition to Threshold, charities supported in and around Swindon in 2020 included Openhouse, Reach Inclusive Arts, The Salvation Army (The Sandwich People), Swindon Children’s Scrapstore, Swindon Mentoring and Self Help (SMASH), Youth Adventure Trust and Swindon Music Trust.
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Columbia Threadneedle Foundation
Trustees' Report
Volunteering
In 2020 our volunteering activities were impacted by the COVID-19 pandemic and associated lockdowns, along with the move to remote working. Online volunteering activities were introduced were possible to continue to support our partner charities. Employees also took part in several webinars and other online forums with various charities designed to build understanding and support well-being and mental health among employees and within the community.
Financial review
The statement of finacial activities for the year is set out on pages 16 and 17. The net movement in funds for the year expenditure £(26,292) (2019: income £12,093). As at the balance sheet date (page 18) the value of the total charity funds including the unrestricted incme funds of the Foundation was £12,057 (2019: £38,349). The level of financial activities and the balance sheet position at the end of the year are satisfactory.
Reserves policy
The Trustees aim to maintain a minimum level of unrestricted reserves as the Foundation's focus is to distribute the donations received within the same financial year, provided Threadneedle Asset Management Holdings Limited (the "Member") continues to meet the governance costs.
Going concern
All governance costs of the Foundation are met by the Member.
The Foundation is dependent upon donations in order to have sufficient funds to meet its charitable objectives. Without these donations the Foundation will continue as a going concern provided the Member continues to meet its governance costs.
The Trustees have a reasonable expectation that these arrangements will continue for the foreseeable future, thus they adopt the going concern basis of accounting in preparing the annual financial statements.
Plans for future years
The Foundation plans to continue its current strategy of investing in the community through long-term partnerships with selected UK charities, with a small proportion of total support going to charities based in Europe in select markets where Columbia Threadneedle has a presence. We expect our current charity partnerships to continue through 2021 and beyond.
The Foundation will continue to focus on increasing the number of employees of Columbia Threadneedle Investments participating in volunteering activities, by growing the variety of volunteering programmes on offer.
Strategic report
A strategic report has not been prepared in accordance with the special provisions relating to the small companies' regime.
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Columbia Threadneedle Foundation
Trustees' Report
Structure, governance and management
The Foundation is a charitable company limited by guarantee that was incorporated on 24 December 2013 and was registered as a charity on 24 October 2014 with the Charity Commission, the independent regulator of charities in England and Wales.
The Foundation was established under a Memorandum of Association which established the objectives and powers of the charitable company and is governed under its Articles of Association. In the event of the Foundation being wound up the Member is required to contribute an amount not exceeding £1.
At the year end the Foundation is a subsidiary of Threadneedle Asset Management Holdings Sàrl, a Luxembourg registered parent company formed by Ameriprise Financial, Inc. (“Ameriprise”), the ultimate parent company. Threadneedle Asset Management Holdings Sàrl and all its subsidiaries are referred to herein as “the Group”. Following the year end on 16 July 2021 the parent company of the Foundation became Threadneedle Asset Management UK International Holdings Limited. Columbia Threadneedle Investments is the global brand name under which the Threadneedle group of companies operates.
Trustees
The names of the Trustees of the Foundation are listed on page 2. The Trustees all held office throughout the year unless otherwise shown. They are appointed for a term of three years, which is renewable.
Induction and training of Trustees
The Trustees have a wide range of skills and experience. The Trustees receive training on appointment to their position and receive periodic updates and guidance on their role as Trustees in an ongoing manner.
Organisational structure
Subject to the Articles, the Trustees are responsible for the management of the Foundation’s business, for which purpose they may exercise all the powers of the Foundation.
At the quarterly Trustees’ meetings, the Trustees agree the strategy and areas of activity for the Foundation, including consideration of grant making, investment, reserves and risk management policies and performance. The Trustees have been supported on these issues by drawing on the skills and expertise of specialist consultants, The Giving Department. The day to day administration of the Foundation’s affairs is delegated to one of the Trustees, Alison Jefferis, with support from the Columbia Threadneedle Corporate Communications team.
Risk management
The Trustees have reviewed the major risks to which the Foundation is exposed. Where appropriate systems or procedures have been established to mitigate the risks the Foundation faces. These risks include financial loss, delay or non-delivery of Foundation objectives and reputational risk. Reputational risk is considered to be the most significant and has been mitigated via the due diligence undertaken prior to establishing relationships and at regular points, at least every six months, within the context of the long-term relationships. Operational risks are minimised by the implementation of procedures for authorisation of all transactions and projects. These procedures are periodically reviewed to ensure that they continue to meet the needs of the Foundation.
Statement of Trustees' responsibilities
The Trustees (who are also directors of Columbia Threadneedle Foundation for the purposes of company law) are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
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Columbia Threadneedle Foundation
Trustees' Report
Company law requires the Trustees to prepare financial statements for each financial year. Under that law the Trustees have prepared the financial statements in accordance with United Kingdom Accounting Standards, comprising FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”, and applicable law (United Kingdom Generally Accepted Accounting Practice). Under company 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 the affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period. In preparing these financial statements, the Trustees are required to:
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select suitable accounting policies and apply them consistently;
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observe the methods and principles in the Statement of Recommended Practice: Accounting and Reporting by Charities (2015);
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make judgements and estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards, comprising FRS 102, have been followed, subject to any material departures disclosed and explained in the financial statements; and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
The trustees confirm that they have complied with their duty under the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission in determining the activities undertaken by the Charity.
Disclosure of information to auditors
In accordance with Section 418 of the Companies Act 2006, directors’ reports shall include a statement, in the case of each director in office at the date the directors’ report is approved, that:
• as far as each of them is aware, there is no information relevant to the audit of the Foundation’s financial statements for the year ended 31 December 2020 of which the auditors are unaware; and
• the trustee has taken all steps that he/she ought to have taken in his/her duty as a trustee in order to make him/herself aware of any relevant audit information and to establish that the Foundation’s auditors are aware of that information.
Trustees’ qualifying third party indemnity provisions
As permitted by the Articles of Association, the Trustees have the benefit of an indemnity which is a qualifying third party indemnity provision in favour of one or more of its Trustees or any other officer of the Foundation in accordance with, and subject to the conditions in, Section 189 of the Charities Act 2011. The indemnity was in force throughout the year and is currently in force.
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Columbia Threadneedle Foundation
Independent auditors' Report to the trustees of Columbia Threadneedle Foundation
Report on the audit of the financial statements
Opinion
In our opinion, Columbia Threadneedle Foundation’s financial statements (the “financial statements”):
●give a true and fair view of the state of the charitable company’s affairs as at 31 December 2020 and of its incoming resources and application of resources, including its income and expenditure, 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 Annual Report and Financial Statements (the “Annual Report”), which comprise: the balance sheet as at 31 December 2020; the statement of financial activities and statement of cash flows for the year then ended; and the notes to the financial statements, which include a description of 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 charitable 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 charitable company’s ability to continue as a going concern for a period of at least twelve months from the date on which 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 charitable 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.
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Columbia Threadneedle Foundation
Independent auditors' Report to the trustees of Columbia Threadneedle Foundation
Reporting on other information
The other information comprises all of the information in the Annual Report 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.
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.
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 financial year for which the financial statements are prepared is consistent with the financial statements; and the Trustees’ Report has been prepared in accordance with applicable legal requirements.
In addition, in light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we are required to report if we have identified any material misstatements in the Trustees’ Report. We have nothing to report in this respect.
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 (who are also the directors of the charitable company for the purposes of company law) 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 charitable company’s ability to continue as a going concern, disclosing as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
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Columbia Threadneedle Foundation
Independent auditors' Report to the trustees of Columbia Threadneedle Foundation
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.
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 charitable company/industry, we identified that the principal risks of non-compliance with laws and regulations related to the Companies Act of 2006 and 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 of 2006 and Charities Act 2011. 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 posting of inappropriate journal entries. Audit procedures performed included:
●Discussions with the Trustees and with management (Finance, Internal Audit, Legal, Risk and Compliance), including consideration of their process for identifying and responding to the risk of fraud, and any known or suspected instances of fraud or non-compliance with laws and regulations;
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●Reading key correspondence in relation to compliance with laws and regulations;
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●Reviewing relevant meeting minutes including those of the Trustees;
●Validating the appropriateness of journal entries identified based on our fraud risk criteria; and
- ●Designing audit procedures to incorporate unpredictability around the nature, timing or extent of our testing.
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 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 charity’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.
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Columbia Threadneedle Foundation
Independent auditors' Report to the trustees of Columbia Threadneedle Foundation
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 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.
...................................... Shujaat Khan (Senior Statutory Auditor) for and on behalf of PricewaterhouseCoopers LLP Chartered Accountants and Statutory Auditors London
Date: 28 October 2021
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Columbia Threadneedle Foundation
Statement of Financial Activities for the Year Ended 31 December 2020 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)
| Note Income and Endowments from: Donations and legacies 2 Total income Expenditure on: Charitable activities 5 Governance costs 6 Other expenditure 7 Total expenditure Net (expenditure)/income Transfers between funds Net movement in funds for the year Reconciliation of funds Total funds brought forward 9 Total funds carried forward 9 |
Unrestricted funds £ 290,834 290,834 (296,779) (20,000) (347) (317,126) (26,292) - (26,292) 38,349 12,057 |
Restricted funds £ 500 500 (500) - - (500) - - - - - |
Total 2020 £ 291,334 291,334 (297,279) (20,000) (347) (317,626) (26,292) - (26,292) 38,349 12,057 |
Unrestricted funds £ 289,604 289,604 (271,008) (6,000) (473) (277,481) 12,123 (30) 12,093 26,256 38,349 |
Restricted funds £ 1,513 1,513 (1,513) - (30) (1,543) (30) 30 - - - |
Total 2019 £ 291,117 |
|---|---|---|---|---|---|---|
| 291,117 | ||||||
| (272,521) (6,000) (503) |
||||||
| (279,024) | ||||||
| 12,093 - |
||||||
| 12,093 26,256 |
||||||
| 38,349 |
The notes on pages 21 to 28 form an integral part of these financial statements. Page 17
Columbia Threadneedle Foundation
Statement of Financial Activities for the Year Ended 31 December 2020 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)
There are no material differences between the net movement in funds for the financial year stated above and their historical cost equivalents.
The movements in reserves are set out in note 9. All results are derived from continuing operations.
The Company has no recognised gains or losses in the year other than the net movement in funds for the financial year; therefore, no statement of total recognised gains and losses has been included.
The notes on pages 21 to 28 form an integral part of these financial statements. Page 18
Columbia Threadneedle Foundation Balanee Sheet ai at 31 December 2020 2020 2019 Current al• Lash at bank in hand 38,349 Fund5 of the ¢harity: Unrtslrltted Intome funds Unrcstri¢icd in¥vmc funds 12.1157 38.349 Total ch&rlty fun The financial 5tsLtement8 on page& 17 ts) 28 werc approved by the Tru8t¢¢s, auilwrised for i8$Ue L)n 28 October 2021 and signed on thEir bchaifby: Tntstee The nvtes on pages 21 to 28 form all integrnl part of these fitjancial slatements. Page 19
Columbia Threadneedle Foundation
Statement of Cash Flows for the Year Ended 31 December 2020
| Cash flows from operating activities Net cash (expenditure)/income Net cash (used in)/generated from operating activities Net (decrease)/increase in cash and cash equivalents Cash and cash equivalents at 1 January Cash and cash equivalents at 31 December |
2020 £ (26,292) (26,292) (26,292) 38,349 12,057 |
2019 £ 12,093 |
|---|---|---|
| 12,093 | ||
| 12,093 26,256 |
||
| 38,349 |
The notes on pages 21 to 28 form an integral part of these financial statements. Page 20
Columbia Threadneedle Foundation
Notes to the Financial Statements for the Year Ended 31 December 2020
1 Accounting policies
The principal accounting policies, which have been applied consistently throughout the year are set out below.
Basis of preparation
The financial statements have been prepared on a going concern basis, under the historical cost convention, and 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) (effective 1 January 2015) (“Charities SORP (FRS 102)”), the Financial Reporting Standard applicable in the UK and Republic of Ireland (“FRS 102”) and the Companies Act 2006. The Foundation is a public benefit entity.
Income
All income is included in the statement of financial activities when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably. Unrestricted funds are available to spend on activities that further any of the purposes of the Foundation. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the Foundation’s work or for specific projects being undertaken by the Foundation. The following policies are applied to particular categories of income:
Voluntary income received by way of grant, donations and gifts is included in full in the statement of financial activities when receivable.
Donated services
Donated services and facilities are included at the value to the charity where this can be measured reliably. In accordance with the Charities SORP (FRS 102) the value of services provided by volunteers has not been recognised in these financial statements.
Expenditure and irrecoverable VAT
Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is reported as part of the expenditure to which it relates.
Grants payable are payments made to third parties in the furtherance of the charitable objectives of the Foundation. Single or multi-year grants are accounted for when the recipient has a reasonable expectation that they will receive a grant and the Trustees have agreed to pay the grant without condition, or the recipient has a reasonable expectation that they will receive a grant and any condition attaching to the grant is outside the control of the Foundation.
Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity and include the audit fees and costs linked to strategic management of the charity.
Page 21
Columbia Threadneedle Foundation
Notes to the Financial Statements for the Year Ended 31 December 2020
1 Accounting policies (continued)
Taxation
The charitable company is exempt for corporation tax on its charitable activities. The Foundation has no trading activities which would be subject to corporation tax.
The Foundation is a registered charity, and as such is entitled to certain tax exemptions on income and profits from investments, and surpluses on any trading activities carried on in furtherance of the charity's primary objectives, if these profits and surpluses are applied solely for charitable purposes.
Financial instruments
The Foundation only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
Cash at bank and in hand
Cash at bank and in hand includes cash in hand, deposits at call with banks, other short term highly liquid investment with original maturities of three months or less and bank overdrafts. In the balance sheet, bank overdrafts are shown within borrowings in current liabilities.
Cash at bank earns interest at floating rates based on daily bank deposit rates. The carrying amount of the cash and cash equivalents approximates to their fair value. All cash is held with reputable institutions rated A or better investment grade.
Creditors and provisions
Creditors and provisions are recognised where the charity 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 normally recognised at their settlement amount after allowing for any trade discounts due.
Funds and reserves
General unrestricted funds of £12,057 (2019: £38,349) in both years comprise accumulated surplus and deficits on general funds. They are available for use at the discretion of the Trustees in furtherance of the Foundation’s general charitable objectives.
The Trustees aim to maintain a minimum level of unrestricted reserves as the Foundation's focus is to distribute the donations received within the same financial year, provided Threadneedle Asset Management Holdings Limited (the "Member") continues to meet the governance costs.
Page 22
Columbia Threadneedle Foundation
Notes to the Financial Statements for the Year Ended 31 December 2020
2 Donations and legacies
| Donations; Donations from group undertakings Donations from third parties Donation of services - audit fee |
Unrestricted funds £ 268,481 2,353 20,000 290,834 |
Restricted funds £ - 500 - 500 |
Total 2020 £ 268,481 2,853 20,000 291,334 |
Unrestricted funds £ 273,200 10,404 6,000 289,604 |
Restricted funds £ - 1,513 - 1,513 |
Total 2019 £ 273,200 11,917 6,000 |
|---|---|---|---|---|---|---|
| 291,117 |
Volunteering
In 2020 our volunteering activities were impacted by the COVID-19 pandemic and associated lockdowns, along with the move to remote working. Online volunteering activities were introduced were possible to continue to support our partner charities. Employees also took part in several webinars and other online forums with various charities designed to build understanding and support well-being and mental health among employees and within the community.
3 Employees, Trustees and key management personnel
Employees
The average monthly number of persons (including Trustees), considered to be directly employed by the Foundation on a full-time basis during the year was nil (2019: nil). The costs associated with the administration of the Foundation that are performed by employees of fellow subsidiaries of the Group are not recharged to the Foundation as these are not directly attributable and measurable.
Trustees’ remuneration
Trustees were not paid or received any other benefits from employment with the Foundation in the year (2019: £nil), neither were they reimbursed expenses during the year (2019: £nil). No trustee received payment for professional or other services supplied to the Foundation (2019: £nil).
Key management personnel
There are no (2019: no) key management as there are no (2019: no) staff.
4 Auditors' remuneration
The audit fee for the year under review was £20,000 (2019: £6,000). Fees payable to the auditors for non-audit services during the year under review were £nil (2019: £nil).
Page 23
Columbia Threadneedle Foundation
Notes to the Financial Statements for the Year Ended 31 December 2020
5 Charitable activities
| Unrestricted funds £ Education 95,035 Employee matching 21,471 Inclusion and well-being 104,558 Mental health 26,915 Skill and training 48,800 296,779 Charity Education Kickstart money The National Gallery SEO London Other institutions Total Eduction Employee matching Benevity Total Employee matching Inclusion and well-being Access sport Clean break Alapar Other institutions Total inclusion and well-being Mental health At the bus Other institutions Total health |
Restricted funds £ - - 500 - - 500 |
Total 2020 £ 95,035 21,471 105,058 26,915 48,800 297,279 |
Unrestricted funds £ Restricted funds £ 89,574 - 27,975 - 102,609 1,513 18,450 - 32,400 - 271,008 1,513 2020 2019 £ £ 32,671 20,950 45,815 45,815 13,449 20,000 3,100 2,809 95,035 89,574 21,471 27,975 21,471 27,975 42,000 40,000 33,480 20,000 3,664 10,758 25,914 33,364 105,058 104,122 21,415 15,000 5,500 3,450 26,915 18,450 |
Total 2019 £ 89,574 27,975 104,122 18,450 32,400 |
|---|---|---|---|---|
| 272,521 | ||||
Page 24
Columbia Threadneedle Foundation
Notes to the Financial Statements for the Year Ended 31 December 2020
5 Charitable activities (continued)
Skills and training
| Skills and training | ||
|---|---|---|
| Bounce Back | 30,000 | 32,400 |
| Business in the Community | 18,800 | - |
| Total Employee matching | 48,800 | 32,400 |
Material grants given during the reporting period are broken down by recipient in the above table. All grants described as "Other institutions" are individually immaterial.
No support costs were incurred through making these grants.
| Unrestricted funds Long term partnerships 241,895 One-off project 16,678 Local area grants 13,000 Employee matching 25,206 296,779 |
Restricted funds - - 500 - 500 |
Total 2020 Unrestricted funds 241,895 217,055 16,678 14,805 13,500 11,173 25,206 27,975 297,279 271,008 |
Restricted funds 1,513 - - - 1,513 |
Total 2019 218,568 14,805 11,173 27,975 |
|---|---|---|---|---|
| 272,521 |
£284,775 (2019: 271,008) of the above expenditure was attributable to unrestricted funds and £500 (2019: £1,513) to restricted funds.
6 Governance costs
| 6 Governance costs |
|||
|---|---|---|---|
| Note Audit fees Audit of the financial statements 4 |
Unrestricted funds £ 20,000 20,000 |
Total 2020 £ 20,000 20,000 |
Total 2019 £ 6,000 |
| 6,000 |
The audit fee is paid by the Member (2019: paid by the Member) and therefore as a non-cash item excluded from the statement of cash flows. Governance costs are donated and paid from unrestricted funds for both the current and prior years.
7 Other expenditure
| Other resources expended | Unrestricted funds £ 347 347 |
Total 2020 £ 347 347 |
Total 2019 £ 503 |
|---|---|---|---|
| 503 |
Page 25
Columbia Threadneedle Foundation
Notes to the Financial Statements for the Year Ended 31 December 2020
7 Other expenditure (continued)
Other expenditure is paid from unrestricted funds for both the current and prior years.
8 Limited by guarantee
The Company is limited by guarantee and does not have any share capital. The liability for the Member in the event of winding up is limited to an amount not exceeding £1.
Page 26
Columbia Threadneedle Foundation
Notes to the Financial Statements for the Year Ended 31 December 2020
9 Funds
| 9 Funds |
||||||
|---|---|---|---|---|---|---|
| Unrestricted funds General Restricted funds Total funds Unrestricted funds General Restricted funds Total funds |
Balance at 1 January 2020 £ 38,349 - 38,349 Balance at 1 January 2019 £ 26,256 - 26,256 |
Incoming resources £ 290,834 500 291,334 Incoming resources £ 289,604 1,513 291,117 |
Resources expended £ (296,779) (500) (297,279) Resources expended £ (271,008) (1,513) (272,521) |
Transfers £ - - - Transfers £ (30) 30 - |
Other recognised losses £ (20,347) - (20,347) Other recognised gains/(losses) £ (6,473) (30) (6,503) |
Balance at 31 December 2020 £ 12,057 - |
| 12,057 | ||||||
| Balance at 31 December 2019 £ 38,349 - |
||||||
| 38,349 |
Page 27
Columbia Threadneedle Foundation
Notes to the Financial Statements for the Year Ended 31 December 2020
10 Ultimate parent company
The company's immediate parent is Threadneedle Asset Management Holdings Limited, incorporated in England and Wales.
The ultimate parent is Ameriprise Financial, Inc., incorporated in Delaware, United States of America.
The most senior parent entity producing publicly available financial statements is Ameriprise Financial, Inc. These financial statements are available upon request from the Corporate Secretary, Ameriprise Financial, Inc., 1098 Ameriprise Financial Center, Minneapolis, Minnesota, USA, 55474 or by visiting the Ameriprise website at www.ameriprise.com.
Threadneedle Asset Management Holdings Sàrl, is the parent undertaking of the smallest group of undertakings to consolidate these financial statements. The consolidated financial statements of Threadneedle Asset Management Holdings Sàrl can be obtained from 9, rue de Bitbourg, L-1273, Luxembourg, Grand Duchy of Luxembourg.
11 Related party transactions
During the year under review the Foundation received donations from fellow subsidiaries of the Ameriprise Group:
| Threadneedle Asset Management Holdings Limited | 2020 £ 290,583 290,583 |
2019 £ 273,200 |
|---|---|---|
| 273,200 |
The balance outstanding with related parties as at 31 December 2020 was nil (2019: £nil)
Page 28