Finances
Our income is made up of four main streams:
Donations, which can be “flow-through” or endowment
Investment income and realised capital gains from our endowed funds held on the stock market and managed by our investment managers
Fees for providing services such as grant programmes or managing agency funds
Income from an investment property
Flow-through donations and a portion of realised capital gains from our endowment are used to fund our grant programmes. Donors also make a contribution to our core costs.
Finances 2022/2023
The net assets of Community Foundation Wales are valued at £21.8m, an increase of £0.6m on the previous year. After the sudden drop in the markets in March 2020 due to Covid-19, there was a robust recovery during the following year which stabilised somewhat throughout 2022/23.
New endowment money of £1.5m was received.
Income of £4.2m, £262k of which was designated for the Foundation’s core operational costs and was generated from promoting and managing philanthropy (44%), core grants (1%) and other earned income, including donations (55%).
Expenditure of £2.7m of which £2.3m was spent on over 571 grants to different organisations and individuals.
Charitable activity expenditure was £2.4m and represents 89% of total charitable expenditure.
Unrestricted end of year reserves of £351k, which is greater than target range but is likely to reduce in the coming year as less income is anticipated.
Income: £4.2m
42% Donations
1% Core grants
44% Income from charitable activities
13% Investment income
£1.8m was received from donations, £1.5m consisted of new endowment.
Income and dividends from investments was £525k. This is an increase on the previous year following the trend of further positive investment growth in 2022/23.
Charitable activity income of £1.8m is for grant-making from immediate impact restricted funds and is an increase of £0.7m on the previous year.
Expenditure £2.7m:
77% Grants
16% Staff related costs
1% Office overheads
5% Other direct costs
Expenditure of £2.7m, of which £165k was spent on developing new funds and looking after our existing fundholders, £12k was spent on securing core grant income and £78k on managing our investment portfolio to develop returns for grant-making, £62k of this was for the direct costs of the investment managers. Charitable activity expenditure was £2.4m of which £2.3m was spent directly on grants to over 571 projects.
Investments
The net assets of Community Foundation Wales as of 31 March 2023 are £21.8m. Of this, £20.4m comprises investments, which consist of an investment property valued at £500k and an investment portfolio valued at £19.9m. The value of the investments decreased by £0.5m, as a result of the turbulent economic climate over the past 12 months.