ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Charlty No - SC043985 Established under Deed of Trust dated 1 May 20131 REPORT AND FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2024
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST {Establlshed under Doed of Trust datod 1 May 2013) Contents Page Report by the Trustees Report of the Independent Auditors ststement of Financial Activities 10 Balance Sheet Statement of Cash Flows 12 Notes to the Financial Statements 13-17 List of Trustees and Advisers 18
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Established under Deed of Trust dated 1 May 2013} REPORT BY THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2024 The Trustees present their report along with the financial statements of the Trust for Ihe year ended 3151 December 2024. Strncture, Governanco and Management The Royal ConseNatoire of Scotland Endowment Trust IRCS Endowmeni Trust) was estsblished under Deed of TTUSt on 1 May 2013 and is a regISted Scottish Charity - number SC043985. The Deed provides that the Trustees shall never be less than three in number and In addition to the power vested in the Trustees to assume such other person or persons as they may detennine to act as Trustees, the Royal Conservatoire of Scolland {RCS} shall have power to appoint up to one-half of Ihe total number of Trustees. excluding always the Chair of the Trustees who shall be appointed from Trustees not appointed by the RCS. Th8 Principal of the RCS Shall at all limes act as an ex-officio Trustee. The RCS irrevocably renounced the said power of appointment in March 2021. The Trustees listed on page 18 have $eNed during the whole of the period from 1 January 2024 to the dale of this report unless otherwise slated. The Trustees keep the skill requirement of the Trustee body under review and in the event that a Trustee retires, or additK)nal new Trustees are required nominations are considered al full meetings of the Trustees. The induction process for any newly appointed Trustee comprises an initial meeting with the Chair, the Secretary and TreaSur and the Principal. The welcome pack includes a brief history of the Trust, a copy of the Trust Deed, and a copy of the financial statements and Minutes for the last 3 years. The Trustees nOMllY meet four times a year. At these meetings the Trustees agree the broad strategy and areas of activity forthe Trust, including consideration of grant making. investment. reserves and risk management policies and perfomiance. The day-to-day administration of the affairs of the Trust is undertaken by appropriate personnel within the RCS overseen by the Secretary and Treasurer who has an executive role wrthin the RCS. Obieclivos and A1vItIeS The Trustees shall hold the Endowment Fund and the Income thereof for such charitable purposes as they in their uncontrolled discretion shall from time to time think frt, including without prejudice, to the foregoing generality and without restricting the Trustees in any way in the exercise of their discretionary powers,. and by way of a guide lo Truslees for the support of the RCS directly or indireclly through other Charitable Trusts in such ways as the Tnjslees deem appropriale. The Trustees may also provide grants and bursaries lo deserving students and graduates ofthe RCS or the Royal Scottish Academy of Music and Drama, studying at the RCS or elsewhere. The TNstees are empowered to arrange for direct sponsorship of any particular scholarship, bursary, grant or performance by commercial or private companies. organisatiolls or individuals (herein called sponsors) and to seek out, inforn and advise sponsors as to the purposes of the Endowment Fund and as to how the sponsors can best assist in the promotion of the Endowmenl Trust purposes.
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Established under Deed ol Trust dated 1 May 2013) The Deed gives the Trustees full discretionary power to accumulate the income of Ihe Endowment Fund for a period of twenty-one years or to make such payments from income of the Fund for the purposes defined in the Deed of Trust. During the year the Trust made donations to RCS to assist the institution as it engages in a range of initiatives to improve its future financial sustainability and lo support the expansion of fundraising capacity within the conseat01re. The Trust also continued to donale lo RCS Trust to supplement the distribution from the ABRSM to that Trust, which is still in a process of post- pandemic recovery. Consistent wilh the objectives of the Trust. this donation assisted the RCS Trust in the provlsion of scholarship supr)ort to sludents of the RCS. Achievements and perforniance Donation$ to RCS as noted above amunted to £1,836,696 and the donation to RCS Trust amounted to £254,716 during the year. The Trust also continues to provide a contingency fund lo the Principal of RCS of £20,000. Taken together these donations required a partial liquidalion of the investment portfolio. The perfom)ance of the investment portfolio for the year is noted below. Financial review During the year investment income and bank interesl of £307,953 {2023'. £323.295) were received and added to the Fund. Total outgoings for the year amounted to £2,167.27712023.' £674,905) which included grants tothe RCS of£1,856,69612023'. £20,000) and lo the RCS Trust of£254,716 {2023'. £600,000). After accounting for realised and unrealised investment gains aggregating £811,13312023'. gains of £588,451) as detailed below, Ihe result for the year was a net total decrease in funds of £1,048,191 {2023.' increase in funds of £236,841). Rlsk Management The Trustees have considered the major risks to which the Trust is exposed and have reviewed those risks and established systems and procedures to manage those risks. The Trust is largely dependent on investment returns for its income stream and the Trustees consider the volalility of market perf0mlan lo be the major risk. Investment strategy and performance are monitored closely by the Trustees at each meeting. Outlook and the future of the Trust The Trustees will continue to 5UPPOrt the work of the RCS and its students through direct financial contributions, which at the momenl mainly consisls of support for RCS to invest in its fundraising capacity and through management of the Endowment Fund to ensure longer temi sustainability of the Trust. Grant making policy The Trust provides such additional SLJPPOrt to the RCS on an ad hoc basis as the Trustees consider necessary and also provides a contingency fund to the Principal of the RCS each year to finance worthy projects that cannot be funded from the RCS'S on-going budget. A donalion Is made each year to the RCS in recognition of the administration WOTk that is carried out on behalf of the Trust and of the Royal Conservatoire of Scodand Infrastructure Trust.
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Established under Deed of Trust dated 1 May 2013) Investment powers• policy and porformanco The Trustees, investment powers are govemed by the Trust Deed, whlch permits Ihe Trustees to invest in stocks, bonds. securities and other investmerrts whether or not quoted on any recognised stock exchange. The Trust has the power to accumulate income until 2034. As the Trustees wish to add to the value of the Fund and provide on-going financial support for RCS, the investment policy is to seek a balan btheen capital growth and income. To this end the Trust has appointed an investment manager. The Trust's inveslments have continued to be managed in confomiity with the current policy and the Trust Deed. Transactions for the year resulted in realised gains of £234,543 12023.. realised gains of £42,207} and unrealised gains for the year of £576,590 {2023.' unrealised gains of £546,244). The market value of the portfolio at 31 December 2024 stands at £1,545,332 higher Ihan book cost {2023'. £1,206,096 higher than book cost). A fomial method of perfOan monitoring of the investment manager has been agreed and implemented. The perfomance of Ihe investment portfolio on a total return basis for the year to 31 December 2024 was +9.6Yo (Year to 31 Dernber 2023.. +8.1 /¢J) compared with a benchmark of +13.1OA (Year to 31 December 2023.. +11.1 /0). The extreme concentration in global equity markets with a small number of technology stocks driving markets higher is nol reflected in a well-diversified discretionary investment portfolio which results in the current lag relative to the benchmark. Reserves Pollcy The Trustees are mindful of the important role which the Trust can play in assisting the RCS to achieve its strategic objectives. To be able to provide as much strategic financial support as possible, the Trustees currently have a policy of accumulating any sutplus annual income, after agreed commrtments. and add such surplus to General Funds. Trustees, Insurance The Trust has arrangements for Directors and Officers liability insurance cover. Going Con¢orn In their assessment of going concern Ihe Trustee5 have Considered the impact on the business of the currenl economic climate. The Trust may be impacted in the longer term by Ihe extent to whh the Trustees agree to provide support to the RCS which has additlonal financial challenges at this time and to the RCS Trust. Having reviewed budgets and cash flows. considered management accounts and available workin9 capilal the Truslees have a reasonable expectation that the TTUSt ha$ adequate resources to continue in operational existence for the foreseeable future. The Trustees continue to believe the going ¢on¢efn basis of accounting appropriate in preparing the financial statements. There are known material uncertainties about the Trusl'5 ability lo continue as a going concem.
ROYAL CONSERVATQIRE OF SCOTLAND ENDOWMENT TRUST (Estsblished under Deed of Trust dated 1 May 2013) Trustees, rosponslbllltles In relatlon to tho flnanclal statements The Trustees are responsible for preparing a trustees. annual report and financial statements in accordance with applicable law and United Kingdom AccountingStand8rds (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in Scot12nd requires the TTuslees to prepare financial statements for each year which give a true and falr view of tho state of affairs of the charity and of the incoming resources and application of resoLsrces, of the charty for that perbjd. In preparing the financial statements, the Trustees are required to: select suitable accounting policies and then apply them consistently.. obseNe the methods and principles in the applic2ble Charities SORP., make judgements and estimates that are reasonable and pnjdent; state whether applicable accounting standards have been followed, sublect to any material departures disclosed and explained in the financial staternents., prepare the financial statements on the going concem basis unless it is inappropriate to presume that the charity will continue in business. The Trustees are restM)nsible for keeplng proper accounllng records that dlsclose wlth reasonable accuraoy at any time the financlal posltion of the charlty and to enable them to ensure that the financial statements comply wllh Ihe Chant'es and Trustee Investment Iscodand) Act 2005, the Charity Accounts {Scotlandl Regulations 2006 (as amended). and th8 provisions of the Trust deed. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and oiher ITgularItIes. Acknowledgement The Trustee5 lake this opportunity lo thank the Principal of the RCS and all staff inVoed in the administration of the Tlust. Date..
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Established under D1 of Trust dated 1 May 2013 Independent Auditor's Report to the Trustees of Royal Conservatoire of Scotland Endowment Trust Opinion on financlal statements We have audited the financial statements of The Royal Conservatoire of Scotland Endowment Trust I'the Charity.) for the year ended 31 Decernber 2024 which comprise the Statement of Financial Acttvities and Income and Expenditure Account, the Balance Sheet. Statement of Cash Flows, related notes and a summary of signfficant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practi1, including FRS 102 "The Financial Reporting Stsndard applicable in the UK and Republic of Ifeland" This report is made solely to the charity's trustees, as a body, in accordance with Section 4411) (c) of the Charities and Truslee Investment {Scotlandl Acl 2005 and regulation 10 of the Charities Accounts {Scotland} Regulalions 2006 {a$ amended). Our audit work has been undertaken so that we mighl state to Ihe charty's trustees those matters we are required to slate to them in an auditors, report and for no other purpose. To the fullest extent permitted by law. we do not accept or assume responsibility to anyone olher Ihan the charity and ils trustees as a body, for our audit work, for this report, or for the opinions that we have fomied. In our oplnion the financial statements.. give a true and fair view of the state of the charity's affairs as al 31 December 2024 and of its incoming resources and application ol sources. for the year then 8nded-, have been properly prepared in accordance with United Kingdom Genera51y Accepted Accounting Practice., and have been prepared in accordance wilh Ihe requirements of the Charities and Trustee Investment (Scollandl Act 2005 and regulations 6 to 8 of the Charities Accounts (Scollandl Regulations 2006 las amended). Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK} (ISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance wilh these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to going ¢onc¢rn We have nothing to report in respect of the following matters in relalion to which the ISAS (UK) require us to report to you where.. the trustees, use of the going concem basis of accounts'ng in the preparation of the financial statements is not appropriate: or the trustees have not disclosed in the financial statements any identified material uncertainties that may cast sigr)ific8nl doubt about the charity's abilty to continue to adopt the going concem basis of accounting for a period of al least e1ve months from the date when the financial statements are authorised for issue.
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Established under Deed of Trust dated 1 May 2013) Other Inforniation The trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financSal statements and our Report of the Independent Auditors thereon. Our opinion on the financial statements does not cover the other infomation and we do nol express any form of assurance conclusion thereon. In connection wlh our audit of the financial slalements, our responsibility is to read the other information and, in doing so, consider whether the other Infomialion is materially inconsistent with the financial statements or our knowledge obtained in the audit or olhenNise appears to be matenally misstated. If, based on the work we have perfomied. we conclude that Ihere is a material misstatement of this other infornation, we are required to report that fact. We have nothing to report in this regard. Matters on whlch we are requlred to roport by ex¢eptlon In the light of the knowledge and understanding of the charty and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees. We have nothing to report in respect of the following matters where the Charilies Accounts (Scotland) Regulations 2006 (as amended) requires us lo report to you rf, in our opinion: the charity has not kept proper and adequate accounting records or returns adequate for our audit have not been received from branches not visited by us,. or the financial statements are nol in agreement with the accounting records and returns- or certain disclosures of trustees. remuneration specified by law are not made; or we have not received all the information and explanations we require for our audit. Rosponsibllltles of Irusteos As explained more fully in the Statement of Trustees Responsibilities set out on page five, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees detemiine is necessary to enable the preparation of financial ststements that are free from material misstatement. whether due lo fraud or error. In preparing the financial statements. the trustees are responsible for assessing the charitrfs ability lo continue as a going concem, disclosing, as applicable, matters related to going concern and using the going conrn basis of accounting unless the trustees either intend to liquidate the charily or to cease operations, or have no realistic alternative but to do so.
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Established under Deed of Trust dated 1 May 2013) Audltors, responsibllities for the audit of the ftnancial statements Our objectives are lo obtain reasonable assurance about whelher the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assuran Is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS {UKI 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 Influen the economic decisions of users taken on the basis of these financial statMentS. Irregularities, including fraud, are instances of non•complian¢e with laws and regulations. We design prOdureS in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are G3p8ble of detecting irregularities, including fraud is detailed below- We identified and assessed the rlsks of malerial mlsstatement of the financial statements from irregularilies, whether due lo fraud or error, and discussed these beeen our audit team mernbers. We then designed and perfomied audit procedures responsive lo those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion. We are not responsible for preventing non-compliance and cannot be expected to detect non- rnpliance with all laws and regulations - this responsibility lies with management with the oversight of the Trustees. Based on our understanding of the Chartty, discussions with management and Trustees we identified financial reporting standards and Charity SORP as having a direct effect on the amounls and disclosures in the financial statements. As part of the engagement team discussion about how and where the Charity's financial statements may be materially misstated due to fraud, we did not identify any areas with an increased risk of fraud. Our audil procedures included.. completing a risk-assessment process during our planning for this audit that specifically considered the risk of fraud., enquiry of management about the Charity's policies, procedures and related controls regarding compliance with laws and regulations and if there a any kn(MMn instances of non-compliance.. examining supporting documents for all material balances, transactions and disclosures,. review. where applicable, of the Board of Tw5tees' minutes., enquiry of management about litigations and claims and inspection of relevant correspondence., analytical procedures to identify any unusual or unexpected relationships., specific audrt testing on and review of areas that could be subject lo managemenl override of controls and potential bias, most notably around Ihe key judgments and estimates. including the carying value of investmenls, creditors and revenue recogn¢tion'. considering management override of controls outside of the nonT¢al operating cycles including lesting Ihe appropriateness of journal entries recorded in the general ledger and other adjustments made in the preparation of the financial statements including evaluating the business rationale of significant transactions, outside the normal course of business.
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Estsbllshed undèr Dèad of Tnjst datèd 1 May 2013) Owing to the inherent limitations of an audit, there is an unavoidable risk that some material rnisstatemenls of the financial statements may not be detected, even though the audit is properly planned and pèrforned in accordancè with thè ISAS (UKI. The potenttal effects of Inherent Ilmitations are partlcularly significant In the case of mi55tatemenl resulting frorn fraud because fraud may involve sophistited and carefully organized schemes designed to Gonceal il, including ijeliberate failure to record Irdnsactions. collusion or intentional misrepresentations being made to us. A further description of our responsibilrties for the audit of the financial statements 15 located on the Financial Reporting Council's website at.. www.frc.org.ukJauditorsresponsibilities. This description foms part of our auditor's report. Anderson Anderson & Brown Audit LLP statutory Auditor 133 Finnieston Street Glasgow G3 8HB {Anderson Anderson & Brown Audr( LLP is eligib to act as an auditor in terms of Section 1212 ofthe Companies Act 20061
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Established under Deed ofTrust dated 1 May 2013) sTATEMETr OF FINANCIAL ACTIVITIES FOR THE YEAR TO 31 DECEMBER 2024 Total Funds 2024 Total Funds 2023 Noto INCOME FROM: Investments Total Income 307 953 307 953 323 295 323 295 EXPENDITURE ON: Ralslng funds Investment management Charitable activities Grants payable Support costs Govemance costs 2.111,412 4.881 620,000 4,633 2 125 130 634 171 Total Expenditure 2 167 277 674 905 Realised gains on inveslments Unrealised gains on inve8lments Nel gains on Investments 234,543 576 590 811 133 42,207 588 451 Net movement in funds 11,048,191) 236,841 Funds Reconciliation: Totsl funds brought foThYard 1 January 12115296 11 878455 Total funds carried forward 31 December 11067 105 12 115296 All funds are unrestricted. The notes on pages 13 10 17 form part of these financial statements. io
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Establlshed under Deed of Trust dated 1 May 2013) BALANCE SHEET AS AT 31 DECEMBER 2024 Total Funds 31 Doc 2024 Total Funds 31 Doc 2023 Noto Flxed Assets: Investments Total Fixed Assets 10697 172 10697 172 11 690473 11690473 Currenl A550ts: Debtors Cash at bank an(i in hand Totsl Current Assets 195.909 233 887 429.796 258,083 484,044 Liabilities.. Creditors falling due within one year Net Current Assets 369 933 424 823 Total Not Assets 11067 105 12 1152g6 The Funds of the Charity: Unrestricted Funds 11 067 105 12115296 Total Charlty Funds 11 067 105 12115296 Approved by the Board of Trustees and signed on its behalf by TrustÈe Date W.G.zr The notes on pages 13 10 17 form part of these financial statements.
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Establishod under Deed of Trust daled 1 May 20131 STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2024 Noto 2024 2023 Cash flows from operatlng actlvStles: Cash used in operating activities 10 861222 Ngt ¢ash used in operatlng activitles (2,104,461) 1861,222) Cash flows from investing activities: Dividends. Interest Proceeds from sale of Investments Purchase of investments 307,953 6.042.321 4 237 887 323.295 3.424,959 3 282 632 Net cash provided by invosting activities 2,112,387 465,622 Change In cash and cash equlvalents In the year 7,926 {395,600) Cash and c2sh equivalent brought foNRrd 225 961 Cash and ¢ash oqulvalents ¢arrl6d forward Th6 notes on pages 13 to 17 fo part of these financial statements. 12
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Established under Deed of Trust dated 1 May 2013) Notes to the Financial Statements for year ended 31 December 2024 Accountlng Policies (a) Basls of preparatlon and asses$mont of golng ¢on¢ern The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value modified by the revaluation of listed Fixed Asset Investments. The financial statements have been prepared in acwrdance with the Statement of Recommended Practice.. Accounting and Reporting by Charities preparing their accounls in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 1021 issued on 16 July 2014 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland IFRS 102} (issued August 20141, the Charities and Trustee Investment IScolland} Act 2005 and the Charities Accounts (Scotland) Regulations 2006 las amended)- All figures reported in the financial statements are in pounds sterling. The Trust constitutes a public benefrt entty as defined by FRS102. The trustees consider Ihal there are no material uncertainties about the Trust's ability to continue as a going concern. (b) Funds structure All funds are unrestricted income funds which the Trustees are free to use for any purpose in furtherance of the chaiitable objects. Ic) Income rocognltlon All income is recognised once the Trust has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably, with the exception of transfers from the RCS Trusl which are accounted for on a cash basis. Donations are recognised when the Trust has been notified in writing of l)oth the amount and settlement date. In the event that a donation is subject to condib'ons that require a level of performance before the Tnjst is enlitled to the funds, the income is deferred and not recognised until either Ihose conditions are fully met, or the fulfilment of those conditions is wholly within the control of the Trust and it is probable that those conditions will be fulfilled in the reporting period. Legacy gifts are recognised on a case by case basis following the granting of confirmation when the administratorlexecutor for the eslale has communicated in writing both the amount and settlement date. In the event that the gift is in the form of an asset other than cash or a financial asset traded on a recognised stock exchange. recognition is subject to the value of the gift being reliably measurable with a degree of reasonable accuracy and the title to the asset having been transferred to the Trust. 13
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST {Established under Deed of Trust dated 1 May 2013) 1 Accounting Policios (continued} (c> Income recognltlon (¢onlSnued Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Trust,. Ihls is nomally upon notification of the interest paid or payable by the bank. Dividends are recognised once the dividend has been declared and notrfication has been received of the dividend due- this is noThally upon nolifficalion by our investment advisor. (d) Expendlture recognition Liabililies are recognised as expenditure as soon as there is a legal or constructive obligation committing the Trust to that expenditure, it is probable that settlement will be required and the amount of the obligation can be measured reliably. l expenditure is accounted for on an accruals basis. All expenses including support costs and governance costs are allocated or apportioned to the applicable expenditure headings. (o) Allo¢atlon of support and govemance costs Administration costs have been allocated belween goveman¢e costs and support costs. Governance costs comprise all costs involving the public accountability of the Trust and ils compliance with regulation and good practice. These include costs related to statutory audit and legal fees together with an apportionment of administration Gosls. Administration costs p sent a donation to the RCS in respect of the administration of Ihe Trust and the RCS Infrastructure Trust and are allocated betsveen support and governance costs on the basis of the estimated time spent upon each area of activity. (fj Costs of ralslng funds The costs of raising funds consist of investment management costs. (g) Charitable activities Costs of charitable aclyvilies include grants and donations made, support costs and governanc8 Costs. (h) Fixed assets Invlments 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. The statement of financial activities includes the nel gains and losses arising on revaluation and disposals throughout the year. The Tnjst does not acquire put options. derivatlves or other complex financial instruments. The main fom of financial risk faced by the Trust is volatility in equity markets and investment markets due to wider economic conditions, the 8ttf(ude of investors to investment risk and changes in sentiment conceming equilies within particular sectors or sub sectors. 14
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMETrif TRUST (Established under Deed of Trust dated 1 May 2013) 1 Accounting Policies {continuedl (i) Realisgd gains and losses Afi gains and losses are tsken to the Statement of Flnancial Activities as they arise. Realised gains and losses on investment8 are calculated as the difference behveen sales proceeds and their opening carying value or their purchase value if acquired subsequent to the ffirst day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carryin9 value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Acts'vilies. 2 Related Party Transactions and Trustees, expenses and remuneration The Twstees 811 give freely their time and expertise without any form of remuneration or other benefit in cash or kind {2023: £nil}. Expenses paid to the trustees in the year totalled £nil12023.' £nil). There were no related party transactions during the year. 3 Investment Income 2024 2023 Income from investments Bank interest received 301,056 312,891 323 295 4 Grants Payable 2024 2023 Principal's Contingency Fund Donation to RCS Donation to RCS Trust 20,000 1,836,696 254 716 2 111412 20,000 600 000 620 000 15
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Established undor Deed of Trust dated 1 May 2013) S Support Costs 2024 2023 Share of adminislralion costs General expenditure 4.846 35 4,615 18 Administration costs represent a donation to the RCS in respect of the admiDislration of the RCS Endowment Trust and the RCS InfraslTuclure Trust and are allocated between Support and Governance Costs on the basis of Ihe time spent upon each area of activity. 6 Governance Costs 2024 2023 Share of Administration costs Legal fees Insurance costs Audit fees 3,231 738 728 3,077 333 728 Remuneratlon of the audltors In SpeCt of non-audit seNices was £nil (2023- £nil). 7 Fixed Asset Invostments 31 Dec 2024 31 Dec 2023 Listed Investmgnts Market value as at 1 January Further additions at cost Disposals Unrealised investment gains Market value as at 31 December 11,690,473 11,244,349 4,237,887 3,282.632 15,807.7781 13,382,752) 576 590 10697 172 11 690473 Cosl of listed Investments as al 31 December 9 151 840 10484377 Individual shareholdings (including investment Irusls) which constitute a material proportion of the tolal market value of the Trust's portrolio at 31 December 2024 were as follows.. Security Holding Value Percentage of total Fidelity UCITIS Vanguard US Govemment Bonds Ishares Physical Metals 55,000 5,206 10,374 474.375 445,504 419,732 16
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST {Eslablishgd under Dood of Trust datsd 1 May 2013) 8 Debtors: amounts falling due within one year 31 Dec 2024 31 Dec 2023 Prepayments and accrued income Royal Conservatoire of Scotland Trust Other deblors 53,313 13,284 129312 195 909 49,721 208 362 258 083 9 Creditors: amounts falling due wlthln one year 31 De¢ 2024 31 Dec 2023 Accruals and deferred income Royal Conservatoire of Scolland CUTrenl account 46,027 46,514 10 Reconciliation of net income to net cash flow from oporatSng activities 2024 2023 Net lexpenditureyincome for the year as per Statement of Financial Activities Adjustments for.. Dividends and interest Gains on investments Decrea8ellincrease} in debtors Increaselldecreasel in creditors Net cash used in operating activtties {1.048.191) 236,841 1307,953) 1811,133} 62,174 642 2 104461 (323.2951 (588,4511 (161,7391 861 222 11 Analysls ol cash and cash equivalenls 2024 2023 Cash in hand 233 887 Total cash and cash equivalenls 233 887 225 961 12 Connectod Bodies The Trust is connected wtth the Royal ConseNaloire of Scotland Infrastructure Trust and the Royal Conservatoire of Scotland Trusl. During the year the Trust made a payment to the Royal Conservatoire of Scotland Trust of £254,716 {2023'. £600,000). 17
ROYAL CONSERVATOIRE OF SCOTLAND ENDOWMENT TRUST (Established under Deed of Trust dated 1 May 2013) Bankers Virgln Money (fomiedy Cwesdale Bank PLC) 30 St Vincent Place Glasgow G12HL Audltors Anderson Anderson & Brown Audit LLP 133 Finnieston Street Glasgow G3 8HB Sollcitors Morton Fraser MacRoberts LLP Capella. 60 York Street Glasgow G2 8JX Pinsent Masons LLP 123 St Vincent Street Glasgow G2 SEA Investment Managers RBC Brewin Dolphin 6th Floor, Atria One 144 Morrison Street Edinburgh EH3 88R 18