OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2020-12-31-accounts

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Report and financial statements for the year ended 31 December 2020

Charity no: 326583

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation Contents

The Invesco Cares Foundation
Contents		 The Invesco Cares Foundation
Contents
___________
Charity number 326583
Trustees C. Bouch
F. Bruce
G. Proudfoot
Independent auditors PricewaterhouseCoopers LLP
Chartered Accountants and Statutory Auditors
1 Embankment Place
London
WC2R 6RH
Accountants Haysmacintyre LLP
10 Queen Street Place
London
EC4R 1AG
Principal address Perpetual Park
Perpetual Park Drive
Henley-on-Thames
Oxfordshire
RG9 1HH
Bankers HSBC Bank Plc
Coventry DSC
Harry Weston Road
Binley
Coventry
CV3 2TQ
Investment Managers Invesco Fund Managers Limited
Perpetual Park
Perpetual Park Drive
Henley-on-Thames
RG9 1HH

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation Contents

The Invesco Cares Foundation
Contents		 The Invesco Cares Foundation
Contents
___________
Page
Report of the Trustees 3
Statement of Trustees’ responsibilities 10
Independent Auditors’ Report 11
Statement of Financial Activities 14
Balance Sheet 15
Statement of Cash Flows 16
Notes to the Financial Statements 17

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Report of the Trustees for the year ended 31 December 2020

_________________

The Trustees present their audited report on the affairs of The Invesco Cares Foundation (“the charity”) for the year ended 31 December 2020.

The charity is a charitable trust, governed by Trustees and led by the Invesco Cares Committee (“the committee”). The charity is run by staff of Invesco UK Limited (“Invesco UK”), a subsidiary of Invesco Ltd.

Structure, governance and management

The charity is registered in the UK with registered charity number 326583 and is constituted under a trust deed dated 1[st] February 1984.

The charity is a charitable trust, with new Trustees appointed by the existing Trustees and the Chair of the Invesco Cares the committee. All Trustees give of their time freely and no Trustee remuneration was paid in the year.

The day to day administration of the charity is delegated to the Invesco Cares the committee, led by an Invesco Cares Manager and a team of 10 volunteers that includes a Treasurer and Chair of the Invesco Cares the committee. The Invesco Cares the committee meets approximately every 6 weeks for an hour and once a year for an entire day but communicates regularly online.

The members of the Invesco Cares the committee rotate regularly to ensure the opportunity to be involved, to maintain fresh thinking, and to ensure the standard of the work of Invesco Cares Foundation is continually raised, specifically:

Policies and procedures for induction and training of new Trustees

Trustee recruitment procedure

Responsibility for the recruitment of new Trustees rests with the existing Trustees and Chair of the Invesco Cares the committee. They must oversee the management of an open and efficient process and always act in the best interests of the charity.

Process for induction and training

The Chair of the Invesco Cares the committee writes to the prospective Trustee, setting out their duties and the charity’s expectations of them. The prospective Trustee is asked to sign and return a copy of the letter.

An information pack including the charity’s governing document and other details about the charity is sent to the prospective Trustee, along with the guide “The essential Trustee: what you need to know (CC3)”.

Page 3

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Report of the Trustees for the year ended 31 December 2020

_________________

Process for induction and training (continued)

A full induction is arranged with the Invesco Cares Manager and any new Trustees will have meetings arranged with existing Trustees. Once recruited the Charity Commission is informed and all governing documents updated accordingly. If appropriate the bank is also notified if the new Trustee is to be a signatory.

Objectives and activities

The Invesco Cares Foundation works on behalf of Invesco UK’s employees to provide help to the local communities of the Henley and London offices by making financial donations to charities, both local and those with which staff have a personal connection. The Invesco Cares the committee exists to filter the high demand for Invesco UK support, to ensure that guideline criteria for donations are applied and to manage the administration of the donations.

There are no restrictions in the governing document which limit the discretion of the Trustees to donate the funds of the Invesco Cares Foundation to the benefit of other charities and/or charitable purposes.

Main activities undertaken for the public benefit

The Trustees confirm they have complied with the duty in section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission.

One of the main activities of the charity is to make grants to small, local charities where those donations will make a difference, using a set of criteria outlined below. The main beneficiaries are small, independent charities working with disadvantaged children, carers, the terminally ill, elderly and disabled. The other area of focus is raising funds for a charity of the year, as nominated by staff.

A smaller part of the charities donations supports matched fundraising for employees who are undertaking personal challenges e.g. mass participation events, to assist them in reaching their fundraising targets.

This fulfils the responsibility of Invesco UK to contribute to the communities in which it works, namely Henley and London, as well as supporting those charities that have a personal connection for its staff. By supporting these organisations, the charity is directly contributing towards the public benefit.

In addition to distributing funds, the Invesco Cares the committee organises participatory events within Invesco UK, with the intention of extending the public benefit to national charitable organisations, as well as those local to the Invesco Henley and London offices. These are limited to two days a year for one National sponsored event and one day connected to the current Charity of the Year. All employees who wish to participate are encouraged to donate and the chosen charity receives all funds raised.

Since 2014, the employees have selected a Charity of the Year. During the last three months of 2019 the Invesco Cares the committee implemented a selection process for Invesco UK to work with a staff voted charity for 2020. The process was entirely staff led and at the beginning of December 2019, CALM (the Campaign Against Living Miserably) was chosen as the charities Charity of the Year for 2020. Based on the selection criteria, donations were made to all the charities that were nominated by employees. Due to the COVID-19 pandemic, in August it was agreed that the charity would extend the charities partnership with CALM until the end of 2021, so no staff nomination or vote was held in 2020. To date, Invesco, it’s staff and the Foundation have raised over £122,000 for CALM between 1[st] January 2020 and 31[st] December 2020 and the charity will continue to raise funds throughout 2021 in order to fund the suicide prevention helpline and online chat service that they run for those most in need at this time.

Page 4

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Report of the Trustees for the year ended 31 December 2020

_________________

Objectives and activities (continued)

Criteria for consideration for grant funding to small local charities

The Invesco Cares the committee meets to review all of the requests received for grant funding, either externally or from Invesco UK staff. The committee is governed by an established set of criteria to agree which applicants will be successful.

The Invesco Cares the committee currently stipulates that one or more of the following criteria needs to apply for any request to be considered:

Grants for employee matching

Where a member of staff is participating in a sponsored event they may make a request for support. The Invesco Cares the committee will approve a donation directly to the charity the staff member is representing. This is limited to £2,000 per member of staff per year and is a matching of the monies raised by the staff member through sponsorship. In this category, the charity does not need to be a local charity but will be a charity that is pertinent and meaningful to the individual staff member.

Guidance for committee decisions

The committee does not:

Long term aims and objectives of the charity

Over the long term, the charity intends to raise significant funds to make a lasting difference to UK charities and to share those successes with staff. The charity will also look to support Invesco staff across central Europe with their charitable initiatives in future years. This will be reviewed along with any appropriate changes to the charitable objectives to allow these activities to be undertaken.

Page 5

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Report of the Trustees for the year ended 31 December 2020

_________________

Long term aims and objectives of the charity (continued)

On an annual basis we raises funds for the charity of the year through various fundraising events such as sporting challenges, salary sacrifice, auctions and bake sales, however due to the impact of COVID-19 pandemic this was not possible in 2020 but is likely to be resumed in 2021 when restrictions have been lifted.

The charity has consistently engaged over 50% of Invesco UK staff in Invesco Cares activities in at least one of the following ways and will seek to improve that year on year:

The charity will aim to achieve this through fundraising events that actively engage staff and continuing to support personal fundraising efforts.

The charity will measure its success in achieving these long term aims by monitoring volunteering days logged through the Invesco UK Leave & Overtime system and keeping records of all staff taking part in events and requesting employee matching funds.

Achievements and performance

The charity has made donations to over one hundred charitable organisations in 2020 (2019: 90+), all of which have met our criteria, as small charities local to our offices, and national charities nominated by Invesco UK employees. The Trustees consider the current level of grant activity to meet the aims and objectives set by the charity.

The Charity of the Year process operated for a successful sixth year during 2020, with the charity raising over £122,000 for CALM (the Campaign Against Living Miserably). The fundraising has and will continue to pay for staff and services to operate the helpline and online chat service for anyone in need of support.

The charity responded to COVID-19 by considering how the pandemic will impact fundraising and grants made to charities.

The most significant impact is on the ability of company staff to fundraise for our charity of the year (in 2020, CALM) and we made the decision to front load a significant donation to them as the demands on their services rose but fundraising revenue decreased dramatically. However, we were still able to run a successful salary sacrifice programme with a further donation going to CALM at the end of April 2020.

Secondly, the impact has been felt significantly by many of the charities that The Invesco Cares Foundation supports regularly and, specifically, those dealing with end of life care, homelessness and essential supplies e.g. foodbanks. In response to this we have broadened our offers of support to previous Charity of the Year partners and have increased donations to respond to as many emergency appeal requests as possible.

The decision to extend our partnership with CALM throughout 2021 means that budgeted monies for our Charity of the Year nomination process were re-purposed and split between 39 charities, nominated by staff, to assist with shortfalls in funding they experienced this year. 39 charities each received £5,555 through this campaign to continue our commitment of public benefit and support those most in need at this time.

Page 6

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation Report of the Trustees for the year ended 31 December 2020

_________________

Financial review

During the year the charity received income from other trading activities of £Nil (2019: £18,218) as no charity auction event was held this year. All funds are raised through internal activities with Invesco UK staff and so no disclosure around raising funds from the public is required.

The impact of COVID-19 has not led to any major financial challenges for the Invesco Cares Foundation as the funding stream from Invesco UK remains unchanged and the charity is in good financial health as it has investments that can be liquidated at short notice should this be needed during this unprecedented time. The Trustees consider the investment fund to have performed satisfactorily under the circumstances and acknowledge that being exposed to the financial markets we would expect to see a certain amount of volatility/movement due to market performance. We are however comfortable to continue with our investment in the fund. The longer-term impact may be that our investments are not able to sustain our matching programme beyond 8-10 years, but we are confident that we will have enough funds to provide funding for at least the next 5 years. On this basis, the trustees believe the Foundation will be a going concern for at least 12 months from the date of signing the financial statements.

Reserves policy

The charity receives an annual allocation of funding from Invesco UK and all running costs of the charity are met by Invesco UK. At the end of the year, the charity held £2,752,754 in unrestricted funds (2019: £2,945,952) and £Nil (2019: £826) in restricted funds. Restricted funds reserves are in relation to total donations received and grants paid out for the charity of the year. As a result, the charity has not set a minimum level of reserves to maintain.

Risk management

The charity’s principal operating risks are addressed by procedures and controls which seek to ensure:

  1. The safety and security of the charity’s assets and that they are invested in accordance with the investment policy;

  2. That donations are made in accordance with the charity’s policies;

  3. That only authorised expenditure is settled;

  4. That an appropriate distinction is maintained between restricted and unrestricted funds; and

  5. That counterparty default losses are mitigated by depositing funds with entities holding a credit rating of BB or above.

The Trustees do not consider that there is significant liquidity risk as the charity receives an annual allocation of funding from Invesco UK and all running costs of the charity are met by Invesco UK. Furthermore, the fixed asset investment is held in a Pooled Investment Vehicle that is composed of Level 1 investments, as disclosed in Note 10, which are inherently liquid in nature, therefore reducing liquidity risks.

Page 7

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation Report of the Trustees for the year ended 31 December 2020

_________________

Risk management (continued)

Managing the risks presented by the outbreak of Coronavirus

The spread of a new coronavirus (COVID-19) disease caused significant volatility within the global economy and financial markets throughout 2020 and into 2021, with new, more aggressive variants of the disease appearing. The primary focus of Invesco UK’s response has been threefold:

Invesco UK has established cross-functional teams in each region (Americas, Asia Pacific and EMEA) that are monitoring the situation globally and regionally. These teams, which include representatives from Distribution, Portfolio Management, Trading, Technology/Operations, Human Resources, Business Continuity, Compliance, as well as other areas, are taking steps to ensure an appropriate and effective response during a highly fluid situation.

The charity has considered the financial impact since the year end, and have determined that there are no commitments, contingent liabilities or adjusting events after the reporting period to be disclosed at this stage. The charity’s investments and exposure to market risk is set out in in Note 10.

Investment policy

The investment policy adopted by the Trustees in October 2017 is as follows:

There are no restrictions on the charity’s discretion to make investments. However, in practice, all funds are maintained either in interest bearing bank accounts, sterling money market funds or other open-ended investment companies.

Cash is held within money market funds or interest-bearing bank accounts so that it is available to meet the cost of grants committed and planned. Cash surplus to this minimum requirement may be invested in other open-ended investment companies until required for planned distributions.

When investing surplus funds, the Trustees seek to balance a low appetite for capital loss with the desire to achieve a real rate of return. It is also important that such surplus funds are sufficiently liquid so that they are readily accessible when required.

The charity's cash balances are deposited with institutions with a minimum rating of BB or invested in a diversified money market fund.

Related party relationships

The charity considers Invesco UK Limited to be a related party, as the company provides the annual funding allocation to the charity, meets all the running costs of the charity and employs the staff who work on the charity set out in note 2.

Page 8

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation Report of the Trustees for the year ended 31 December 2020

_________________

Disclosure of information to auditors

The Trustees who held office at the date of approval of this Trustees’ report confirm that, so far as they are each aware, there is no relevant audit information of which the charity’s auditors are unaware; and each Trustee has taken all the steps that he/she ought to have taken as a Trustee to make himself/herself aware of any relevant audit information and to establish that the charity’s auditors are aware of that information.

Page 9

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Statement of Trustees’ responsibilities

_________________

The Trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The 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 state of affairs of the charity and of the incoming resources and application of resources of the charity for that period.

In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. 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.

Approved by the Trustees and signed on their behalf by:

F. Bruce Trustee Date: 29 April 2021

Page 10

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Independent auditors’ report to the Trustees of the Invesco Cares Foundation

________________

Independent auditors’ report to the trustees of The Invesco Cares Foundation

Report on the audit of the financial statements

Opinion

In our opinion, The Invesco Cares Foundation’s financial statements (the financial statements”):

have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards, comprising FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”, and applicable law); and

have been prepared in accordance with the requirements of the Charities Act 2011 and Regulation 8 of The Charities (Accounts and Reports) Regulations 2008).

We have audited the financial statements, included within the Report and financial statements (the “Annual Report”), which comprise: the balance sheet as at 31 December 2020; the statement of financial activities for the year then ended, cash flow statement for the year then ended; and the notes to the financial statements which include a summary of the significant accounting policies.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (“ISAs (UK)”) and applicable law. Our responsibilities under ISAs (UK) are further described in the Auditors’ responsibilities for the audit of the financial statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Independence

We remained independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, which includes the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements.

Conclusions relating to going concern

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from the date on which the financial statements are authorised for issue.

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

However, because not all future events or conditions can be predicted, this conclusion is not a guarantee as to the charity’s ability to continue as a going concern.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Reporting on other information

The other information comprises all of the information in the Annual Report other than the financial statements and our auditors’ report thereon. The trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and, accordingly, we do not express an audit opinion or any form of assurance thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If we identify an apparent material inconsistency or material misstatement, we are required to perform procedures to conclude whether there is a material misstatement of the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report based on these responsibilities.

Based on the responsibilities described above and our work undertaken in the course of the audit, ISAs (UK) require us also to report certain opinions and matters as described below.

Page 11

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Independent auditors’ report to the Trustees of the Invesco Cares Foundation

________________

Report of the Trustees

Under the Charities Act 2011 we are required to report to you if, in our opinion the information given in the Report of the Trustees is inconsistent in any material respect with the financial statements. We have no exceptions to report arising from this responsibility.

Responsibilities for the financial statements and the audit

Responsibilities of the Trustees for the financial statements

As explained more fully in the Statement of Trustees’ Responsibilities, the trustees are responsible for the preparation of the financial statements in accordance with the applicable framework and for being satisfied that they give a true and fair view. The trustees are also responsible for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Auditors’ responsibilities for the audit of the financial statements

We are eligible to act and have been appointed as auditors under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors’ report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Based on our understanding of the charity and its environment, we identified that the principal risks of non-compliance with laws and regulations related to the Charities Act 2011 and relevant regulations made or having an effect thereunder, including The Charities (Accounts and Reports) Regulations 2008, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered the direct impact of these laws and regulations on the financial statements. We evaluated the incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) by the trustees and those responsible for, or involved in, the preparation of the underlying accounting records and financial statements and determined that the principal risks were related to the posting of inappropriate journals to conceal misappropriation of assets. Audit procedures performed included:

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditors’ report.

Use of this report

This report, including the opinions, has been prepared for and only for the charity’s trustees as a body in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act (Part 4 of The Charities (Accounts and Reports) Regulations 2008) and for no other purpose. We do not, in giving these opinions, accept or assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing.

Page 12

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Independent auditors’ report to the Trustees of the Invesco Cares Foundation

________________

Other required reporting

Charities Act 2011 exception reporting

Under the Charities Act 2011 we are required to report to you if, in our opinion:

we have not received all the information and explanations we require for our audit; or

sufficient accounting records have not been kept by the charity; or

the financial statements are not in agreement with the accounting records and returns.

We have no exceptions to report arising from this responsibility.

PricewaterhouseCoopers LLP Chartered Accountants and Statutory Auditors London 05 May 2021

Page 13

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation Statement of Financial Activities for the year ended 31 December 2020

_____________

Note
Income from:
Donations
3
Other trading
activities
3
Investments
4
Total income
Expenditure on
raising funds:
6
Expenditure on
charitable
activities:
Grant funding
7
Total expenditure
Net (expenditure)
/income before
(Loss)/Gain on
investments
(Loss)/Gain on
investments
10
Net (expenditure)/
income
Transfer between
funds
Net movement in
funds
Reconciliation of
funds:
Total funds brought
forward
Total funds
carried forward		 Unrestricted
funds

2020
£
374,971
-
-
374,971
-
527,142
527,142
(152,171)
(41,853)
(194,024)
826
(193,198)
2,945,952
2,752,754		 Restricted
funds
2020
£
55,830
-
-
55,830
-
55,830
55,830
-
-
-
(826)

(826)
826
-		 Total
funds


2020

£



430,801

-

-

430,801


-

582,972
582,972

(152,171)
(41,853)

(194,024)

-


(194,024)


2,946,778
2,752,754		 Unrestricted
funds

2019

£
307,059
184
90

307,333
-

430,056

430,056
(122,723)
92,411
(30,312)
-


(30,312)


2,976,264

2,945,952		 Restricted
funds
2019

£

4,044

18,034

-

22,078

4,044
17,208
21,252
826
-
826

-


826


-

826		 Total
funds

2019

£

311,103

18,218

90

329,411

4,044
447,264
451,308
(121,897)

92,411

(29,486)

-

(29,486)
2,976,264
2,946,778

All activities derive from continuing operations.

The accompanying notes on pages 16 to 27 form an integral part of these financial statements.

Page 14

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation Balance Sheet as at 31 December 2020

_____________

Note
Fixed assets
Investments
10
Total fixed assets
Current assets
Debtors
11
Cash at bank and in hand
11
Total current assets
Creditors falling due within one year
12
Net current assets
Net assets
The funds of the charity
Restricted income funds
13
Unrestricted income funds
13
Total charity funds		 Total funds
2020
£
2,555,571
2,972,511
555 7
1,800
204,829
206,629
(9,446)
197,183
2,752,754
-
2,752,754
**2,752,754 **		 Total funds
2019
£
2,569,184
3,002,003
2 569 184
1,752
401,580
403,332
(25,738)
**377,594 **
2,946,778
826
2,945,952
2,946,778

The accompanying notes on pages 16 to 27 form an integral part of these financial statements.

The financial statements on pages 14 to 27 were approved and signed on behalf of the Trustees by:

F. Bruce Trustee Date: 29 April 2021

Page 15

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Statement of Cash Flows for the year ended 31 December 2020

_____________

Analysis of changes in net debt
2020
£
Cash Flows
Cash and cash equivalents
204,829
(196,751)
Note
Total Funds
2020
£
Reconciliation of movement in funds to net
cash flow from operating activities:
Net movement in funds
(194,024)
Interest on cash deposits
-
Losses / (Gains) on investments
41,853
(Increase) / Decrease in debtors
11
(48)
(Decrease) / Increase in creditors
12
(16,292)
Net cash used in operating activities
(168,511)
Cash flows from investing activities:
Purchase of investment
Sale of investment
10
10
(28,240)
-
Interest on cash deposits
4
-
Net cash (used in) / generated from investing
activities
(28,240)
Change in cash and cash equivalents in the
year
(196,751)
Cash and cash equivalents brought forward
401,580
Cash and cash equivalents carried forward
11
204,829		 Total Funds
2019
£
(29,486)
(90)
(92,411)
3,376
(1)
(118,612)
(31,513)
455,000
90
423,577
304,965
96,615
401,580
2019
£

401,580

Page 16

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation Notes to the financial statements for the year ended 31 December 2020

_________________

General information

The Charity is registered with the Charity Commission in England and Wales. Its registered address is: Invesco, Perpetual Park, Perpetual Park Drive, Henley-On-Thames, Oxfordshire, RG9 1HH

1. Accounting policies

A summary of the principal accounting policies, all of which have been applied consistently throughout the current and the preceding year, are set out below.

a) Basis of preparation and assessment of going concern

These financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes to these financial statements. The financial statements have been prepared in accordance with the Charities SORP (FRS 102) second edition - October 2019 and the Charities Act 2011.

The charity constitutes a public benefit entity as defined by FRS 102.

The financial statements have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following the Charities SORP (FRS 102) second edition effective 1 January 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

The Trustees consider that there are no material uncertainties about the charity’s ability to continue as a going concern. The charity has significant financial reserves at the end of the reporting period which will enable it to continue to perform its charitable activities in future years. The charity receives an annual allocation of funding from Invesco UK and all running costs of the charity are met by Invesco UK. In making this assessment, the Trustees have taken account of the COVID-19 pandemic and the impact this may have on the charity’s portfolio of investments, as well as the impact on Invesco UK, as discussed in the Report of the Trustees.

b) Funds structure

The charity holds during the year both restricted and unrestricted funds. All income raised by individuals to support a specific charity other than The Invesco Cares Foundation is shown in restricted funds, this can be through auctions or individual raising money that is matched by the charity. Unrestricted income funds comprise all other funds, which the Trustees are free to use for any purpose in furtherance of the charitable objects.

c) Income recognition

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received, and the amount of income receivable can be measured reliably.

Donations are recognised when they have been communicated in writing with notification of both the amount and settlement date.

Page 17

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Notes to the financial statements for the year ended 31 December 2020 (continued)

________________

1. Accounting policies (continued)

Income from other trading activities relates to donations raised from a charity auction and other activities and is recognised at the time the donation is made.

Interest on funds held on deposit is included as investment income when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

d) Charitable activities

The expenditure on charitable activities includes grant funding, as shown in Note 7.

e) Expenditure recognition

Expenditure is recognised as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that settlement will be required, and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accrual’s basis. The charity now incurs support costs in the form of accountancy services. The charity does not incur any support costs directly, but staff costs and the audit fee are borne by Invesco UK and donated to the charity.

Grants payable are payments made to third parties in the furtherance of the charitable objects of the charity. All grants are made on the basis of an unconditional grant offer which is accrued once the recipient has been notified of the grant award. The notification gives the recipient a reasonable expectation that they will receive the grant.

f) Donated goods or services

Certain costs are met by Invesco UK on behalf of the charity. These include staff costs, audit fees and costs associated with hosting charitable events. These amounts are included in income as donated services from Invesco UK and are recognised when the charity has entitlement to the income, there is sufficient certainty of receipt and it is probable that the income will be received, and the amount of income receivable can be measured reliably. An equivalent amount is also recognised as an expense within the statement of financial activities under Expenditure on charitable activities.

g) Allocation of support costs

Support costs consist of the auditors’ remuneration and staff costs which are borne by Invesco UK and donated to the charity. Other support costs consist of accountancy services, however this is not donated to the charity, costs are borne by Invesco Cares Foundation. Support costs are allocated pro rata to the grants awarded through unrestricted funds. No support costs are allocated to restricted funds.

The costs of raising funds consist of costs to hire third party suppliers to host events and the purchase of items for a charity auction, as shown in Note 6.

Page 18

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation Notes to the financial statements for the year ended 31 December 2020 (continued)

________________

1. Accounting policies (continued)

i) Financial instruments

The investments within the financial statements are a form of basic financial instrument.

Investments are comprised of an investment in a Pooled Investment fund operated by Invesco UK. Investments are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing market price.

The Charity does not acquire put options, derivatives or other complex financial instruments.

The Statement of Financial Activities includes the net gains and losses arising on revaluation throughout the year.

j) Income tax exemption

The Invesco Cares Foundation, as a registered charity, is exempt from income tax under part 10 of the Income Tax Act 2007 or Section 256 of the Taxation of the Chargeable Gains Act 1992, to the extent that surpluses are applied to its charitable purposes.

k) Investments

The Foundation has elected to apply the provisions of Section 11 and Section 12 of UK GAAP FRS102 in full Investments in pooled funds are included on the Balance Sheet at fair value which is their closing bid price on the current or previous trading day as provided by the investment manager.

Realised gains and losses on disposals in the year and unrealised gains and losses on investments at the Balance Sheet date are included in the Statement of Financial Activities for the relevant underlying funds. All investment income is treated as unrestricted.

l) Critical estimates and judgements

In preparing these financial statements, the Trustees have made judgements, estimates and assumptions that affect the application of the charities accounting policies and the reported assets, liabilities, income and expenditure and the disclosures made in the financial statements. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The Trustees consider that there are no critical estimates or judgements. However, the most significant items of judgement identified by the Trustees are as follows.

The only significant estimate involved in the preparation of these financial statements is the allocation of a proportion of employee time from Invesco UK to the charity, which is shown as donated services from Invesco UK and as support costs. The values allocated are based on an estimate by individual of the proportion of total time spent on Invesco Cares; details of this allocation are included in Note 5.

Page 19

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Notes to the financial statements for the year ended 31 December 2020 (continued)

________________

1. Accounting policies (continued)

The only estimate that has a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next financial year is related to the valuation of the Foundation’s investments. Explanation of the method for determining the valuation of investments is included within the investments accounting policy above and within note 10. The valuation of the investments held used the unit price provided by Invesco Fund Managers Limited, the Authorised Corporate Director (“ACD”) of the Global Targeted Returns fund as at 31 December 2020. The ACD is considered to have sufficient and appropriate valuation controls in place to determine the unit price of the fund based on the underlying holdings.

2. Related party transactions and Trustees’ expenses and remuneration

The Trustees all give freely of their time and expertise without any form of remuneration or other benefit in cash or kind (2019: £nil). No expenses were paid to the Trustees during the year (2019: £nil).

The Trustees have all been directors or have been recent employees of Invesco UK Limited, the company which also provides an annual donation to the charity and donates certain services to the charity.

During the year, the charity received £130,830 from Invesco UK (2019: £75,000). The charity also received Donated services valued at £90,042 from Invesco UK during the year (2019: £78,535) and £28,240 from Invesco Fund Managers Limited (2019: £31,513) in relation to a management fee rebate for the investment fund as shown in Note 3.

The charity receives donations from other Invesco Group companies for certain legacy client money. During the year, the charity received £181,689 of legacy client money donations (2019: £126,055) which was paid to the charity by Invesco Fund Managers Limited. There are no outstanding balances for these transactions.

3. Income from donations and other trading activities

Donations received from
Invesco UK
Services donated by
Invesco UK
Invesco Fund Managers
Limited fee rebate
Legacy client money
donations
Total income from
donations		 Unrestricted
funds
2020
£

75,000
90,042
28,240
181,689
374,971		 Restricted
funds
2020
£
55,830
-
-
-
55,830		 Total
funds

2020
£


130,830
90,042
28,240
181,689
430,801		 Unrestricted
funds


2019

£
75,000
74,491
31,513
126,055

307,059		 Restricted
funds
2019

£

-

4,044

-

-

4,044		 Total
funds

2019

£

75,000

78,535
31,513

126,055

311,103

Page 20

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Notes to the financial statements for the year ended 31 December 2020 (continued)

________________

3.
Income from donations and other trading activities (continued)
4.
Income from investments
Interest on cash deposits


Christmas auction
fundraising event
-
-
-
184
Other trading activities
-
-
-
-
Total income from
other trading activities
-
-
-
184		 3.
Income from donations and other trading activities (continued)
4.
Income from investments
Interest on cash deposits


Christmas auction
fundraising event
-
-
-
184
Other trading activities
-
-
-
-
Total income from
other trading activities
-
-
-
184		 3.
Income from donations and other trading activities (continued)
4.
Income from investments
Interest on cash deposits


Christmas auction
fundraising event
-
-
-
184
Other trading activities
-
-
-
-
Total income from
other trading activities
-
-
-
184		 2020
£
-

-


15,908

2,126

18,034		 2020
£
-

-


15,908

2,126

18,034		 16,092
2,126
18,218
2020
£
-
-		 2019
£
90
90

5. Allocation of support costs

A breakdown of support costs is shown in the table below.

Basis of apportionment
Staff costs (Note 8)
Based on grant value
Auditors’ remuneration (Note 9)
Based on grant value
Accountancy
Based on grant value
Total support costs		 2020
£
48,081
25,500
14,761
88,342		 2019
£
54,491
20,000
7,700
82,191

The total support costs attributable to charitable activities is then apportioned pro rata to the value of grants awarded as shown in the table below. The charity allocates all support costs to unrestricted funds.

Grants to small local charities
Grants to Charity of the Year
Grants for employee matching
Total allocated		 2020
£
29,672
53,730
4,940
88,342		 2019
£
26,039
50,472
5,680
82,191

Page 21

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Notes to the financial statements for the year ended 31 December 2020 (continued)

________________

6. Expenditure on raising funds

Direct Support Total Direct Support Total
costs costs costs costs
2020 2020 2020 2019 2019 2019
£ £ £ £ £ £
Funded from restricted funds:
Charity auction - - - 4,044 - 4,044

Due to the impact of COVID-19 pandemic no support costs have been allocated in 2020 fundraising activities as no events have taken place.

7. Grant funding

The charity undertakes its charitable activities through grant making and awarded grants to a number of charities and institutions in furtherance of its charitable activities.

Grants to
institutions
2020
£
Funded from unrestricted funds:
Grants to small local
charities
147,382
Grants to Charity of the
Year programme grants
266,879
Grants for employee
matching
24,539
Total funded from
unrestricted funds
438,800
Funded from restricted funds:
Grants to Charity of the
Year
55,830
Total grant funding of
activities
494,630		 Support
costs
Total
Grants to
institutions
Support
costs
Total
2020
2020
2019
2019
2019
£
£
£
£
£
29,672177,054
110,206
26,039136,245
53,730320,609
213,618
50,472264,090
4,940
29,479
24,041
5,680
29,721
88,342527,142
347,865
82,191 430,056
-
55,830
17,208
-
17,208
88,342
582,972
365,073
82,191
447,264**		 Support
costs
Total
Grants to
institutions
Support
costs
Total
2020
2020
2019
2019
2019
£
£
£
£
£
29,672177,054
110,206
26,039136,245
53,730320,609
213,618
50,472264,090
4,940
29,479
24,041
5,680
29,721
88,342527,142
347,865
82,191 430,056
-
55,830
17,208
-
17,208
88,342
582,972
365,073
82,191
447,264**

Page 22

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Notes to the financial statements for the year ended 31 December 2020 (continued)

________________

7. Grant funding (continued)

Grants paid to small local charities and for employee matching are paid to a number of different charitable institutions. No institution listed as a small local charity has individually received a material level of funding from the charity. The largest single donation made to one institution was £53,500 to the Campaign Against Living Miserably (2019: £30,000 to Campaign Against Living Miserably). These payments are part of an enhanced Charity of the Year selection process which sees donations made to all qualifying nominated charities to support employee engagement in the campaign however due to the COVID-19 pandemic a decision was made to keep the exiting charity of the year for 2021 - the funding for the charity of the year selection process was replaced with the recovery fund.

Budgeted monies for our Charity of the Year nomination process were re-purposed and split between 39 charities, as nominated by staff, to assist with shortfalls in funding they experienced this year. 39 charities each received £5,555 through this campaign to continue our commitment of public benefit and support those most in need at this time.

The Charity of the Year for 2020 was CALM (2019: CLIC Sargent).

Grants to institutions have been awarded as follows:

Institution
CALM
Grants to 110 other charities
Total 2020 Grants		 2020
£
122,105
372,525
494,630

Grants paid out to the other 110 charities are below the value of £6,000. Out of the 110 charities 39 of those charities during the financial year were paid an amount of £5,555. The remaining charities were paid between £500 - £5,000 which is in line with prior years disclosure.

Institution
CALM
Haven House
Bloodwise
CLIC Sargent
Helen & Douglas House
Berkshire Women’s Aid
Dementia UK
Royal Brompton Hospital
Great Ormond Street Hospital
Grants to 96 other charities
Total 2019 Grants		 2019
£
30,000
30,000
30,000
29,454
11,563
10,943
10,000
10,000
6,195
196,918
365,073

Page 23

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Notes to the financial statements for the year ended 31 December 2020 (continued)

________________

8. Analysis of staff costs and remuneration of key management personnel

Salaries and wages
Other employee benefits
Social security costs
Other pension costs		 2020
£
36,521
2,612
4,099
4,849
48,081		 2019
£
40,395
4,284
4,731
5,081
54,491

The average number of employees during the year was 1 (2019: 1) with all employee time involved in providing support to charitable activities and the governance of the charity. Amounts shown above are the costs of those staff which is recognised as a donation of services from Invesco UK and corresponding expense. No employees had employee benefits in excess of £60,000 during the year (2019: none).

The charity considers its key management personnel comprises the Trustees. No remuneration or expenses were paid to the Trustees during the year.

9. Auditors’ remuneration

The auditors’ remuneration is borne by Invesco UK and is treated as a donated service for the charity, recognised as income and a corresponding expense.

The audit fee payable for the audit of the financial statements is £25,500 excluding VAT (2019: £20,000).

10. Fixed asset investments

Fair value at 1 January
Purchased investments
Disposals at carrying value
Net Investment (loss)/gain
Fair value at 31 December		 2020
£
2,569,184
28,240
-
(41,853)
2,555,571		 2019
£
2,900,260
31,513
(455,000)
92,411
2,569,184

Page 24

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Notes to the financial statements for the year ended 31 December 2020 (continued)

________________

10. Fixed asset investments (continued)

The opening market value of the investments at 31 December 2020 was £2,569,184 (2019: £2,900,260). Purchases are comprised of investment by the Charity of £nil (2019: £nil) and donated asset management services of £28,240 (2019: 31,513) which were received in the form of gifted additional units in the investment fund.

At 31 December 2020, the Charity held investments to the value of £2,555,571 (2019: £2,569,184). The investment is held entirely in a Pooled Investment Fund operated by Invesco UK. As this is an asset held in an investment vehicle for which an active price is available from the investment manager, this is classified as Level 1 in the fair value hierarchy. This means that it is valued using quoted prices in active markets for identical assets. The historical cost of the investments as at 31 December 2020 was £2,597,424 (2019: £2,589,151). In the financial year ending 31 December 2020, the investment saw an equivalent annual return of -1.63% (2019: 3.1%).

Risks arising from financial instruments

The different forms of risks in relation to financial instruments have been assessed as follows:

Credit risk: The carrying value above represents the Foundation’s maximum exposure to risk and therefore further disclosure is not required.

Liquidity risk: Liquidity risk is the risk that the Foundation may be unable to generate sufficient cash to meet its payment obligations as they fall due. The relatively liquid nature of the investments held by the Foundation are such that the risk of insufficient liquidity is low.

Market risk: There exists a risk linked exposure to financial markets which could lead to a decline in the value of the fund into which the Charity invests. To manage this risk, the Charity is invested in the Invesco Global Targeted Returns fund which is a single pooled fund which is invested across a diverse range of assets. This diversified holding spreads the risk of market movements.

As the charity is only invested in the single pooled fund, if there is a 10% fall in the price of the Invesco Global Targeted Returns fund, this would lead to a 10% decline in the value of the Foundation's investments which is equivalent to £255,557 as at 31 December 2020 (2019: £256,918).

11. Analysis of current assets

Trade debtors
Cash at bank		 2020
£
1,800
204,829
206,629		 2019
£
1,752
401,580
403,332

Page 25

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Notes to the financial statements for the year ended 31 December 2020 (continued)

________________ 12. Creditors falling due within one year

Grants payable
Accruals		 2020
£
1,646
7,800
9,446		 2019
£
18,038
7,700
25,738

13. Analysis of charitable funds

2020
Unrestricted funds
Restricted – Charity of
the Year
Total funds
2019
Unrestricted funds
Restricted – Charity of
the Year
Total funds		 Balance
brought
forward
£
2,945,952

826
2,946,778
Balance
brought
forward
£
2,976,264
_-
2,976,264		 Income
Expenditure
Losses on
investments
Transfers
£
£
£
£
374,971
(527,142)
(41,853)
826
55,830
(55,830)
-
(826)
430,801
(582,972)
(41,853)
-
Income
Expenditure
Gains on
investments
Transfers
£
£
£
£
307,333
(430,056)
92,411
-
22,078
(21,252)
-
-
329,411
(451,308)
92,411
-		 Fund
carried
forward
£
2,752,754
-
2,752,754
Fund
carried
forward
£
2,945,952
826
2,946,778

Page 26

DocuSign Envelope ID: 0EA9CE26-93BD-40F8-B1DA-ADB41518C6AB

The Invesco Cares Foundation

Notes to the financial statements for the year ended 31 December 2020 (continued)

________________ 14. Analysis of net assets between funds

Investments
Debtors
Cash at bank
Current liabilities
Net assets		 Unrestricted
funds

2020
£
2,555,571
1,800
204,829
(9,446)
2,752,754		 Restricted
funds
2020
£

-

-

-
-

-		 Total funds
2020
£

2,555,571
1,800
204,829
(9,446)
2,752,754		 Unrestricted
funds


2019

£
2,569,184
-
401,580
(7,700)

2,963,064		 Restricted
funds
2019
£

-

1,752

-
(18,038)

**(16,286) **		 Total
funds

2019

£
2,569,184

1,752

401,580
(25,738)
2,946,778

Page 27