Charlty règl$tratlon nUM￿r 256893 THEARCHIE SHERMAII CHARITABLE TRUST ANNUAL REPORT AMD FINANCiAL STATEMEp¥rs FOR THE YEAR ENDED 5 APRIL 2024 THE ARCHIE SHERMAN CHARITABLE TRUST LEGAL AND ADMINISTRATNE INFORMATION Trust•o$ MJGee A H S Morgenlhau R Fre8dman A Slmon Charlty nUm￿r 256893 Prfnclpal addr•s$ 274a Kentish Town Road London NW5 2AA Audit TC Group 5th Fthr 3 Dorset Rlse London EC4Y 8EN Bankers Barclays Bank plc Carfliff Queen Sl Leicestor LE87 2BB Solkltt)rJ Nicholas and Co 10-12 Bourtet C1088 London W1W7BR THE ARCHIE SHERMAN CHARITABLE TRUST CONTENTS Pagè Trustee8' reFKJrt Statement of trustees, respon$ibililies Independent auditorfs Taport Statement offinanual &tNities Statement of financial posibon Staternenl of cash llows 10 Notès lo the financAal statements THE ARCHIE SHERMAN CHARITABLE TRUST TRUSTEES. REPORT FOR THE YEAR ENDED 5 APRIL 2024 The tru3tees present their rewl and audit8d finanaal stat8mants for Ihg year $rKlgd SAwil 2024. The finanaal statements have prepared in ar￿[dance with the 8C(x)unling policies set %YJt kn note 1 to the ffinancial stalemenl$ and comply vith th• charivs trust doed, tha Charities Act 2011 and 'Accounting and Reporhng by Charities.. state￿nI of Recommended practi￿ 8pplicable to chaiibes preparing Ihar actounts in ac£ordance wrth the Financial R9porting Standard applcablo in the UK and Re￿bI￿ of Ireland IFRS 102) (offedivo 1 January 20191.. ObJectlv•$ and actlvltles for the public bènofil The charivs short and long4emi objectives in¢hJde the suppyt of a vMde range of charftable organlsatk*ns 81 thè discretion of the tsuste8s and as sel out in the dedaration of trust. Th8 ot¥èctive of the (l)arity is to maintain, and wher8 p088ible lo IncTease. the level of incxjme and to dlstrlbute Ihe income to chosen Charitab￿ beneficiaries exdLFsivaly to b8nefft gdu(stton and tralnin9, overseas aij, arts and cumure, hearth and general charitable purposes. The charitys overall strategy to achieve the objective is trff•ctivo mgn8gernenl of its property portfolio to ximise rentsl returns. The chaTity has no other significant activiti'es. The chartys resour￿ are rewewe(l al lh¢ rpgular trusteg5' meetin9s lo alknv informed decisions to be made on grant (￿)mMItTnents. The charity makes sm8118nd large grants lo a wide variety of charities based in the UK and overseas. When the tharty is approached to assist with substantial capital ¢x tmjilding proj'ects, Ihe trustees undertake due diligence befo￿ decldlng whether to make a commitment. Where the charity has made a ￿mMItMant to maka payments over 88voral y&aTS, the trustees monitor the proJress of the project before releasing payrnents. The tharity has not made us¢ of any vohJnt¢er$ during Ihe year. The trustees rewew all commitments on a forwards five-year basis. In particular, Ihè charty •nl8red into thè following ojmmrftments: WIZO- £200,(X)O over 3 years lo the Adi CerTtre at the Belt Sherman Centre in Be'er Sheva. Jaffa Institute- $75.000 (Iver 3 years 10 5UPPOrt tho after ￿h0o1 prowamme for fallSng students. The trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidance on publ￿ bgngfit whgn rgvlgwing th9 charfty'$ aims and obl9¢11ves and In plannlng fubjro advitbs and s&tting th& grant making poll¢y for the yèar. AchI￿Orn￿nts and pgrformance Level of Income Overall. the charitys investmant incomo increased by £229.50312023.' iner&ased by £101,413) comparèd to thè previous year. Rental and olher property income recelvable Increased by £229.491 (2023.. increased by £101,410) vthilst inlerost reC￿Vable increased by £12 12023: increased by £31. Notswthstanding the continued eireum$t8ncès prev8iling in the UK tommèreial propety market during the year, the trustees ar8 satisfied vAth tha ￿rrom18nC8 of Ihe portfolio. Income Dislribuiitin DurlrrfJ the yeaf. 81.7%12023'. 195.6%) of the yearfs nel 5ncomlng rosources were distribul8d and commltt8d lo charitab18 ban&fiaari8s to bènèfit 8ducalion and trainiThJ. ovèrsaas aid, art and cumum, haatth And goneral tharmable Pur￿8, Including support and g0Veman￿ costs allocated lo th08e ¢harit8trAe athhle8. Unr8Strictèd Funds Thè ch8rfty'$ finanelal t￿￿10n 8t the and of th& ￿0d w38 8nlrely sausfadory. The unresldded funds durfng the finanaal year increased by 1°h12023'. decrease of 5%) compared to the previc4Js year. THE ARCHIE SHERMAN CHARITABLE TRUST TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 5 APRIL 2024 Rental income is Ihe main source of incoming resour(*s. The prevailing market c>Jnditions have a significant èffg¢t on Income generated, and conditions during the yaar continued to bo drffi¢utt wilh commercial properties fferfng from lower rental yiekjs as a resutt of a continued decline in the popularlty of UK hkJh streets. The trustoès att8mpl to rnitigate these effects by negotiating rent wrfh &w8ting and new lenants to ensurè a sadsfactory in¢ome f(x Ihe INSI while rec4Jgnising the reality of tough e¢Momic conditions t>Jrrenlly facirKJ l¥nants. The percentage of funds distributed and Ixjmmitted to charitable causes wll vary from year lo year because tha trustees, grant making docisions baswj on eslimales and proigdion$ of inwmè receivable which arg nattjrally subject lo change. Tho trust￿$ aro responsible for monitoring the Investment management and gov8mance costs in order to maxirnise funds available for charitable purposes. Financial re¥i•w The Statement of Financi81 Aclivthes, sel out on pagg 8 of thg financial stat8ments, show8 how the chariV8 incomSNJ resou￿$ have been expend6d during the year ended 5April 2024. Th¥ ¢harity continues to ho￿ a substantial fund basa from which the income g¢norated 18 distributed through grant maknng actlvmfes. Thè chariws assets are hel¢J order to generate Incomg for Charitab￿ donations. The main asset of the ¢hanty 18 a portfolio of cornmerryal properties. The fair valuo of the investment propety Portlolio was assgssed by M J *e as al 5 Aprfl 2024. l incoming resources, vthich arg a key perf0m￿nce Indicator. avallaUe for distribution during Ihe year waro £1.142.772 12023.. £894,735). These were used to fund charitablg oxpenditure and govemance (Thts totalling £934,15312023.' £1,748,267). At 5 April 2024 the (*arlty hekl net assets of £18,222.98312023: £18,076,245). Projected grants payable over tho n8xt flve years which the Charity had committed to by the year end aro approximately £1.082.91512023= £1.242,2471 in total and at 5 April 2024 had been fully acuuntsd a8 grant mmltm$nts payable. knvostrtwnt policy The trustees fonow a polky of maximising tho relurn on investsnents whlle ensuring acceptablg levels of risk and rfthere is to bè a material financial inv$$tmen( the extsnl to which this will have soclal, environmental and ethical impacts is ¢onsidgred. The trustees meet regularty to dlscuss whether perfomian¢e has been matehod to objectives. Pollcy on rns•rves Reseryes con￿St of unrestricted funds. It is the policy of th9 charity to distributo up to 1￿% of net income. In addition to any undistrrbuted unrestrlcted funds. at the discretion of Ihe trust88s. tiquid lund5 ar¢ malnlained al a level which is considered ad8quale lo cover short temi requlremenls. The total fvnds al the year ond are £18.222,98312023'. 18.076,2451, which include £1.262,072 12023.. £1,522,859) of cash. The charftys availabl8 funds at the year end were £56,44612023."1£87,2771. The charity has no desiqnated funds, ho￿Ver it does have various grant commitrnents payable 0￿r the nexl 1 to 5 years tolalliig £1.082.915 12023.. £1,242.2481, resuhlng in a nét tash position of £179.15712023'. £280,611). Risk manag•m•nt The trustees have assessed the major risks to which tha charity is exposed, and aro satisfied that systoms are In place to mitigate gxposuro to tha major rLsks. Risk assessments are carried out in order to asc8rtain the likelihood of a risk event occurring, of ils potential impact, and whether 8ny ¢08t effective mlligating action may be taken. Potential risks have been identified and aré rewewed on a r8guk8r basis. THE ARCHIE SHERMAN CHARITABLE TRUST TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 5 APRIL 2024 Plan$ for thg fvtur¢ The future plans 8nd obj8ctwès of the charty are to maintain and where possible to inctsase the level Of income or funds and to distribute the income or fvnds to clM)san charitable benaficlarl￿. To Ènsup that future plans and objectives are set, revi8wed, and on tsrget. truslegs hold regular meetings to compare and discuss the budgelgd and actual intr)meldistributions an¢J wher8 n?￿Sary $0ok couns81 from professional ath50rs. Slructur8, gQ¥Vomanco and managom•nt The charty was gstablished by a tharilabl8 Irust 11ged on 3 April 1967, The trustees who served during the year were: MJGee AH S Morgenthau R Freedman Asimn The ptrwor to appoint new or additlonal trustses is ve8t8d in th8 trus￿9. In èx8reising this power, Ihe trustees would use Ihelr ovm network of wnlacts, including famlly members, to identfy suitable candidates Fossessing Ihe necessary knOw￿dge and skills 10 act 8$ trust88$. Trustees are expected to Klentify I￿[r tralnStwJ needs aNI tl tske measures to ensurg th81 thèse needs are meL Th8 charity has four Irustee$ iftcludlng a chartered accountsnt and a solicllor. Day to day matters are handled at the charity's office and tsgular maetiThJs of the Iruslees aro held. Tha trustees revlew all cnmmitments o fOr￿ard five-year basis 80 that ngw projocts can be undertaken and i1￿m? is made available. In 1997 th& ttjstegs mad8 charitable setuements of £50 0￿h to ¢stsbllsh throe new charitable trusts. Tbw) of these trusts, the J8cqueline & Michael Gee Charitsble Trust 8nd the Diana and Alan Morgenthau Charitable Trust are controlled by the trustees M J Gee and A H S Morgenthau respectivety and their wives. Tho tharitys property prfolio1$ managed on a profeS￿onal basss by AJchl& Shemwn Administrallon Lknilwj of vthKh M J Gee ¢8 a director 8n¢J 8(le shareholder. The trustees ha￿ not reeAivèd any ramuneralion duriro tho yoar. Delalls of expenses. fees and rèlatsd paty transad￿n$ are disckjsed in r￿te8 8 and 21 10 tho financial slatemenls. On behaw oflhe boarf of trustees MJGee Trusl89 THE ARCHIE SHERMAN CHARITABLE TRUST STATEMENT OF TRUSTEES. RESPONSIBILITIES FOR THE YEAR ENDED 5APRIL 2024 The trustses are r•sponsible for preparing the Trustees, Rawrt and the financkql statements in accordance with appllcalle kgw and Unlte(J Kirb2dL¥n Accounlng Slondards Iunited lfjngdom Generally Accepted Ac¢ountirrfJ Practiol. The Law applicablg to charitie8 in England aThJ Wales requlres the Irustses to prepare financkql statements for each financial year which give a true and fair viw of th& stats of affairs of the charity an¢J of tho incoming resourc8s and application of rgsourc8s of the tharity for that year. In preparirg these finanek41 statements, the trustees wuired to.. - sd&et $ui18bltt ac4x*Jnling polictes and Ih&n apply them consislenuy. - ¢)bserve the melhods and princ4pJes in th9 Charilies SORP FRS102,' - make judgements and estimats8 that are reasonab￿ and prudent., - stats whether applicable accounting slandards have been followed, sublect to any material d¢partures dlsdosed and explalned in the finandal ststernents: and - prepare tt)6 financ￿1 Statements on golng ¢orKem basi5 unl8$$ it 1$ Snappr¢priate to presume that the charity wlll continu8 in operation. The trustees are responsib￿ for k8èpiThg sufficient accounting rteord$ that disclose vmh reasonable accuracy at any time th8 ffinan¢lal posllbn of the tharity and enablè them to ensure that the finan￿al stslem&nts comply thè Charities Act 2011. the Charity (Accounts and Rer>ortsl Regulations 200B and tha provtsSons of the Iwst deed. They are also responsible for safeguardiThJ the assets of the charity and hence fc< taknng reasonabk steps for the preventi¢)n and d&t8ctron of fraud and other rregularibgs. THE ARCHIE SHERMAN CHARITABLE TRUST INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF THEARCHIE SHERMAN CHARITABLE TRUST Opinion We have audited th6 financial statements of The Archie Sherman Charitable Trust Ith8 'chariVI for the year ended 5April 2024 which comprise the statement of financial actIv￿es. the statement of financial position, the staternenl of cash flows and the notes tr) the financial statemenis, including a summary of signrficanl accounting poliaes. The financial reporting framework that has l)een applied in their preparalion is applicable law and Unit&J Kingdom AccI)un￿ng Standards, includlng FlnancAal Reputsng Standard 102 Thg Flnanclal Reportlng Standard appI￿&ble In th8 UK and R8publK ollr8land {Unit8d KiThJdom Generalty Accepted Accounting Practice). In our oplnh)n. th8 Ilnan(#al statements.. give a true and fair wew of the stat8 of the charf￿S affalrs as at 5Aprfl 2024 and of its Sncomlng resources an application of resources including its income and expenditure. for the year thèn ended,. h8v8 been proOy pr8par8d in acc(*dance with Unlterj KlwJdom Generally Aceepled Ac¢ounting PractSce' and havo bgen pr9par9d in a¢cordancg with the requlrements of the Charities Act 2011. Basls for oplnlon We conduded our audit in accordance wth Intemaltonal Slandards on Audibng (UK) IISAS {UKII and applicable L8w. Our responsibilities under those slandards are further described in the Auditorfs responsibilities for the audit ol the finanaal slal8m8nts sedion of our r•port. We are independent of the charity in accordance swth the ethical requirements that are relevant to our audit of the financAal ststements in the UK, induding the FRC'S Ethlcal Standard, and we have luffilled our other gthical responsibilities In accordance with these requirements. We belleve that the audit evidence we have obtained is sufficient and approwlats lo pro￿de a basls forour opinion. Conclusions rglaling to going Concern In audlting the financial stslemenls. we have concluded that the trusle8s' use of th8 going concem basis of a￿u￿tIng In Ihè pr8paratltsn of thè finanaal statements is appropriate. Based on the vK)rk we have perf0m￿d, wg have not Id¢ntIfi￿ any m8t•rial uncgrt8inti¥$ ￿lating to evants or eondOUon8 that, InLIMdu8lly or collèctively, may Cast signifi¢anl doubl on chority's a￿lIty to cxjntinue as a going C￿n¢6M for a period of at leasl ￿e1ve months from when the financial staternents are authorised for issue. I￿r responsibilities and the responsibilities of the trusle8s wlh respect to golng conc8m ar8 descrfbed In the r8bv8nt sè¢tk)ns of this r8port. Othor information The olhar infomiation ¢omprisas thè inf0M￿tth included in the annual report other than the finar￿la1 statements and our 8uditorfs report thereon. The trustees are Tesponsible for the other information contain&J h￿thIn the annual report. Our opinion on the finanaal statements ¢Joes not (x>veT tho other information and wo do not 8xpr•ss any fomi of assurance ¢on¢lu$ion Ihereon. Our iesponslbilty is to read the other infonmatton and. in doing so, consider vtheth8r the other Inf0m￿tIon Is matsrially inconsistent with Ihe finan¢kg1 slalemenls or our knowgdgg obtalngd In the course of the audit. or olherwse appears lo be matedally mlsstated. If we identify such m*erk?l inconsistenaes or apparenf material misstatements, we are required to detennine whether this gives ri88 to a tnatèriql misstatement In the financial statements themselves. If. based on the work wo havè performed. wè concludè that th8r8 is a material misstatement of this other inlomiath)n, we are required to r&port th81 fad. hav& nothing lo rep(xl in this regard. Matt•rs on whlch w• are requlrod to roport by 0x￿pIloTh We have nothing lo report in respèct of Ihe follovAng matlgrs in r81otion lo vthich tho Charilies {AccLJunts and Report81 Regulations 2(NJ8 require us lo rgport lo you ff, in OUT opinion.. thg inf¢)m)atlon ulvgn In the finandal stateménts 15 ir￿nSiStenI in any material respect wrfh the trustees. report; or sUffia￿t accounting records have not been kept., or Ihe finanThal statements are not in ag￿emant the accounting T8cords and retums" or we have not received all the InfO￿￿￿"0n and explanations we require for iyjr audit. THE ARCHIE SHERMAN CHARITABLE TRUST INDEPENDENT AUDITOR'S REPORT (cO￿lNUED) TO THE TRUSTEES OF THE ARCHIE SHERMAN CHARITABLE TRUST R•sponslbllltl•s of trust••s As explainod more fijlly Sn tho Statomont of Tw$t&es' Rgsponsibilthe$. the irustee5 are responsible for the preparnth'on of the financial statements 8nd for bèing $atisfi&d that they give 8 true and fair view. and for such internal contToI as the trustees deleimine is necessary to enabb the preparatx)n of financial stslements that a￿ fre8 from material misslatemenl, whether to fraud or orror. In preparing the financ¥al stalemènls. the trustees are responsible for assessing th8 charity's ability lo continue as a 90in9 eoncarn. disclosing. as applicable. matters related to going ccncern and using the going concem basls of accountiro unless the trustees eSthgr intend lo I￿￿kJaI? the tharfty or lo ¢e8se opei81ions, or have no realistic artwriative bul to do 80. Audttorfs responslbllltles for the audlt of the flnan¢ial statements We have been appointed as auditor under section 144 of the Charities Act 2011 and report in aco)rdance vitth thè Act and relevant regulaUons made or havlng effect Ihereunder. Our objectives are to obtain reasonable assurance at)out whether the finanual statèmènts as a whole are free from material misstalement, W￿ther due to fraud or grror. and to Issue an audilorfs report that indudes our opinion. Reasonable assurance is 8 h￿h level of assufarKe but is not a guarantee that an audit conduded a￿ordance with ISAS IUKI will aNv8ys detsct 8 material misststement %then it exists. Misstatements can arise from fraud error and aro ￿nSIdered material rf, iThJNidually or in the aggregate, they could reasonably be expected lo influenGe the eoJnomic deasions of users taken on the basis of these firbancial statements. The extent to whlch the audlt was considered capable of detectlng Irregularltl•s Includlng fraud Irregularltle5, InGludln9 fraud, are instanc&8 of non￿mplIanCe laws and regula￿On$. We design procedures in line with our responsibilities, ouuined above, to detect irrtrgulariti&s, including fraud. Thg nsk of not detecting a nwterial misstatement due to fraud is higher than the risk of not dèteel'ng onè rèsultiftg from error. as fr8ud may knvolvo dgliberate concealment by. for axample. forgery or intsntion81 misrèpresentations, or through collusion. The extent to which our proGedures are ¢xpable of detecting irregularitvJ. including fvaud is detailed below. Ho￿v￿r. Ihe primary r8sw)nsibility for the prevenlk*n and detscloon of fraud rests with tsolh those charged with govemance of Ihfr gntsty and management. r approach as follows.. We obtained an understsnding ofthe legal and regulatory framewot*s that are appli(sblè to thè Ch8rlty and d8temin8d that thè most S￿nIfiCant are that relate to thg reporting framework being the Ststement of R8commeThJ8d Practica appll¢ablg to tharibes preparing their accounts in accordan￿ with the Financial R&porting Sland8rd applicable In the UK and Republic of I￿land {FRS102). the Charitab￿ ¢ompanWs Memorandum and Articles ofAssoaation and the CharitsesA¢t 2011. We undgrslood how the charfty b complylng with those frameworks by making enquiries of management and seeking representations from those charged wlth s*wemancè. We (rjrrgboiated our understanding by r8vlewltYJ supportin9 documentation Including trustees meeting minutes and Correspondence wlth regulatory bodies. We assessed Ihe SLweptibility of the tharity's financial statsments lo material misstatement. including how fraud mkJht (xcur by ¢on$idering the risk of management override of intemal control and by designating income recognitson as a fraud rS$k. Wo perlom)ed joumal eniry testing by speafic risk eritexa. wlh a focus on joufflals indi¢ats'ng large or unusual transactions based on our undètstanding ol the charity. We tested i*)mploten&ss ol Inixjme Ihrough substantive tests performèd. analytlcal rowgw procedures and cul off lesls on the incomts r6¢ognised. Basgd on Ihls understanding we deslgned our audit proc8dur8S to Identty no￿￿mpli8ne8 wilh such laws and regulation3. Our pro￿d￿r&S involved enquiries of management ar￿ those charged wth govemance, review of legal and profe￿onal expènses and remew of trnstee meeting minutes. The Chanty is a regulalerl entity under the superviston of the Charilies Commissh)n. As suth. the Sen stalutoryAudilor considered &X￿n8￿Ce and expertise of the eng&Jement team to ensure that thè taam h8d the appropriate competence and capabilthès. THE ARCHIE SHERMAN CHARITABLE TRUST INDEPENDENT AUDITOR'S REPORT {CONTINUED) TOTHE TRUSTEES OF THEARCHIE SHERMAN CHARITABLE TRUST A further descrfption of our responsibilities for the audit of the ffinancial stslernents is located on the Financial Reporiing Coundl's website aL' h(￿j￿h￿.frc.org.￿kIauditor￿Sponslbs1￿Iks. Thls desttbplion forms part of our audilorfs report. Use ot our report Thls report is made solety to the charitls trustees. Ms o body. in ac¢ordan¢e V￿th part 4 of the Charities (Accounts and Raportsl RèguLgtions 2008. Our audit work has been undertaken so that we rnight state to the charity's trustees those matters we are required lo state to them in an auditors. report and for no other purpose. To the fijllesl extent pemiitted by law. wè do not accept or assume responsibility to anyone other than the charity and the charily's trustees as a body. for our audit work, for Ihbs repor( or for the opinions we have formed. fc& TC Group a8loilio2g ststutory Au¢frtor Slh Floor 3 Dorset Rise London EC4Y8EN TC Group is eligible for appointment as auditor of the charity by Vir￿ of Its 8lgblllty for appolntmgnt a8 auditor of a ompany under section 1212 of Ihe Companies Act 2006. THE ARCHIE SHERMAN CHARITABLE TRUST STATEMENT OF FINANCIALACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 5APRIL 2024 2024 2023 Ineom• fr¢>m: Investment Income 1,407.338 1.177,835 Ralslng (unds 264,566 283.100 N•t IncomSng r•sourc•s 1.142.772 894,735 Chailtable acuvl Education and training erseas ald Arts and culbJr8 and g$n&ral ¢hwitable causes Heallh 166.719 63,327 596,042 108,065 1.130,082 21.525 278.241 318.419 Total charitabl• eX￿ndItur• 934.153 1,748,267 Total èxp•ndlture 1,198,719 2.031.367 Net galnsll10s6¢$1 on investments 12 161.881} 241,198 Nèt m¢)vemgTht in fvnds 146,738 {612.334} FUNJ balances al 6 Awil 2023 18,076245 18,688.579 Fund bJlanc•s at 5Awll 2024 18,222,983 18.076.245 The statement of finan¢lal a¢tMties includos all 9ain$ and losses recognls8d In the year. The statement of flnanclal actlvlttes indudes all gains and losses recognisod in Ihe year. AJI incom8 and gxpgndllure derive from fx>ntinuing acttvilies. THE ARCHIE SHERMAN CHARITABLE TRUST STATEMENT OF FINANCIAL POSITION AS AT 5APRIL 2024 2024 2023 Fixed assets Inveslmgnl properli9 Investments 13 14 17,090,161 1,076,376 17,182,668 979,854 18,166,537 18.162,522 Current assets Trade and other receivables Cash at bank and In hand 15 413.486 1.262,072 123.743 1,522,859 1,675.558 1997.696) 1.646.602 {920,2721 Currgnt liabiliti 16 Net cu￿nt assets 677.862 726,330 ToLIl assèts l•s$ ¢urr•nt Ilabllltl•$ 18,844,399 18.888.852 Nonwcurrent liabllltiès 17 1821,416) 1812,6071 Net asJets 18.222.983 18.QT6.245 lTr¢ome funds Unrestricted funds 18,222,983 18,076.245 18,222,983 18,076,245 The notes on pages 11 to 23 form part of thes8 fmanaal statements The finandal statements were approved by the Trustegs on . MJGèo Thist•• THE ARCHIE SHERMAN CHARITABLE TRUST STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 5 APRIL 2024 2024 2023 Noto$ Cash flovrn from opgrating activit1•$ Ca8h absorbed by operations 22 (1.602.229) 11,054.8891 In￿stIng actFvltl•s Improvements to investment prwrty Invèstmgnt income receNed 165,896) 1.407,338 143.601} 1.177,835 N•t ¢aJh generated from Inv•stlng actlvltlo$ 1,341.442 1.134,234 cash us•d in financing aetlvltl•s Net IdecToas•ylner•ase In cash and cash •qulvalents 1280,7871 79,345 Cash and cash equlvalents at boglnnlng of year 1,522,859 1.4143.514 Cash and ¢•sh •quival•nts at end of y•ar 1,262,072 1,522.859 10- THE ARCHIE SHERMAN CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2024 Accounting policies Charlty Inlomiallon The AJchie Sheman Charrtable Trust 1$ a <*arity regisler¢d in England Wale5. Thè charity's prfncipal address 1$ 274a Kentlsh Town Road. London, NW5 2AA. 1.1 Accountlng ￿nYOnt10n The financial st8t&ments havg been prepared in aCC￿rdance the charitys Twst Deed, the Charfues Act 2011 and 'A(tounting and Repo￿.ng by Charities.. Stalernent of Recommended Pradl¢o applicable to charities preparing their 8ccounts in accordance with Ihe Financial Reporting Standard ￿p￿1¢ab￿ in thè UK and Republic of I￿land (FRS 1021 leffedve 1 January 20191.. The charity Is a Public Be￿fil Entity as defflned by FRS 102. The financial statements have departed from the Chariti$s (Accounts and Reports) Regulations 2008 only lo the ext8nl required lo providg 8 true and fair view. This departUTe has invdved following th$ stst@m￿t of Recommendèd Pr8Ctiee for charrtj'es applying FRS 102 rather Ihan the version of the Statement of Recomrmnded Practice which Is roferT9d to In the Regulations t)ul which has Sin￿ bggn Yathdrawn. The financial statements are prepared In sterllng. which is the fvnctional currerw of ￿ charity. Monotsry amounts in these financial statements are rounded lo Ihe nearest £. The finanryal slalemgnts have been prepared under the historical cost convention. modified to includo thè revaluation of freehold prop8TUes #nd lo indude investment propertvès and certain financial I[￿truMents al fair value. The principal accounting Folicies adopted aro $91 out b8h)w. 12 Golng con¢•rn At the tsme of appromng the finandal statements, the tru51ees have a reasonablè èxpeclation that th8 charity has adequate resources to C4)ntinue in op8ratlonal existen￿ for the foreseeablg fuiur8. Thus the trLtstses )nthnuè to adopt the going con￿rn basi¥ of accounting in preparin9 the financAal statements. 1.3 Ch•rltsbla fvnds The charitls unr•stridad funds are attributabb to tha original an￿Unt setlled on the tharity, subs8quent sètllomants, accumulated realised 8nd unraalised caytal gainslbsses and undtstributéd In(x)me. Unrestricaed funds are available for use Èt the discretion of the Iru3te8s in furih8rancè of their charitable obpctives unless the funds have begn d8$ign*ed for olher purp0595. 1A Incoming r•$ouru$ Invgstmènt income is earned through holdings of assets for inve51menl purposes sv¢h as shares and propety. In(x)me includ8s Interest an¢J rent and Is rgcognised when the amount can be m&asurod r8liabty. Intere* income is recognised using the effective interest method and rwtsl income is recognised a8 the eh8rWs right to receNe payment is established. 1.5 Resources expended Exp&ndilure on grants is reeor(led on¢e th9 charty ha5 made an uncondi1ional commilmenl to pay the grant and this is communicated lo the bén8fici8ry or the grant has been p81d. whlchever is the earller. Othèr expenditure is indudod In tho financial staternents on an accruals basis. Charbtsble octivibes indud8 expendlture associated wfth grants Paya1￿0, support fJ)sts and gov8manc8 costs. Support costs include staff. office and other costs inoJrred ￿ the njnning of the ¢harty. Gov8manea costs indude those in(wrred in the govemance of th8 th8rity 8nd assats and are primarity 85SOClated wth constitutional and statutory requirements. SUp￿rt costs and governancè ¢osts hav8 been app￿tI)ned ag8lnst èadi individual charitable acti￿ty. THE ARCHIE SHERMAN CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 5 APRIL 2024 Accountlng pollcl•s (Continued) 1.6 Inve$tmont prop•rtl•s Invastm8nt proporty. which is property held to earn rent818 andlor for capital apprect8tion, is measured using the fair value model and statèd at its fair value as at the reporting end dale. The surplus or deficit ¢ revaluallon Is recognised In net Incomellexpendi￿r0I lor the year. 1.7 Non 100 961 1665} {97> 1465) The thariV5 subsidiaries are nominee companies whi¢h hoby no assgls In their own rYJht. 21 Rolatgd party tranuctlons During th8 year thg tharity made th*nation8 of £60,000 {2023: £45.0001 to the Diana and Allan Morgenthau Charflabl8 Trust la ch8rlty of which A H S Morgenthau is also a trustee} and £45.00012023: £45,000) to thè Jacqueline and Mithael Gee Charitable Trust18 charty of whrth M J Gee is also a trustee). Duiin9 thè y8ar thè charity also made donations of £25.47512023'. £6.11JO} to the Brttish Friends of the Jaffa Inslituta la charity of vA)Ich A H S Morgenthau Ss also a trustee). During the year the charfty paid propety management fees of £133.64612023'. £126.(￿) and office seThic6 charges of £16,97312023: £16,668) lo Archie Sherman Admlnlstration ￿MIt&d. a conw8ny controlled by M J G88. Al Ihe year end the charity owed Archl8 Sh8rm8nAdministration Limited £12.821 (2023: £16,992). At the year eThl, charitys subsldiary undertaking, ASCT Developments Limited fthg company'l. owed th charity £1.20312023'. £1.1031. Thè (x)mpany was d¢)rmanl during the year. -22- THE ARCHIE SHERMAN CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 5 APRIL 2024 22 Cash gonoratod from operatlons 2024 2023 surplusl1d8fi￿t) for the year 146,738 1612.3341 Adjustrnènts for Inv8stsn¥nt income iecognised in statement of finanrAal actmlies Fair value gains arKI losses on inveslTTpnt propertie5 Falr valug gains and108ses on investments {1,407,3381 11.177.835) 158,403 1250.0001 (96.5221 M¢)vements in wothing capital: {Inc*easel in trade and other re￿1vab￿S {DecreaseYincrease in trade and other payables {289,743) 1113.767} {9,3601 985,838 Cash abSO￿&d by operotionty {1,602,2291 11,054.8891 23 AnatysS9 ot ehang•s In n•t funds The charty had no material debt duriThJ the year. -23-