DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
Charity number: 1161036
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation) TRUSTEES' REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
CONTENTS
| Page | |
|---|---|
| Reference and administrative details of the Charity, its Trustees and advisers | 1 |
| Trustees' report | 2 - 5 |
| Independent auditor's report on the financial statements | 6 - 9 |
| Statement of financial activities | 10 |
| Balance sheet | 11 |
| Statement of cash flows | 12 |
| Notes to the financial statements | 13 - 21 |
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2021
| Trustees | Neil M Ostrer |
|---|---|
| Alison J Ostrer | |
| MistyL Ostrer | |
| Charity registered number 1161036 Principal office Icknield House Tring Hill Tring Hertfordshire HP23 4LD Independent auditor Grant Thornton UK LLP Chartered Accountants 1 Holly Street Sheffield S1 2GT Bankers Lloyds Bank Private Banking 21-23 Hill Street London W1J 5JW Investment advisors Marathon Asset Management LLP Orion House 5 Upper St. Martin's Lane London WC2H 9EA |
Page 1
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 MARCH 2021
The Trustees present their Annual report together with the financial statements of The Neil and Alison Ostrer Foundation (the "Charity") for the year 1 April 2020 to 31 March 2021. The Trustees confirm that the Annual report and financial statements of the Charity comply with the current statutory requirements, the requirements of the Charity's governing document and the provisions of the Charity SORP FRS 102 issued in October 2019.
Objectives and activities
a. Policies and objectives
The Charity’s objectives are wide ranging, being such general charitable purposes (according to the law of England and Wales) as the Trustees determine from time-to-time. The Charity is principally a charitable grant making organisation with policies to advance charitable purposes generally.
b. Strategies for achieving objectives
The Charity has made two gifts during the year to Hospice of St Francis and St Catherine's.
The Trustees are pleased to report that, having considered the above, the objectives for the current year have been met.
c. Grant making policies
The Trustees will meet to discuss identified charitable purposes and to discuss the quantum and target of all charitable grant awards. The Trustees will discuss the merits of any award given the personal charitable belief of each Trustee and the finite resources available.
d. Main activities undertaken to further the Charity's purposes for the public benefit
The Trustees have focused on furthering the charitable activities of the Charity during the current financial year and have met periodically to discuss causes to support. The Trustees have had due regard to the Charity Commission's guidance on public benefit when grant making commences and on deciding the quantum and target of any grant awards.
Achievements and performance
a. Review of activities
The Trustees are satisfied with all operational matters during the current period and with all grant making decisions. The Trustees view the Charity in a strong position to continue moving forward to deliver its charitable goals.
The charity does not carry out significant fundraising activities as part of its charitable activities
b. Investment policy and performance
The Trustees are focused on fulfilling the Charity’s objectives on a long term going concern basis. Notwithstanding the award of charitable grants, Trustees are focused on both the preservation of financial resources as well as targeting capital appreciation through sensible medium to long term investment opportunities. A practical balance of liquid cash at the bank will be maintained to ensure grant making objectives are not affected by short term investment fluctuations.
Page 2
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
Financial review
a. Going concern
After making appropriate enquiries, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.
b. Financial risk management objectives and policies
The Trustees are focused on both the preservation of financial resources as well as targeting capital appreciation through sensible medium to long term investment opportunities. Investments are managed professionally.
c. Principal risks and uncertainties
Key risks for the Charity involve a significant decline in investment returns thereby limiting resources with which grants would be awarded, together with structural risks of a decline in identifiable charitable purposes.
d. Reserves policy
The Charity maintains a significant balance of assets invested in a broad based and diversified equity fund which has an absolute return mandate in addition to which a cash balance is maintained in the Charity bank account. The spending to assets ratio will always remain at a low level on an annual basis, and, in the event of a decline in the assets after spending over any one year period, then the Trustees would look to replenish the assets before undertaking further spending.
The total free reserves held in unrestricted funds at 31 March 2021 were £10,249,016 (2020: £4,188,726).
Structure, governance and management
a. Constitution
The Neil and Alison Ostrer Foundation is a registered charity, number 1161036, and is constituted under a CIO Foundation registered 24 March 2015.
b. Methods of appointment or election of Trustees
The management of the charity is the responsibility of the Trustees who are elected and co-opted under the terms of the CIO Foundation. There must be at least three Charity Trustees. There is no maximum number of Trustees. Every Trustee must be appointed by a resolution passed at a properly convened meeting of Charity Trustees.
c. Policies adopted for the induction and training of Trustees
In furthering the charitable objectives of the Charity, the Trustees are satisfied with their ability to identify and discuss the merits and quantum of any charitable grant. On appointment the Trustees are given a copy of the Charity's governing constitution together with a copy of the latest Trustees' Report and statement of accounts.
Page 3
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
Structure, governance and management (continued)
d. Pay policy for senior staff
The Charity does not employ staff and the Trustees have waived any entitlement to remuneration for their services.
e. Organisational structure and decision making
The Trustees meet as necessary from time-to-time to discuss furthering the Charity’s objectives on deciding the quantum and target of any charitable grants.
f. Related party relationships
Any connection between a Trustee or senior management of the Charity must be disclosed to the full Board of Trustees in the same way as any contractual relationship with a related party. See note 15 for such transactions in the period. All transactions with related parties are at arms length.
Statement of Trustees' responsibilities
The Trustees are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and regulations.
The Charities Act 2011 requires the trustees to prepare financial statements for each financial year. The trustees have to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law), including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland. The trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing these financial statements, the trustees are required to:
-
select suitable accounting policies and then apply them consistently;
-
observe the methods and principles of the Charities SORP (FRS 102);
-
make judgments and accounting estimates that are reasonable and prudent;
-
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in operation.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the CIO Foundation. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Page 4
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2021
Disclosure of information to auditor
Each of the persons who are Trustees at the time when this Trustees' report is approved has confirmed that:
-
so far as that Trustee is aware, there is no relevant audit information of which the charity's auditor is unaware, and
-
that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish that the charity's auditor is aware of that information.
Auditor
The auditor, Grant Thornton UK LLP, was appointed as auditor in the year and has indicated their willingness to continue in office. The Trustees will propose a motion reappointing the auditor at a meeting of the Trustees.
Approved by order of the members of the board of Trustees and signed on their behalf by:
Neil M Ostrer
(Trustee) Date: 9/5/2022
Page 5
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE NEIL AND ALISON OSTRER FOUNDATION
Opinion
We have audited the financial statements of The Neil and Alison Ostrer Foundation (the 'charity') for the year ended 31 March 2021 which comprise the Statement of Financial Activities, the Balance sheet, the Statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
-
give a true and fair view of the state of the charity's affairs as at 31 March 2021 and of its incoming resources and application of resources for the year then ended;
-
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-
have been prepared in accordance with the requirements of the Charities Act 2011.
Basis for opinion
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act. We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the ‘Auditor’s responsibilities for the audit of the financial statements’ section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
We are responsible for concluding on the appropriateness of the trustees’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charity’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify the auditor’s opinion. Our conclusions are based on the audit evidence obtained up to the date of our report. However, future events or conditions may cause the charity to cease to continue as a going concern.
In our evaluation of the trustees’ conclusions, we considered the inherent risks associated with the charity’s business model including effects arising from macro-economic uncertainties such as Brexit and Covid-19, we assessed and challenged the reasonableness of estimates made by the trustees and the related disclosures and analysed how those risks might affect the charity’s financial resources or ability to continue operations over the going concern period.
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 charity’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.
Page 6
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE NEIL AND ALISON OSTRER FOUNDATION (CONTINUED)
The responsibilities of the trustees with respect to going concern are described in the ‘Responsibilities of trustees for the financial statements’ section of this report.
Other information
The trustees are responsible for the other information. The other information comprises the information included in the Trustees’ Annual Report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements 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 in this regard.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters where the Charities Act 2011 requires us to report to you if, in our opinion:
-
the information given in the Trustees' report is inconsistent in any material respect with the financial statements; or
-
sufficient accounting records have not been kept; or
-
the financial statements are not in agreement with the accounting records and returns; or
-
we have not received all the information and explanations we require for our audit.
Responsibilities of trustees for the financial statements
As explained more fully in the Trustees' Responsibilities Statement set out on page 4, the trustees are responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the Trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
Page 7
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE NEIL AND ALISON OSTRER FOUNDATION (CONTINUED)
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud
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. Owing to the inherent limitations of an audit, there is an unavoidable risk that material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK).
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
-
The Charity is subject to many laws and regulations where the consequences of non-compliance could have a material effect on amounts or disclosures in the financial statements. We identified the following laws and regulations as the most likely to have a material effect if non-compliance were to occur; Charities SORP (FRS 102), FRS 102 and Charities Act 2011.
-
We communicated relevant laws and regulations and potential fraud risks to all engagement team members, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.
-
We understood how the Charity is complying with those legal and regulatory frameworks by making enquiries of management. We corroborated our enquiries through our review of board minutes and legal expenses. We assessed the susceptibility of the Charity’s financial statements to material misstatement, including how fraud might occur by discussions with management to understand where management considered there is a susceptibility to fraud. Audit procedures performed by the engagement team included:
-
evaluation of the controls established to address the risks related to irregularities and fraud;
-
testing manual journal entries, in particular journal entries determined to be large or relating to unusual transactions based on our understanding of the business;
-
identifying and testing related party transactions;
-
completion of audit procedures to conclude on the compliance of disclosures in the annual report and accounts with applicable financial reporting requirements.
Page 8
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE NEIL AND ALISON OSTRER FOUNDATION (CONTINUED)
-
Assessment of the appropriateness of the collective competence and capabilities of the engagement team included consideration of the engagement team's:
-
understanding of, and practical experience with audit engagements of a similar nature and complexity through appropriate training and participation
-
knowledge of the industry in which the client operates
-
understanding of the legal and regulatory requirements specific to the entity
These audit procedures were designed to provide reasonable assurance that the financial statements were free from fraud or error. The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error and detecting irregularities that result from fraud is inherently more difficult than detecting those that result from error, as fraud may involve collusion, deliberate concealment, forgery or intentional misrepresentations. Also, the further removed non-compliance with laws and regulations is from events and transactions reflected in the financial statements, the less likely we would become aware of it.
Use of our report
This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008 and Section 154 of the Charities Act 2011. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its trustees, as a body, for our audit work, for this report, or for the opinions we have formed.
Grant Thornton UK LLP
Chartered Accountants 1 Holly Street Sheffield S1 2GT
Date: 9/5/2022
Grant Thornton UK LLP are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.
Page 9
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
STATEMENT OF FINANCIAL ACTIVITIES
FOR THE YEAR ENDED 31 MARCH 2021
| Note Income from: Donations and legacies 2 Investments 3 Total income Expenditure on: Charitable activities 4 Total expenditure Net gains/(losses) on investments 6 Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward |
Unrestricted funds 2021 £ 5,009,084 87,031 5,096,115 357,033 357,033 1,321,208 6,060,290 4,188,726 6,060,290 10,249,016 |
Total funds 2021 £ 5,009,084 87,031 5,096,115 357,033 357,033 1,321,208 6,060,290 4,188,726 6,060,290 10,249,016 |
Total funds 2020 £ 9,012 140,146 149,158 69,084 69,084 (674,836) (594,762) 4,783,488 (594,762) 4,188,726 |
|---|---|---|---|
The Statement of Financial Activities includes all gains and losses recognised in the year.
Page 10
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
BALANCE SHEET
AS AT 31 MARCH 2021
----- Start of picture text -----
2021 2020
Note £ £
Fixed assets
Investments 7 5,088,626 3,767,418
5,088,626 3,767,418
Current assets
Cash at bank and in hand 5,179,090 430,392
5,179,090 430,392
Creditors: amounts falling due within one year 8 (18,700) (9,084)
Net current assets 5,160,390 421,308
Total net assets 10,249,016 4,188,726
Charity funds
Unrestricted funds 9 10,249,016 4,188,726
Total funds 10,249,016 4,188,726
----- End of picture text -----
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
Neil M Ostrer (Trustee) Date: 9/5/2022
The notes on pages 13 to 21 form part of these financial statements.
Page 11
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2021
| Note Cash flows from operating activities Net cash used in operating activities 11 Cash flows from investing activities Dividends, interests and rents from investments Net cash provided by investing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year 12 |
2021 £ 4,661,667 87,031 87,031 4,748,698 430,392 5,179,090 |
2020 £ (60,000) 140,146 140,146 80,146 350,246 430,392 |
|---|---|---|
The notes on pages 13 to 21 form part of these financial statements
Page 12
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
1. Accounting policies
1.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.
The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
The Neil and Alison Ostrer Foundation meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
The financial statements have been prepared in £ sterling which is the functional currency of the Charity rounded to the nearest £1.
1.2 Going concern
The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The expected income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.
1.3 Income
All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.
1.4 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.
Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.
Page 13
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
1. Accounting policies (continued)
1.5 Investments
Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(losses) on investments’ in the Statement of financial activities.
1.6 Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the Bank.
1.7 Cash at bank and in hand
Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
1.8 Liabilities and provisions
Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation.
1.9 Financial instruments
The Charity 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 with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
1.10 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
Page 14
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
1. Accounting policies (continued)
- 1.11 Critical accounting estimates and areas of judgement
Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Critical accounting estimates and assumptions:
The Charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. There are no estimates and assumptions that have a significant risk of causing material adjustment to the carrying amounts of assets and liabilities within the next financial year.
2. Income from donations and legacies
| Unrestricted | Total | Total | |
|---|---|---|---|
| funds | funds | funds | |
| 2021 | 2021 | 2020 | |
| £ | £ | £ | |
| Donations | 5,009,084 | 5,009,084 | 9,012 |
3. Investment income
| Dividends Bank interest |
Unrestricted funds 2021 £ 86,098 933 87,031 |
Total funds 2021 £ 86,098 933 87,031 |
Total funds 2020 £ 138,148 1,998 |
|---|---|---|---|
| 140,146 |
Page 15
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
4. Charitable activities
| Support costs Accountancy fees Governance fees Donations (see below) |
Unrestricted funds 2021 £ 2,560 16,140 338,333 357,033 |
Total funds 2021 £ 2,560 16,140 338,333 357,033 |
Total funds 2020 £ 2,484 6,600 60,000 |
|---|---|---|---|
| 69,084 |
All of the above costs within support costs have been allocated directly to the expense heading.
During the year, the following donations were made:
| Tommy's Hospice St. Francis St. Catherine's Total 5. Net income/(expenditure) This is stated after charging: Independent examiner's fees Fees payable to the Charity's auditor in respect of: Audit of the accounts |
2021 £ - 5,000 333,333 338,333 2021 £ - 16,140 |
2020 £ 60,000 - - |
|---|---|---|
| 60,000 | ||
| 2020 £ 6,600 |
||
| - |
Page 16
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
| 6. Net gains/ (losses) on investments Unrealised gains/(losses) 7. Fixed asset investments Cost or valuation At 1 April 2020 Revaluations At 31 March 2021 Net book value At 31 March 2021 At 31 March 2020 |
2021 £ 1,321,208 |
2020 £ (674,836) Unlisted securities £ 3,767,418 1,321,208 5,088,626 5,088,626 3,767,418 |
|---|---|---|
Page 17
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
7. Fixed asset investments (continued)
Investments at market value comprise:
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Unlisted investments | 5,088,626 | 3,767,418 |
The fixed asset investments all relate to Class E £ sterling shares in the Marathon European Hedge Fund Limited held overseas.
Valuation
The fair value of unlisted investments is determined by reference to the hedge fund unit/share value at the reporting date.
8. Creditors: Amounts falling due within one year
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Accruals and deferred income | 18,700 | 9,084 |
Page 18
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
9. Statement of funds
Statement of funds - current year
| Unrestricted funds General Funds Statement of funds - prior year Unrestricted funds General Funds |
Balance at 1 April 2020 £ 4,188,726 Balance at 1 April 2019 £ 4,783,488 |
Income £ 5,096,115 Income £ 149,158 |
Expenditure £ (357,033) Expenditure £ (69,084) |
Gains/ (Losses) £ 1,321,208 Gains/ (Losses) £ (674,836) |
Balance at 31 March 2021 £ 10,249,016 |
|---|---|---|---|---|---|
| Balance at 31 March 2020 £ 4,188,726 |
10. Analysis of net assets between funds
Analysis of net assets between funds - current year
| Fixed asset investments Current assets Creditors due within one year Total |
Unrestricted funds 2021 £ 5,088,626 5,179,090 (18,700) 10,249,016 |
Total funds 2021 £ 5,088,626 5,179,090 (18,700) |
|---|---|---|
| 10,249,016 |
Page 19
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
10. Analysis of net assets between funds (continued)
Analysis of net assets between funds - prior year
| Fixed asset investments Current assets Creditors due within one year Total |
Unrestricted funds 2020 £ 3,767,418 430,392 (9,084) 4,188,726 |
Total funds 2020 £ 3,767,418 430,392 (9,084) 4,188,726 |
|---|---|---|
11. Reconciliation of net movement in funds to net cash flow from operating activities
| Net income/expenditure for the year (as per Statement of Financial Activities) Adjustments for: Dividends, interests and rents from investments Increase in creditors Revaluations on fixed asset investments Net cash provided by/(used in) operating activities Analysis of cash and cash equivalents Cash in hand Total cash and cash equivalents |
2021 £ 6,060,290 (87,031) 9,616 (1,321,208) 4,661,667 2021 £ 5,179,090 5,179,090 |
2020 £ (594,762) (140,146) 72 674,836 (60,000) 2020 £ 430,392 430,392 |
|---|---|---|
12. Analysis of cash and cash equivalents
Page 20
DocuSign Envelope ID: 022E31DE-A66D-4CA8-AD57-DFFDDBE0D3D0
THE NEIL AND ALISON OSTRER FOUNDATION
(a charitable incorporated organisation)
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
13. Analysis of changes in net debt
| Cash at bank and in hand | At 1 April 2020 £ 430,392 430,392 |
Cash flows £ 4,748,698 4,748,698 |
At 31 March 2021 £ 5,179,090 |
|---|---|---|---|
| 5,179,090 |
14. Related party transactions
Neil Ostrer is a share holder of Marathon Asset Management LLP, who manage the investment portfolio, and a director of its connected companies.
During the year, no Trustees received remuneration, benefits in kind or any reimbursement of expenses.
Key management personnel did not receive any benefits during the year.
During the year the Charity received a donation (by the way of the Trustees paying for professional costs personally) of £9,084 (2020: £9,012).
In addition, the Trustees made a donation to the charity of £5,000,000 (2020: nil) on 31st March 2021.
15. Taxation
The charity is considered to pass the tests set out in Sch. 6, para. 1 of the Finance Act 2010 and therefore it meets the definition of a charity for UK income tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Income Tax Act 2007, Part 10 s521 – s537 or s. 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
Page 21