## **Trustees’ Annual Report for the period** **From Period start date 01/01/2024 To Period end date 31/12/2024** ## **Charity name: Alsager Educational Foundation** ## **Charity registration number: 525834** ## **Objectives and Activities** ||SORP reference|| |---|---|---| |Summary of the purposes of
the charity as set out in its
governing document|Para 1.17|To award grants and financial assistance
for tools, equipment, books, clothing to
enable beneficiaries on leaving school to
prepare for or assist their entry into a trade
or profession. To enable beneficiaries to
travel abroad to pursue their education. To
provide assistance for recreation and social
and physical training including the provision
of coaching in athletics, sports and games
for those who are in education. The
provision of financial assistance to enable
beneficiaries to study music or other arts.
Within the limits prescribed by this scheme,
the Trustees shall have full power to make
rules for the award of grants, or other
benefits, including rules as to the value and
period of tenure of the awards, and the
qualifications, and method of ascertainment
and selection of beneficiaries.| |Summary of the main
activities in relation to those
purposes for the public
benefit, in particular, the
activities, projects or
services identified in the
accounts.|Para 1.17 and
1.19|The main activity is awarding financial
grants to those in education in Alsager for
individual, group and community projects in
the grant criteria of the Alsager Educational
Foundation.| |Statement confirming
whether the trustees have
had regard to the guidance
issued by the Charity
Commission on public
benefit|Para 1.18|The guidance is reviewed annually, it is
provided to all new Trustees, and is sent
out annually to all Trustees.| ## **Additional information (optional)** ## You may choose to include further statements where relevant about: SORP reference Para 1.38 Policy on grant making Para 1.38 Policy on social investment including program related investment Para 1.38 Contribution made by volunteers Other ## **Achievements and Performance** ||SORP reference|| |---|---|---| |Summary of the main
achievements of the charity,
identifying the difference the
charity’s work has made to
the circumstances of its
beneficiaries and any wider
benefits to society as a
whole.|Para 1.20|The main achievements can be seen in the
feedback provided to the Trustees in terms
of written evaluations, photographs and
accounts which show how the grants were
used for the benefits gained by the
recipients. The Guidelines for
Consideration of Funding Requests item 2d
requires recipients of the grants to provide
reports following the activity. Specific
examples from individuals, schools and
community projects can be provided on
request in the minutes of meetings.| ## **Additional information (optional)** You may choose to include further statements where relevant about: |
Achievements against
objectives set|
Para 1.41|| |---|---|---| |Performance of fundraising
activities against objectives
set|Para 1.41|| |||| Investment performance Para 1.41 against objectives Other ## **Financial Review** |**Financial Review**||| |---|---|---| |Review of the charity’s
financial position at the end
of the period|Para 1.21|Representatives from ‘Quilter Cheviot
Investment Management’ report on the
investments of the charity.
There are also quarterly updates which are
sent to the Trustees.
The position on 1 Jan 2025; total value =
£773,907 Annual Estimate yield = 2.8%.
Annual Estimate total return=6.4%| |Statement explaining the
policy for holding reserves
stating why they are held|Para 1.22|Reserves are held for the stewardship of
the charity funds.| |Amount of reserves held|Para 1.22|Jan 2025 reserves=£773,907| |Reasons for holding zero
reserves|Para 1.22|| |Details of fund materially in
deficit|Para 1.24|| |Explanation of any
uncertainties about the
charity continuing as a going
concern|Para 1.23|| ## **Additional information (optional)** You may choose to include further statements where relevant about: |
The charity’s principal
sources of funds (including
any fundraising)|
Para 1.47|| |---|---|---| |Investment policy and
objectives including any
social investment policy
adopted|Para 1.46|| |A description of the principal
risks facing the charity|Para 1.46|| |Other||| ## **Structure, Governance and Management** |Description of charity’s
trusts:||| |---|---|---| |Type of governing document
(trust deed, royal charter)|Para 1.25|Charity Foundation Document| |How is the charity
constituted?
(e.g unincorporated
association, CIO)|Para 1.25|Alsager Education Foundation charity
Foundation document.
The charity| |Trustee selection methods
including details of any
constitutional provisions e.g.
election to post or name of
any person or body entitled
to appoint one or more
trustees|Para 1.25|The body of Trustees shall, when complete,
consist of fourteen persons, that is to say;
One ex-officio Trustee, being the vicar for
the time being of Christ Church Alsager.
Four Representatve Trustees to be
appointed;
Two by Christ Church PCC
One by Alsager Town Council and
One by Cheshire East Council.
Nine other Trustees to be appointed.| ## **Additional information (optional)** ## You may choose to include further statements where relevant about: |
Policies and procedures
adopted for the induction
and training of trustees|
Para 1.51|| |---|---|---| |The charity’s organisational
structure and any wider
network with which the
charity works|Para 1.51|| |Relationship with any related
parties|Para 1.51|| |Other||| ## **Reference and Administrative details** |Charity name|Alsager Educational Foundation| |---|---| |Other name the charity uses|| |Registered charity number|525834| |Charity’s principal address|2 Close Lane
Alsager
St7 2JP| ## **Names of the charity trustees who manage the charity** |1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20|**Trustee name**|**Office (if any)**|**Dates acted if not for whole**
**year**|**Name of person (or body) entitled**
**to appoint trustee (ifany)**| |---|---|---|---|---| ||Rev Daran Ward|Chairman||| ||John Williams|Vice Chair||| ||Debbie Preston|Secretary/Treasurer||| ||RegKain|||Town Council Rep.| ||Rod Fletcher|||Cheshire East Rep| ||KerryHulson|||Christ Church Rep| ||Andrew Warren|||Christ Church Rep| ||Christine Richards|||| ||Carolyn Green|||| ||Rev Michelle
Goodrich|||| ||Peta Ellis|||| ||Jonathan Masters|||| ||Mathew Sutton|||| |||||| |||||| |||||| |||||| |||||| |||||| |||||| ## – Corporate trustees names of the directors at the date the report was approved **Director name** Name of trustees holding title to property belonging to the charity **Trustee name Dates acted if not for whole year** ## **Funds held as custodian trustees on behalf of others** Description of the assets held in this capacity Name and objects of the charity on whose behalf the assets are held and how this falls within the custodian charity’s objects Details of arrangements for safe custody and segregation of such assets from the charity’s own assets ## **Additional information (optional)** ## **Names and addresses of advisers (Optional information)** **Type of Name Address adviser** **Name of chief executive or names of senior staff members (Optional information)** ## **Exemptions from disclosure** Reason for non-disclosure of key personnel details ## **Other optional information** ## **Declarations** **The trustees declare that they have approved the trustees’ report above.** **Signed on behalf of the charity’s trustees** **Signature(s)** Debbie Preston **Full name(s)** Deborah Preston **Position (eg Secretary,** Secretary **Chair, etc)** **Date** 02/04/2025 |**Alsager Education Foundation**
**Year Ended 30th June 2024**
**Income & Expenditure Statement**
**Income**
School Buildings Rental
CCLA Investment Dividends
Alsager Music Foundation
Quilter Cheviot Investment Dividends
**Expenditure**
Grants Made
Administration Expenses
**Net Deficit for the Year**
**Balance Sheet**
**Investments**
CCLA Investments
Quilter Cheviot Investments
**Cash & Bank**
Natwest Bank Accounts
**Capital & Reserves**
Balance b/f
**Net Deficit for the year**
**Capital Investment Fees & Charges**
Quilter Cheviot
**Capital Gain / (Loss)**
CCLA Investment
Quilter Cheviot|**2024**
**£**
2,500.00
6,957.32
897.09
17,712.94
**28,067.35**
32,635.00
2,100.00
**34,735.00**
**(6,667.65)**
248,066.92
765,719.00
3,118.64
**1,016,904.56**
937,598.50
(6,667.65)
(8,646.42)
21,224.65
73,395.48
**1,016,904.56**|**2023**
**£**
2,500.00
6,901.21
14,914.16
**24,315.37**
25,050.00
1,600.00
**26,650.00**
**(2,334.63)**
226,842.27
698,257.00
12,499.23
**937,598.50**
942,947.48
(2,334.63)
(8,681.58)
5,129.81
537.42
**937,598.50**|**2022**
**£**
2,500.00
6,708.62
15,481.62
**24,690.24**
25,590.00
900.00
**26,490.00**
**(1,799.76)**
221,712.46
714,187.00
7,048.02
**942,947.48**
1,038,297.46
(1,799.76)
(9,680.46)
(13,308.60)
(70,561.16)
**942,947.48**|**2021**
**£**
2,916.68
6,394.62
11,987.76
**21,299.06**
28,700.00
900.00
**29,600.00**
**(8,300.94)**
235,021.06
798,947.00
4,329.40
**1,038,297.46**
920,702.67
(8,300.94)
(9,000.00)
30,098.49
104,797.24
**1,038,297.46**| |---|---|---|---|---| I have examined the Income & Expenditure and Balance Sheet for the year ended 30th June 2024 and in my opinion these records represent a true and fair record of the Alsager Education Trust T D Smith BFP FCA 1st August 2024 ## **Trustees of the Alsager Education Foundation** ## **Comments of the Examination of the Accounting Records** With the changeover in Secretary there appears to have been some confusing relating to which year the admin fee payments relate to, resulting in their misstatement. Together with increase in amount payable to the new secretary. As a result, the figures have been restated for the prior years reflected the old levels of payments of £800 plus £100 a year and the new level £1,500 plus £100. Further the 2024 also includes the agreed £500 payment to the former Secretary. Given the above and to better understand the recent volatility in investment returns I have shown the current year plus the previous 3 years. Having been involved in very similar Investment funds both professionally and privately in recent years, the current method of using Managed Funds may not be best suited to the foundation requirements. The article below highlights the key points: ## **Index Tracker vs Managed Funds** For many years, there has been a big discussion in the world of finance as to whether index trackers are a better way to invest than managed funds. It’s sometimes called the Active vs. Passive debate. The evidence is fairly clear cut, however, and it shows that index trackers beat the vast majority of managed investment funds over the long term. It’s certainly true that the best managed funds will do better than an index tracker, even over long periods. However, the difficulty is identifying which ones are the ‘best’. You’ve probably seen the ubiquitous disclaimer that “Past performance is no guarantee of future results” — it’s there for a good reason! ## **The evidence on the performance of managed investment funds** One of the most famous pieces of research in this area is called S&P Indices Versus Active Funds (SPIVA). It looks at funds across the US, Europe, and many other major markets. Each year, the SPIVA reports show that somewhere in the region of 75% to 85% of funds fail to beat their benchmarks over 10-year periods, when you adjust for funds that didn’t survive for the whole decade. The precise numbers vary when you drill down into specific fund sectors, but the overall message is always very consistent across all regions and company sizes. An index tracker will tend to trail its benchmark by a small amount because of its running costs, but the message from SPIVA – and all the other research carried out in this area in the last few decades – is clear: the average index tracker will tend to outperform the average managed investment fund ## **Why do index trackers tend to beat managed investment funds?** Taken together, managed funds essentially _are_ the market. This means that collectively they hold their investments in pretty much the same proportion as an index tracker does. Before taking costs into account therefore, you’d expect a managed fund and an index tracker to produce the same sort of return. When you take costs into account, however, there are two key differences between index trackers and managed funds. Firstly, charges for managed funds tend to be a lot higher than index trackers. A typical managed fund charges around 1% a year, whereas the average index tracker is probably nearer 0.2% This difference may sound small, but it compounds each year and gives index trackers a huge advantage over the long term. The second difference is that managed funds tend to buy and sell their underlying investments more frequently. It’s reckoned that the typical UK fund buys and sells around half of its holdings each year — so its portfolio turnover, as it is called, is around 50%. The dealing costs and stamp duty tax associated with this give managed funds an additional handicap to overcome. Index trackers tend to have an annual portfolio turnover of less than 20%. Given very long-term nature of the Education Foundation and its Investments the market evidence demonstrates Index Tracker should provide better returns. I am not an expert on this and would recommend Quilter Cheviot or an independent person provide their own opinion on Index Tracker vs Managed funds.