Charity Re8lstration Number: 207781 THE ORDER OF THE SECRET MONITOR FUND OF BENEVOLENCE FINANCIAL STATEMENTS 31 AUGUST 2022 THE ORDER OF THE SECRET MONITOR FUND OF BENEVOLENCE TRUSTEES, REPORT FOR THE YEAR ENDED 31 AUGUST 2022 The Trustees of The Order of the Secret Monitor Fund of Benevolence present their report and the financial statements for the year ended 31 August 2022. LEGAL AND ADMINISTRATIVE D￿AlLs The Charity is The Order of The Secret Monitor Fund of Benevolence and is a registered charity under registration number 207781. The ChariWs address is 86 St Jame5'5 Street, London, SWIA IPL. TRUSTEES The Trustees of The Order of the Secret Monitor Fund of Benevolence, who Served during the year and to the date of signing this report, are= G Flight Newly appointed Tru5tee5 receive an induction from the President and Grand Treasurer and attend training courses as nece55ary. ORGANISATION The members of the Executive Committee are responsible for the administration of all aspects of The Order of the Secret Monitor Fund of Benevolence. The member5 of the Executive Committee of The Order of the Secret Monitor are- Ex offlclo, appointed by the Grand Supreme Ruler with the exception of the Grand Treasurer who is elected by The Order of the Secret Monitor His Hon l D G Alexander, QC C J Aspinell l M Campbell {Retired 10 November 20221 P R Crudge C M L Davies (Retired 10 November 20221 R Ellis (Appointed 10 November 20221 K B Fergu50n (Appointed 10 November 20221 G LGill J R Hodge (Retired 10 November 20221 D Littlewood (Retl￿d 10 November 20221 H S Markham S C L Middleton (Appointed 10 November 0221 R A H Morrow J J Singleton J S Stevens l R Sullivan A C Sweenev AJ Van der Burgh B We8erhoff (Appointed 10 November 20221 R A Williams Page 1 THE ORDER OF THE SECRET MONITOR FUND OF BENEVOLENCE TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022 PRINapALADVISERS BANKERS AUDITOR Clydesdale Bank plc Crowe U.K. LLP 146-158 Kensington High Street 55 Ludgate Hill London London W87RL EC4M 7JW INVESTMENT MANAGERS JMFinn&CoLtd 4 Coleman Street London EC2R STA CONSTITUTIONS AND OBJEcf5 The Orderof the Secret Monitor Fund of Benevolence is governed by both statute (Charities Art 20111 and the Constitution5 and Regulations of The Order of the Secret Monitor dated l November 1960. The trustees are aware of the Charity Governance Code published in 2017 which 5etS Qutthe principles and recommended prartice forgood governance within the Sector. The Charity is reviewing its current governance arrangements against the principle5 Wlthin the code and will address any issues raised where required. The objects of the charity are the Relief of Needy Members of the Order and certain of thelr Dependants and the trustees achieve these by making payment5 of grants to the needy and making charitable grants for purposes specifically sanctloned by Grand Conclave. The Order of the Setret Monitor Fund of Benevolence is supported by contributions from Brethren. Ladies, Conclaves and Provinces and these may take the form of either donations. covenants, legacies or bequests. The Charity has not engaged with third parties to raise funds and there has been no direct approach to members of thè public for funding. A significant amount of the charity's income is from investments. No complaints were reteived in relation to our fundraising activities. The Trustee5 confirm that they have complied with the duty In section 17 of the Charities Act 2011 to have due regard to the guidance issued by the Charity Commission on the strategy towards and the ochievements of the Charity against its objertives. GRANT MAKING POUCY The payments of grants are made to the needy and for such other charitable purposes as specifically sanctioned by Grand Conclave. Page 2 THE ORDER OF THE SECR￿ MONITOR FUND OF BENEVOLENCE TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022 RESERVES POLICY At 31 August 2022. the free rese￿eS amounted to £921,92012021- £1,042,5111- The Trustees believe that the level of reserve5 should provide a safety net for downturns in the market as well as building up for large donations in the future. However, the Trustees are aware that the reserves are high and are continuing to review the level held. The Trustees consider that there are sufficient reserve5 held at 31 August 2022 to manage anv foreseeable downturn in the UK economy. The Trustees consider that there is a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future and, for this reason. the Trustees continue to adopt the 80ing concern basis ir) preparing the financial statements. INVESTMENT POWERS Investment powers are set out and operated within the provisions of the Trustee Art 20￿. The investments are managed by the Investment Committee, who are advised by J M Finn & Co Limited. INVESTMENT POLICY AND PERFORMANCE The policy of the trust deed is to provide grants in relief of need for members and their dependants and. from time to time, to make grants to worthy causes. The Sources of income for the fund are donations from the members and any investment income (including capital gains). In accordance with these aims, the funds are managed by J M Finn & Co Limited. The Investment Committee. appointed by the Trustees, reviews the funds on a regular basis. Changes are made to the investments held on the basis of seeking to maintain the existing funds and to increase them so far as possible. The intention is to invest in securities, which are likely to inC￿aSe in value (including providing increased dividends), rather than by any other criteria. The value of the investments at the balance sheet date was £748.566. ACTIVITIES The amount of grants paid in the year to 31 August 2022 amounted to £15,50012021'. £9,040). Page 3 THE ORDER OF THE SECRET MONITOR FUND OF BENEVOLENCE TRUSTEES. REPORT ICONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022 TRUSTEES, RESPONSIBILITIES The Trustee5 are responsible for preparing the Trustees, Report and the financlal statements in accordance wlth applicable law and regulations. Charity law requires the Trustees to p￿pare financial statements for each flnanclal year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards) and applicable law. Under charity law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fairview of the state of affairs of the charlty and of its net incomingloutgoing resourtes for that perlod. In preparlng these financial statements, the Trustees are required to: select suitable accounting policies and then appty them consistently: obseNe the methods and principles in the Charitles SORP,. make judgments and estimates that are reasonable and prudent- prepare the financial statement5 on the gDlnB concern basis unless it is inappropriate to presume that the charity will continue to operate. The Trustees are responsible for keeping adequate accountlng records that are sufficient to show and explain the charty's transactions and disclose with reasonable accuracy at any time the financlal position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reportsl Regulations 2008 and the provisions of the charitys constitution. 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. AUDITOR Crowe U.K. LLP has indlcated Ots wllllngness to be reappointed a5 statutory auditor. Approved by the Trustees on & March 2023 and signed on their behalf by G Flight Trustee Page 4 Independent Audltorfs Report to the Trust•es of the Order of the Secret Monltor Fund of 8erbe¥olÈnce Oplnlon We have audite