THE THORNTON FOUNDATION TRUST INFORMATION FOUNDER R C Thornton (deceased) TRUSTEES Mrs S J Thomton (Chair) A H Isaacs H D C Thomton PRINCIPAL ADDRESS 25 Pelham Place London SW7 2NQ CHARITY COMMISSION NUMBER 326383 INDEPENDENT EXAMINER Daniel Valentine ACA Begbies Unit 14 Park Bam Evegale Business Park Smeeth Ashford TN25 6SX BANKERS C Hoare & Co 37 Fleet Street London EC4P 4DQ SOLICITORS Chades Russell Speechlys 5 Fleet Place London EC2M 7RD THE THORNTON FOUNDATION {Charity Commission number 326383) ANNUAL REPORT OF THE TRUSTEES YEAR ENDED 5TH APRIL 2024 Objects and activities furthering the public benefit The objects of the charity are to pay or apply the income or capital to charitable institutions, or charitable purposes, in such manner and in such proportions as the trustees may from time to time in their absolute discretion determine. The trustees, policy is to support by grants (and in ￿rtain circumstances by loan) charities selected by the trustees. The Foundation also makes occasional educational grants for individuals. On providing the grants, the trustees have complied with their duty in Section 17{5) of the 2011 Charities Act to have regard to public benefit guidance published by the Charity Commission. The trustees have agreed the grants for the next 12 months and do not welcome unsolicited applications in the meantime. Financial review and achievements The total income for the year was £70,708 compared to £63,643 in the prior year. Charitsble donations were £1,000 and management and administration expenses including brokerfs fees were £12,210, resulting in a gain (before investment gains and losses) for the year of £57,498. After net gains on investments assets of £549,403, the surplus for the year was £606,901. At the end of the year, the balance on the Unrestricted Fund amounted to £5,050,777. Reserves, investment policies and plans for future periods The trustees do not consider that there is a need to maintain a specific level of reserves to achieve the objectives of the Foundation other than to meet future commitments. Their policy is regularly to distribute the whole of the net income together with a part of investment gains whether arising in the current or prior years. The trustees, investment policy is to invest primarily for growth and they have consequently considered it acceptable to distribute more than the net income by way of charitable donations. The charity is exposed to the volatility in equity and investment markets due to wider economic conditions and has been adversely impacted by the Covid-19 outbreak. However the trustees, investment policy is to invest primarily for long term growth and believe current market values will improve over time and confirm the charity remains a going concem. Governing document and organisation The governing document is the charitable trust deed dated 9th June 1983. The power of appointing new and additional trustees is vested in the trustees, provided that their number shall not exceed five. nor be less than in number. The investments are held under the names of the current trustees. Risk management The trustees have assessed the major risks to vthich the Foundation is exposed, in particular those related to the investment strategy. They are satisfied that adequate procedures are in place to mitigate exposure to these risks. Mrs S. J. Thornton - Chairnian 1 November 2024 THE THORNTON FOUNDATION STATEMENT OF TRUSTEES. RESPONSIBILITIES Law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the Foundation's financial activities during the year and of its financial position at the end of the year. In preparing those financial statements, the trustees are required to.. select suitable accounting policies and then apply them consistently- make judgements and estimates that are reasonable and prudent" state whether applicable accounting standards and statements of recommended practice have been followed subject to any departures disclosed and explained in the financial statements., and prepare the financial statements on the going con￿rn basis unless it is inappropriate to presume that the Foundation wll continue in operation. The trustees are responsible for keeping accounting records which disclose wth reasonable accuracy at any time the finanGial position of the Foundation and which enable them to ensure that the financial statements comply with the Charities Act 2011. They are also responsible for safeguarding the assets of the Foundation and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE THORNTON FOUNDATION FOR THE YEAR ENDED 5TH APRIL 2024 I report on the accounts of the Thomton Foundation {'the Foundation,) for the year ended 5th April 2024, which are set out on pages 5 to 11. Responsibilities and basis of report As the charity trustees of the Foundation you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 {'the Act,). I report in respect of my examination of the Foundation's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145{51(b) of the Act. Independent examiner's statement I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect.. 1) accounting records were not kept in respect of the Foundation as required by section 130 of the Act., or 2) the accounts do not accord with those records: or 3) the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair view which is not a matter considered as part of an independent examination. I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. Daniel Valentine ACA Begbies Chartered Accountants Unit 14 Park Bam Evegate Business Park Smeeth Ashford TN25 6SX 20Z* THE THORNTON FOUNDATION STATEMENT OF FINANCIAL ACTIVITIES YEAR ENDED 5TH APRIL 2024 Notes 2024 2023 Unrestricted eneral fund Income: I nvestment income 70,708 63,643 Expenditure on.. Charitable activities Donations Governance costs 1,000 11.610 61,800 11,160 12.610 72,960 Raising funds Brokers, fees 600 672 Total expenditure 13,210 73,632 Net (lossesljgains on investment assets 549,403 (253,113) Net {expenditure)lincome 606,901 (263,102) Reconciliation of funds Balance brought forward 4,443,876 4,706,978 Balance carried forward 5,050,777 4,443,876 The notes on pages 7 to 11 form part of these accounts. THE THORNTON FOUNDATION BALANCE SHEET AT 5TH APRIL 2024 Notes 2024 2023 Fixed Assets Investments 4,976,419 4,426,981 Current Assets Cash at bank 83,358 76,395 Liabilities: Creditors-. amount falling due within one year 9,000 59,500) Net current assets 74,358 16,895 Net Assets S,050,777 4,443,876 Represented by Funds Unrestricted general fund 5,050,777 4,443,876 Approved by the Trustees and signed on their behalf on 1 November 2024 Mrs S. J. Thornton - Chairman The notes on pages 7 to 11 fomi part of these accounts. THE THORNTON FOUNDATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5TH APRIL 2024 ACCOUNTING POLICIES (a) Basis of re aration The financial statements of the Foundation are prepared in accordan￿ with Accounting and Reportirpg 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 {Charities SORP (FRS 102)) published on 16 July 2014, and the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), and the Charities Act2011. These financial statements are prepared under the historical cost convention as modified by the inclusion of investment assets at market value. The charity constitutes a public benefit entity as defined by FRS 102. Unrestricted fund The trustees may pay or apply the whole or any part or parts of the income or capital funds for any charitable purpose as the trustees in their absolute discretion think fit. Investments Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. Gains and losses arising on revaluation and disposal of investments during the year are reflected in the Statement of Financial Activities. All investment income is recognised when the dividend becomes payable. Ex nditure Costs of charitable activities are direct costs of the charity in undertaking its work to meet its charitable objectives and consist of charitable donations and governance costs. Governance costs includes those costs associated with meeting the constitutional and statutory requirements of the charity. Grants are accounted for by referen￿ to the date on which the obligation for payment becomes unconditional. (bl (c) (d) Other expenditure is accounted for on an accruals basis with the irrecoverable element of VAT included within the category of expense to which it relates. (e) Forei Transactions denominated in foreign currency are recorded at actual exchange rates at the date of the transaction. Assets denominated in foreign currency at the year end are translated into sterling at the rate of exchange current at the balance sheet date. Any gain or loss arising from a change in exchange rates subsequent to the date of the transaction is included as an exchange gain or loss in the Statement of Financial Activities. n currenc (fj Financial instruments The charity only has financial assets and financial liabilities of a kind thal qualify as basic financial instruments. Investments are referred to in (c) above. All other basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. THE THORNTON FOUNDATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5TH APRIL 2024 INVESTMENT INCOME 2024 2023 Fixed asset investments EPIC Oriental Focus Fund - Class B £ EPIC Asian Centric Global Growth Fund 23,482 46,524 22,360 41,007 70,006 702 63,367 276 Bank interest 70,708 63,643 CHARITABLE DONATIONS 2024 2023 Institutions Chase Africa Crohn's & Colitis UK Helen and Douglas House I nstitute of Cancer Research Keble College, Oxford Keble College, Oxford - Retirement of Warden Macmillan Cancer Support Prickles Hedgehog Rescue Prisoners of Conscience Rainbow Trust St Paul's Church Knightsbridge Tait Memorial Trust University Of Edinburgh Development Trust Wessex Children's Hospice Trust (Naomi House & Jacksplace) 2,000 1,000 3,000 30,000 5,000 2,000 2,000 300 3,000 3,000 1,000 3,000 4,500 3,000 1,000 61,800 THE THORNTON FOUNDATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5TH APRIL 2024 GOVERNANCE 2024 2023 Accountancy and independent examination charges Irrecoverable VAT Bank charges 9,375 1,875 360 9,000 1,800 360 11,610 11,160 STAFF COSTS, TRUSTEES REMUNERATION AND RELATED PARTY TRANSACTIONS There were no employees during the year {2023.' nil). None of the trustees received remuneration during the year. No trustees were reimbursed expenses in the year (2023.. Nil). There were no other related paty transactions in the year. FIXED ASSET INVESTMENTS Market value at 6th April 2023 Additions at cost 4,426,981 4,426,981 Disposal at opening book value 4,426,981 549,438 Net unrealised gain on revaluation Market value at 5th April 2024 4,976,419 Historical cost at 5th April 2024 (2023- £1,026,076) 1,026,076 Analysis of investments held at 5th April 2024 at valuation - TOTAL Listed investments EPIC Oriental Focus Fund Class B GBP VT EPIC Asian Centric Global Growth Fund - Class R £ Net Inc 1,200,879 3,775,540 4,976,419 10 THE THORNTON FOUNDATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5TH APRIL 2024 CASH AT BANK 2024 2023 C Hoare & Co Current account Evelyn Partners Sterling accounts Euro income account 60.998 53,399 20,787 1,573 21,387 1,609 83,358 76,395 CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2024 2023 Begbies Charitable donations payable 9,000 9,000 50,500 59,500 9,000 TOTAL NET ASSETS SINCE INCEPTION Capttal introduced by R.C.Thornton in 1983 Investment income and royalties Deposit account interest VAT recovered Underwriting commission Transitional tax relief received 1,100,520 2,940,712 280,015 47,982 3,173 11,015 3,282,897 4,383,417 Net gains on revaluation and disposal of investment assets 8,685,927 13,069,344 Less". Charitable donations (see Note 10) Exchange losses Management and administration 7,467,269 21,081 530,217 8,018,567 Total net assets at 5th April 2024 5,050,777 THE THORNTON FOUNDATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5TH APRIL 2024 10. TOTAL CHARITABLE DONATIONS SINCE INCEPTION Year to 5 April=_ 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 1989 1988 1987 1986 1985 1984 1,000 61,800 60,480 131,461 1,114,680 134,500 230,884 160,340 106,000 94,700 140,640 100,388 204,203 218,675 153,745 321,450 274,800 226,250 215,000 173,000 102,400 226,913 116,041 356,936 103,800 182,670 120,012 314,322 188,168 291,142 72,579 184,280 82,225 144,565 142,630 156,045 313,795 100,250 64,850 51,950 27,700 7,467,269