THE WHINFELL CHARITABLE FUND UNAUDITED FINANCIAL STATEMELYTS for the year ended 31 JANUARY 2024 CONTENTS Page Reference aiid administrative details Trustees, annual report Independent Examiner's Report Statement of finan¢ial a¢livilies Balance sheei Notc5 to the financial slalements 8-12 THE WHINFELL CHARITABLE FUND REFERENCE AND ADMINISTIL4TIVE DETAILS The Trust was created and continues to be governed by a trust deed dated 3 December 1973. The Trust is a registered chaiily, number 267333 and is also siibject to the regulations of the Charity Commission. TTIEStees KALDuff S E Cliflord Bowles Address 35 Westgate Huddersfield HDI IPA Investment AdNrysors and Custodian UBS AG 5 Broadgate London EC2M 2AN Bankers National Westminster Bank PIC 24 Deansgate Bolton BLI IBN Accountants Wheawill & Sudworth Limited Chaffered Accountants 35 Westgate Huddersfield HDI IPA THE WHINFELL CHARITABLE FUND TRUSTEES, ANLNUAL REPORT The Trustees preseiit their report aiid Ihe finan¢ial siateiiients of the cliarity for tl)¢ year elided .1 l Jaiiuary 2024. The Tru5tCCs have adoplcd the provisions of the Statement of RecoTnmended Pra¢li¢e (SORP) 'Accounting and Reporting by Charilic5" IFRS102) in preparing the Annual Report and finan¢ial statements of the Charity. The financial statements have been prepared in ac¢ordan¢e with the accounting poli¢ies sel out in notes to the financial statements and comply witli the charity's governing document, the Cliarities Act 2011 and Accouiiting and Reporting by Charities.. Siateiiicnt of Re¢ommended Practice applicable lo Charities in pieparing their financial statements in accoidance with the Finan¢ial Reporting Standard appli¢abl¢ in the UK and Republi¢ of Ireland published October 2019 (Second Edition). Objective5 and activities The principal activity of the ¢harity during the year has been lo support other charities> particularly in the fields of local and global so¢ial impact. Public benefit Statement The Trustees have considered the general guidance on public benefit issued by the Charity c.ommission in carrying out its objectives and activities and are satisfied that the objectives fall under the provisions of the Charities Act 2011. The Trust fijrthers its charitable purposes for the public benefit through ils grant-making policy. Review of the finan¢i#l year l achievements and performance There have been no changes in the organisational 8tn]cture of the charity during the year. ljicome dnd expenditiii-e.. The Trust received income for the year totalling £138,2 I6 (2023.. £109,671). Expenditure totalled £183,726. £150,000 of which relates to distributions made by the Trustees, at their discretion, to beneficiaries (2023.. total expenditure £116,795 of which £77,000 related to distributions). Distributions have been made to eight charitable organisalions (2023.. seven). During this current financial year there has been a deficit of income over expenditure, before net gainglosses on investments, of £45,510 (2023.. £7,124). Invesiments.. Ai the start of the year the Tnjst's quoted investments were valued at £6,048,396 and by the end of the year the value had in¢ieased lo £6,453,855. Inveslmenl Manogers report Last year, global Equity markets had their bcst year since 2019, lifted by optimism that the US Federal Reserve will cut interest rates swiftly and that innovations in artificial intelligence (AI) will boost profits. US stocks were the main driver of the rally, with a total return of 26.30/0. This partly reflected growing confidence that the US economy is headed for a soft economic landing, with growth slowing sufficiently to pem)it rate cuts without tipping into recession. Inflation, which remained stubbornly high for much of 2023 in both the US and Europe, decelerated late in the year. This allowed the Federal Reserve lo signal a likely end to the fastest series of rate hikes since the 1980s. At its final policy meeting of the year, the Fed laid the groundwork for easing in 2024, with the median forecast by lop officials for three 0.25 /0 interest rate ¢uts over the course of2024. Thc Fed's pivot also contributed to a steep rally in government Bonds late in the year. The yield on Ihc l O-year US Treasury fell from a 16-year peak of 5 /0 in late October to end the year al 3.86 %, only a few basis points higher than where il started 2023. THE WHIIYFELL CHARITABLE FUND TRUSTEES, Af+lNUAL REPORT {continuedl Revieiv of the financial year (continued) Jnve.*tmgnt McindgErs report (eortlirtiied) Markcls also rccovercd from scvcral setbacks in 2023. In March, the collapse of Silicon Valley Bat& briefly raised concerns over the health of the US banking system before decisive actioi) from the Federal Reserve helped restore confidence. For much of the summer, strong US economic data and elevated inflation kindled fears that the Fed would be forced to keep interest rates higher for longer. Also in October, the Hamas attack on Israel sparked worries that an escalating conflict in the Middle East could disrupt eiiergy supplies and lead to another round of higher inflation. Encouragingly, markcts ieboundcd from each of these cpisodes. Part of the reason for this resilience was growing confidence in the potential for Al to boost profits. The growing visibility of generative Al, following the lauiich of ChatGPT at the end of 2022, was a dominant theme for the year. Top tech firms were the biggest ¥ainers, with the "Magnificent 7" gaining 107D/o. The FANGk Index, which tracks the sharcs of the l O most Iradcd US tcch fimis, Iall￿ed 960/0 over Ihc ycar. But thcre were a150 laggards. China'5 equity markct lost 10.7 /0 over the year, as the nation's recovery from pandemic restrictions was weaker than expected and government stimulus measures failed to impress investors. With the focus on technology stocks, mai'kels less exposed lo ihis sector also trailed. The MSC.I UK gained only 7.70/D and the Swiss market just 5.30/0. Thc Global High Dividend Yield Portfolio outperfomicd its bcnchmark, with the top three contributors for last year being, Broadcom (+21.1'/o), CVS Health 1+16.2 /ol and Intel (4.12.4 /ol. Meanwhile the top three detractors within the portfolio were, Proctoi & Gamble1-4.60/o}, Denso Corp {-3.6 /0) and Siarbucks1-3.3 /0). In the Sustainable Investiiig {Sll Growth Portfolio, we increased ihc r¢lative ov¢￿tIght allocation to 5-year US Trcasuries against l O-year US Treasuries, seeing room for long-lemi Bonds to dcclinc ￿rther. Moreover, we slightly reduced Ihc ovenvcighi position in muliilaleral developmcnt bank Bonds. Within Equities, the portfolio is overweight Sl value stocks and underweight global ESG (Environmental, Social and Governance) leaders and ESG improvers Equities. Perfomi2n¢e to end of Jan 2024 The 12-monih net of fee returns lo the end of Janu8ry 2024 were 8.49/. This compares favourably to industry peer group (Asset Risk Consultant Steady Growth) returns of 3.92 /0. The long-temi portfolio returns remain positive on both an absolute and relalivc basis. As of Ihc cnd of January 2024, the annualised net performancc 5incc Deeember 2007 is 5.6 %. versus industry peer group returns of 4.3 %. The Fund withdraws the investment incon]c and as a result this does not compound within the returns. Trustees The Trustees who served during the year were as follows= J L Mitchell KALDuff S E Clifford Bowles J L Mitchell sadly passed away on 24 January 2024. The Tn]stees meet at least on¢e a year to review the regular distributions out of trust income, nortnally made in Janiiary. They meet as ne¢essary at other times to review which ¢harilies will benefit fiom in¢omc which remains to be allocated. THE WHINFELL CHARITABLE FUND TRUSTEES, ANNUAL REPORT {continued) Investment pnliey The Trustees review annually their policy for investment objective and management of the investments. Investment poliey (continued) UBS AG ¢ontinue as investment advisers on a discretionary basis and are instructed to hold the charity's investments as nominees. The iiiveslment objective is for income to increase but the capital should, if possible, maintain its value in line with inflation. This is to be achieved by a balanced portfolio of equities with a risk profile not greater than medium. Statement of Trustees, responsibilities The trustees are responsible for preparing the Trustees, Annu£il Report