The Penchant Foundation (Charity Commission No 1188402) Trustees, Annual Report and Financial Statements for the year ended 30 June 2024
Th• P•nchant Foundatlon Trul•M' Attnual R•port lorth•Yr •nd•d 30Jun• 2024 Th• TnAtt•a prtsent th•'r •nnu81 reFQrt and fin8nd#l ststements ol Ihe charity fofthe y•afendéd 30 June 2024. Tho ffftanual statwnents ha been prepar•d in acan¢0 wth the vxounttry rdicie• set otst In note 1 tothe xcrxmts arKj¢¢YnY Chanty'8 Ih8Charibes Act201 l and Awunting and RwrbvJ ty Charities. statnI of Recornm•rK¢ Pradts •rplicatAtr to chaiTlW pr8parirJ ththr •ccounts in •coyd¥ne wilh tho Finano•l ReporbTrg Standard ap•ca• in the UK and R•WbI0r IreTra N•rn• olCh•rfty: Th• Penchant FourKlation Chanty No 1168402 Sircharles Chthryd¢.H8a Bt Catherine Oawe8 Lly Angela Mary Chaea Faith Mil Edward ATreT ChathwyL.Hea PrlndW Offlc• Adth•u: 5M8dinglèy Ro#d Carnwe CB30EE N8tW8st Bank 21 Petty Cvry C8mbri¢J9e CB2 3NE 18 Hanover Square London W1S IJY Reza Motszadi and Co LLP 7 Bell Yard Lcffidon Iht2A 2JR Indeptht Exantr. Reza Motszedi FCA 7 Bell Yarrl L(dOn Iht2A 2JR &"r Charles Chathch.Hea Mary Cha-&$2Y Do¢wrt Tho PripaI 90¥8miry docUnI$the ofthe CIOdatod 6 M¥¢h 21r20 PL)wer of appoInent of aSJitsonal bitstees Iha exssbryJ Trustees who afo the orin tnote88 No •ddrtsonal InJ5tees have been fecwrted nc• the InCeptn of the chwrty aThJ It Is nc4 con5thred that any a&Jibono1 trwte88 are required at KKg3ent. TnJsteg5 aro porTnrtt 10 akwnt incom• or caprt81 to benefioaries in ts courso of meebTY4 th0 purpo Pty•l
Th• P•nch•nt Foundatlon Trustèes. Annual Roport lortly••r•1Od 30Jun• 2024 The Foundallon seeks to produc¢ Ihe best Ilnandal retum vfithin aft accÈptstrAe ol risk. The Inveslment obiethtr l& lo gentrale a rebjm of Inffalwytr ul 4% per annum over the long ttr. after expenses. This should the Foundalton lo at least maintain the real value of the assels, whtlst funding annual &XFenditure kn Ihe re9 of 4% of the average vue of Ihe 8ssets over Ih ior thret yearn. The Fc¥JndalKJn adopts a lotsl rttum approach to Inveslment. genefing the invesbnenl relym troffl and c8Prtal gain5 Ot losses. It is expecled that rf in any ¢)ne year the tolal turn is insuffiryenl lo meet Ihe buflgeled grant- maknng expendilure. in the Img tenn the al value of the Foundation wll sbll be maintained in accordarTh wththt investnnt objective 8b(Ne. ObJectt¥M of th• Ch•ilty: The charttatsle objectryes of the Chanty are to advan such charitab purposes laoX1n9 iothe lthv ofEnLdand and WaSeslasthe Charity trustee5 from lo time see fit. The Chaity rrteThYs lo wy outits FwKJse ty makw grants. Thecharity is govemed tythe¢harity Trustees ofthe Charity fthe Trusteès? who have a duty. acling at in the best interests of Ihe Charty, to appty the Chanty$ 8s$ets to thance the objects and have un]"maie responsibdity for au grant-maknng de(isions. The numberofwoject5 and actrVitS whx can be 5UPPOrted is liwrited tythe a¥Munl ol fvnds available for distrilwlion. The priclIeS lor ftjndtng over the next y8Br will bè the making of grant5 to oDJanisat)ns that submrtan pKa"0n to the Chavty (such appthcalw)ns nwy be ty irNrtatx)nl. TheTrustees confTh thalthey have referred tolhe giMdan¢e cA)nlwned inthe Charity Corrrrissions geneTal guK1ance on public benefftwhen revie¥) the Chanty's alms and objectives and setts'ry the 9ranbmakiNJ pdKy for the year. AttIti to thk: The Foundatth rel(es on the investment relum lo frjnd grant-maki. However, grants are generaW one.off awards and Ihe number and value of these may vary depending on arCUtrn. The key risk to the long-l•rm sustainabdity ofthe Foundation is H)fiatson, and the assets should be invested to mrtvJale this risk over the k)ng lem Thtr Trustees understsnd that this is 'kety to nan thal investsnent w1 be c4)rKentrated in real ass&ts aFNJ thatthe capitsl v31ue wll ffluctuate. The Tnjslees 8ro able to Idefale volaidty ol Ihe wal vae of I Foundabon, as loThJ as the FOd 15 atye to rreet its short-temi gwt makin9 comnylments through erther0)me or uKCaPrtaI asset5. P•9• 2
Th• P•n¢hant Foundtlon TwAtee8' Annual Report forth• yrned 30Jun• 2024 The Foundation's assets can be inve&t•J delY and JhwkF b• dtversrf&J by asset da. by manager and ty $8cu¥ity. Asset classes ¢oukl incJud8 ¢a$h, bonds. wu11$. property, h8dgo funds, Structured prrmlucts. prNatg eqLffty, cnmots, property atNJ •ny olher as1 Ihol is d8ern•d $4JrtaÈ40 lor the Foundabon. Th•bacrrencY of tho im8tmerrt pff10 i• St8rfhyJ. InStment may be made in nofystefling a3t8 but S)k[ not exceed 50% olthe total inv851m8nt portfolKJ valu8. HedgiThJ is Fermitted. Th• Foundaiion 8 ¢8ih balance5 should bè depoJited InstrtLrtions wrth MInuM fobryj ofA-or inv1¢ in a dNersffied rnoney Maet htsThd. Bond exposure 8hovKI be prknninantty fopJ50d on in¥estrnent grad8 tssuers. Uquldlty R¢qulr¢m•nlx: The Foundatson airns to distnbute grants of between £JSOk and £2(th pgr annum Th¢5 can be funded frc¢Th both income and carrtal. The Tfvstee$ Msh to keep at ast 70% of Ihe 88sets in inv•5tm•nts thatcan Èe r8alised within thw month5. To allcwforvdalilty of c8pilal values. the Trusl8e$ wish to maintsin at al 3 yeard. Worth ol bu¢Ygeted grant-rnaki¥J in cash or lower risk liqu inve$trnenls. A Thinimum of 2% of the total assets should be kept in cash or near <ash investrnents 8t all b"me$ The FouTrdation is to oxist In perpertY and investments shouhj managed to meetthe tnvestment objective and ensure thi8 5UslaiDab14ty The Foun¢Jabon can adopi a long term investment time horizcn. Mngem•n( R•pordng The In¥e8tmenl Manageri5 requifed to pr[xju a valvèb.on an¢J perfofman¢ and Monltorfng: report quarterfy. The Foundation has n<minated a li8t of atrthoftsed svJnatories, hvo of whi¢h are wuised to sign ins1nOn$ tc Investment Manager. Th¢ Trustees hav8 r8spon5ibilty for ¥g¥e¢ing Strategy arKI monitoring thè inb$bnefit a&sets. The Tyust8es meet at aSt annually to VieW the portldio. induding an a•1y$l$ ol relurn. n$k and asset allocabon. Pertomiaw TrMII be monitod a9ainst agreed rnarket benchrnarks, and again51 the inveslment obJethb of inftatson plLB 4% over the lortrg te Re¥l•wolAcU¥lIl. Grants totaling £176,158 We fftade in 2024 12023.. £197.6CQI. breakdown of the grant8 is shcpn in note 9 of th8 attounts. The Tru$toe5 rnrritor thwr knvel ol grant-MakI and a ppared to ublk%e cwal fcrf th purFY)se where needed Fln•n¢l•l R•vlr: Total irKome was £80.74912023.. £59,415) with expenditure amountiroto £213,83212023". £232.7001. Netassets at Ihe endofthoyear werg £5.464.275 12023 £5,109.4451 Page 3
Th• P•n¢h•rt Foyndatlon Th•pc4ky ofth• Toj• l•kn mI0drI1trArte •1 It Arf80• to Th• Truststri I.1¢mi and kywemi obiectNes •r• to con0nl to m•k Th• TnAleo•' plan¥ •r• f•l••w ldI l(rrfn the fvnd and Chy 118 tj c•ny wt ty MThJ gMI TN• IrN•strrwrt PCAV prep ty lh• Truit of P%ce) Thè W •F•bl• lo chwthi In Engnd & wa tha TnJst¢¢s 10 pT•p•r• itst•monis 1oreachflna8I Yearh gN• a ndr of ¥tat• ol aftrn ofth¢ charlty •nd of the r•aource• aTrJ bl oba•Ne the methoJ¥ and wnaplei th th• Ch•rR SORP 2019 (FRS1021, In•FVOFrfWts ttsk¥esumo trotthe Inoper4Ow. CharlO•s ISORP 20191 UK AtIn9 Sland8th. the Charfles Ad 2011 and fv C$ Tlw ore a40 rgifftblo fry sAfeguafdin9 the •$80ts 01th0 th•rtty aThJ henc• fortsn9 stepslorth• prnv•n Th• lkn)nd•l stsloments h•¥e weparnd kn JwdarK• thlth w•parfty ththr fln•nclal slaiemenls In whthth• R•wtyng swdanj •ppi8ble In th• UK oTra Rewtth of Iwlwd IFRS 1021 •uoO In Oclob¥2019. - /7c*A7 2•2S P•9•4
Indendnt èx•mlner'• report to th• Tnmtees of th• Ponchant Foundatlon I re tothe Trustees M my examinatk)n ofthe aco)unts ofthe charty fofthe year erth 30 Ju 2024. are set tyjt on pw 1 to 14. R•wMlblllll•• •nd b••l• of r•port As the Charty'$ Trustees you are reS311e for the yepara1n of the acctydarte the reqwern the Chanbe$ Act 2011 llhe Act? I rep kn rnspect of rrry exarrmtww ofthe Charty's %£cwts carr out urKler 145 ofthe Act d m c¥ryty crtrt my eXaminalK I have follord all the applubfje Dire¢bcffi$ given by the Chanty C<¥7M secM)n 145(511b} ol the A¢L I have cs)mpW my examMiatb)n l o)nfim that M malerial mattefs have come lo my attenl>)n in cle(kn the eXaMinatn gr¥ing me cause to bekve that in any malenal resped." cixintiw records not kept in fe5pect of the ¢harty as requ¥ed by sectiw 130 of the A¢L the aCC(ts th) ¢tynpty the appltsbk reqwrerwrts concern¥w the form and ¢c#)t¢nt of accftts set out in the Charrts IA¢¢oun15 and Reports) ReguLat3 2008 other Ihan arky requrement the accounts gNe a and fair view wtiich is a matter consthr¢d as part ol an mdepe11 examinabon. attentw stmythj be Ihts rekNxt in orderto enaba pr0perunderstsfidg olthe ac¢ounls lo te reached. JA ((( 7 Bel V4C2A 2JR L) Pw6
The Penchant Foundatlon Statement of Financlal Activlties F(Y th• y••r •nd•d 30 Jum 2024 2024 Expndabl• UnrMtrfd¢d In¢omg Fund• 2023 Totsl Totsl Fund• 80.749 80.749 59,415 Totsl Incom• 80,749 80.749 59.415 Expendiiure on: 28.1( 28.fc 185.724 28.V25 203.T75 185,724 Totsl expenditur• 28,108 185.724 213,832 232.7(X) Net iTrCom&llexpendir•I before net gain$0$¥0%} on IeSnentS Net gan(k¢S) M irNestrnent (2B.108) {104.9751 It33.) 1173285) 487,913 487.913 379.99) 1104,975) 354.8x1 X,675 (104,9751 104.975 354.830 206.675 R•cOlIa*100 ollun¢h T¢rtat ILnJs tK¢xJW Ic¥i¥ard 5.1C8.445 5.109.445 4,2.rn 5.464275 5.464275 5.1Ce.445 Page 6
Th• P•nchnt Foundltlon Bllance sh••t A• It JO 2024 2024 2023 Tolal Total $287 5287,8H 4,752.647 105,8n ),7S3 105,6ni 81.495 97,953 281.303 198.431 203.031 3f2.798 UablUO•• Crndknrn: l•Sllng ¥Jfjthln on• y••r 198.431 190,431 6,484275 5.484275 5.109.445 S,404275 S,484,275 5,1(,445 10 5,404275 5,48427S S.1,449 -4r4442<JAI_- P•9• 7
The PenchantFoundatlon Statement of Cash Flows for the ytaf •nded 30 Jun• 2024 Totsl Fund• 2024 Totsl Funds 2023 Not• 14•t c••h u••d in op•rntlng •ctlvltl•• Cash fi1$ invesling 8(wties.' tvidwKls aThJ interest from invtstmonts Preceeds frtyn sale of Invèstments 1212,032) 1247.820) 80.749 59,47S 757,595 1,592.942 1784.879) 11,378.348) N•t ¢••h provld•d by Inve•tlng •ctlvltl 1159,167} 26,189 Ch¥ng• In cash and ush qulval¢nts in the reportlng worl Cash and cash eqUents brought loard {159.16n 362,798 26.189 336.809 ¢h and cah •quival•nts erri•d forwArd 203,631 362,798 105,678 97.953 81,495 Charity's bwk acoJw¢t 281.303 203.631 362.798 PJ9e 8
Th• P•nchant Foundatl¢)n Not•• to th• c¢ount8 forth• y•r•nd•d 3• Jun• 2024 UK Rowkollrdarrf fFRS 10ri. 8nLI Reportirbg by ChaFth8. Slatenrt ol Reclynrftded in the UK thè Repu of IrtlaTrJ issuwj Octrer 2019.. Ihe Chants 20118nd UK FxaKe. Tr arty omstutes 8 Publ tenefit enbty as defineo by FRS 102. The st•t•rnnts h•wa teen prepa to ve a'tfue and fai¢ and have thereffft nectsswfy depart tm the t1 Chbnitt IArx3yJnts Reports) RebIat5 2Cth to ¢he extent requwd to prov#Je a Ir larf vpw (Wrture h81 invofved fotl¢hwfig the Stalerrent of Re¢(mmeTrJed Pra¢tsx'. Acuwntsng aTr ReFj by charrt to thants pparirj the fmancial stslements in prepartThJ Iheff accounts •(X0rts the Fwwioal Reportrry stalard applicable in the LSK arKI Rewbhc of IrelaThJ IFRS 1021 QSL (ter 2019. rnther than the Ststnt of Re0>Therd Pradpz." AcryJunbrwJ and Rertiry ty Chanes Thts pwared in 8terfiThJ, th8 frJrKon81 ¢urTency. arrtwts in Owe f¥kifKaal •Jequate soUt(S to Lymbnue In operath)nal existenr for Ihe loreseeable fLre. Thus, Tnk5tees 0)ntin to Irpt the gory basts ofntsry in prepariTrJ the fn(A ststements. The errtknTrrt frjxts reprawtthe otyinal captal9rftto Ihe chatrty. uS 5ub5equerrt arkJitM)nsto uye tr fiJ[thefar oftt general obJec¥es olthe thanty attheir(hsueI. and tlwtranthifvjnds frcffn tr to the TeStrKled 1$ a$ required Any grts made lo Ihe tthanty as addtts)rts to the rtsthe balarKe sheet date are induded In Ihe StsterrEnl of Finanaal Athit& GrafttsvknKh teen rLmr4J of the¢hanty #S OPFosed totho$8c05ts assocsated vthh fuThY¥asing orcharitsiAe actNIty. Tlk) costs nr#inty indvd? Intem and exlemal audit, kgal advice for Trustees and c051s 8ssoc18ted wth corr6trtL¢8l and $tatLrttyy reqwrernents &.g the cost of trustse meetsngs and prepanThJ staiut¢xy a¢nts. Induded this category we any costs assouatad with the strate9Kas oppose<l todaytsy manwjement I)•5tr tsWwderWIated Iwin [ncle5 aretsan8tsd witosledw althe rntesofex¢h¥ Ot tr* bfil theet date Transactbons loreMJn curTenues are rn¢¢d ai the rnte Tulw ai the date of P•q•9
Th• P•n¢hant Fovnd•tlon Not•• toth• •¢¢ounts forth• y••r•nd•d 30 Jun• a)24 l. poll¢kn{eonOnwll EyKr%Jrtur• li Cfjfjl therv li a Its981 Of cstru&e to make * pa3n1 to a th.rd party. rt - tharrtab •ctMbe• wKavJe8 olexh• •Tr1 oiheredLt•bMal a(aryth$ LKthrtaken to fvth•r the purrx)seJ Oft charty . Cxher repreaents those not f8iir8 into any otherh•8dry. TTrde •nd cthr debt(n are rKoyz•A at Seldorn1 Wht aft¢r •ny dw)¢Jnt offered. Pfepaym•nts •t thè takmg any offered. Cash ush •Aurwal•rtts c48h and jhort tenn hwJhly Investrnents ¥s1th a she4t maiunty ofth yths r frcffi the d•t• c4 or£ir9 oftho d¢pot Of 8mlar ac th•t resurt m th• ts3naf¢r oi to a third party and the 8mount du• to settle bKI oblvjatron can bg c515 v#JwoYAw •re r•o>Jnv£wl ottr"rtl8rnenl amount afi•i hyany docthnts garn k) are lak•n to the Ststwnent of Financial Arambes 8$ tw aw. Re8h aThJ $le ¢xi ?ner are cak#Jknl as tP drflererKa 98s woc•eds and their opening carrying or dwe d x4uired sthequent to the firnl day offinancaal year UnrealLryOd gal and k)sse>are c•tJAated a• the drtltrrer tsir¥akneatthe yearend a1 IhtrircarryiThJ value Realtsed Lmrea4yed WNesb))ent •rJ L)Jnbrnd the Slal•nenl ol Fmwrwl Acts¥ils. 2024 4,752.647 4,587,281 784,879 1,378.318 1757.5951 11,592,942) 487.913 379.S $267,844 4,752.847 4,e26,W 4.393.388 2023 .749 59,415 P•J• 10
The P•nchant Foundatlon Not•8 toth• •ecounts lorth• y•r•nded JO JuTr• 2024 CoBt ofTrhln9 fvndl 2023 28.1 28,925 2023 185,724 203,775 Th• of ¢h•rfibl• *ellvlU•4 1• •• folltrAT.' 2024 2023 •nts- rvJle 9 176,158 197.eo) Gov•rn•nc• eoits 2024 2023 F•• k)30 4J•iw 175 £9,M6 6,175
, Tn•eJ *re rem116¢11 lrnvel •)d Tr1¢98 meelng •y$4n¥es. TnAt••¥' renNIMrabon P•0• 11
Th• P•n¢hant Foundatlon Not•$ to lh• accounts forth• Yr•nO 30Jun• 2024 •. R¢COn¢ltIOn0I netmtrnnwnl In fvndl to n•1 c••h flow Imm op•r•tlng xll¥lO•• 2023 2L%.675 159,41S} 1379.wl 115.120) 180,7491 1487.9131 1,2C IDedLLt gaKBy athj baca ljsw t N•tu4h umd In op•rntlng xtMUM 1212.8321 1247,8201 •. Gr¥nts mid• 2)23 20.tJy) Tnrnt 15.L 10.C(O rtish TruBt br Ornrtk 975 975 cam Ccfnrnunty FourKl8bon CthtrE33 25,C(Q 25.CNJ) Fanny Basa 816 10.C 240 iO,C4J) Feednva F•r4ie5 J DaHwway IlTrvth81 15,C 15.( Makhad Trymt atth Bate ILA(r•re &ake & Bull Ctrder gfst Ebwreda Oxford UnNeW IB(%ln Ltsaryl Res Try1 RSPB t5,( 10.C(Q 11.T75 io,c 10.LYi) 1.775 14. Utherw ol CrryJge (L) of Carnbrktr IL*Aw Vwtsvj schCrI 15.C(O 15,CQ) 15.( 176.158 197.6 P•9• 12
Th• Pgn¢hant Foundallon Not•• to th• a¢¢ount8 forih• ymf •nd•d )OJun• 2024 •. Gr•nts m•d• Icorbllnu•dl 55.(K#) 36.615 13,2CA) $240 22.477 37,16 RelwJw-O ¢Jonalw$ 176.158 197. 10 Amlysh olcMrltsbl• fund• Total Fund• Funds Funds 5.109,445 5,109.445 80,749 (213.832} 487.913 80.749 1185,7241 128.1Cel 487,913 1104,9751 G(1)3se91 104,975 5.464.275 5.464275 P•w13
4,gX770 4,gW,770 59,415 I232.7() 379.560 59.415 P03.n51 {28.9251 379. (144.XOI 144.xo 5,109.445 5.109,445 P*WJ• 14