What we do

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Our aims

We aim to improve life chances of disadvantaged and often marginalised groups. Our primary themes of support are in the areas of Housing, Education and Environmental crises, with secondary themes in support of Young people, Mental welfare and Social mobility and inequality. We make grants to UK registered charities that tackle disadvantage in these areas in a range of different projects.

Understanding the charities we support

We actively engage and understand the organisations we support and our trustees always visit the programmes supported by our Strategic grants.

We assess the impact of our support for charities by agreeing the anticipated outcomes with the organisations while receiving regular reports from them on their work and evaluating the impact of the programme at its conclusion.

Our priorities

Housing

Our priority for housing is to fund charities and invest in companies that work with homeless or vulnerable people, including those recovering from drug or alcohol addiction or domestic violence, which provide for their immediate needs and support services that help them with long term accommodation and rehabilitation.

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Education

Our priority is to support charities that provide social programmes in school and communities, and those that widen access to education in a range of different mediums to those from deprived or disadvantaged backgrounds.

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Environmental Crises

Our priority is to support a charity undertaking environmental action through legal action by making changes in regulation and policy, helping people and communities most affected by environmental degradation to defend their rights. We will also support projects in biodiversity and species preservation, climate and atmosphere and holistic approaches covering coastal ecosystems, fresh water, land use, consumption, waste, toxics and pollution.

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Young people

Our priority for funding charities that work with children and young people is to increase life chances by developing life skills, emotional resilience and mental well-being and by promoting social mobility.

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Mental health

Our priority is to make grants to a range of projects in support of people with mental health problems to see that they get the support they need, when they need it.

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Social mobility and inequality

Our priority for funding charities that work to improve social mobility and address social inequality is to support those making practical improvements, primarily in the motivation, education, skills and training of disadvantaged people of all ages and backgrounds.

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Social investments and Impact investments

As part of their overall investment policy, the Trustees decided that up to 15% of the Charity’s net assets would be allocated to Social investments and Impact investments.

Social investments

The Charities Act 2011 (as amended) gives charities a power to make Social investments, which arise where charity trustees use money or property with a view to both:

What form can Social investments take?

Provided we have satisfied ourselves that the proposed arrangement may be treated as a Social investment and falls within the social sectors supported by the Charity, we will have broad discretion regarding the nature of investment.

We may invest in any form of legal entity (e.g. a housing association, a charity, a community interest company, a private company, an investment fund etc) and the investment may take the form of:

  • Secured loans
  • Unsecured loans
  • Equity
  • Social impact bonds
  • Quasi-equity

Social investments we currently hold are:

  • Commonweal: provision of secured finance for properties used by it in its ‘Peer Landlord’ scheme
  • Resonance funds: investing in two funds managed by this social impact investment company - the Women in Safe Homes Fund (WISH) and the Resonance Everyone in Fund (REIF).

Geographic areas

Great Britain and Northern Ireland.

Risk

In procedural terms, when deciding to make a Social Investment we would satisfy ourselves in each case that:

  • it falls within the priority thematic areas supported by the Charity
  • it is an appropriate and effective way of utilising the Charity’s assets to advance our charitable aims in terms of expediency and risk
  • appropriate legal documentation is in place to safeguard the Social investment to ensure it is not used for a purpose which does not advance our charitable aims
  • it does not confer an unacceptable private benefit
  • it will not give rise to adverse reputational issues for the Charity (e.g. which may arise by virtue of any ancillary private benefit centred on a non-charitable co-investor).

Conclusions

When deciding to make a Social investment we would satisfy ourselves in each case that:

  • Impact and effectiveness: we are developing an impact and effectiveness framework. This will be proportional and light touch so that it recognises some of the complexities and ambiguities of the work we fund
  • Investment outcomes: we ask investees to identify three outcomes associated with the funding they receive and agree indicators associated with progress against each investment outcome.
  • What form can Social investments take?

    Provided we have satisfied ourselves that the proposed arrangement may be treated as a Social investment and falls within the social sectors supported by the Charity, we will have broad discretion regarding the nature of investment.

    We may invest in any form of legal entity (e.g. a housing association, a charity, a community interest company, a private company, an investment fund etc) and the investment may take the form of:

    • Secured loans
    • Unsecured loans
    • Equity
    • Social impact bonds
    • Quasi-equity
  • Social investments we currently hold
    • Commonweal: provision of secured finance for properties used by it in its ‘Peer Landlord’ scheme
    • Resonance funds: investing in two funds managed by this social impact investment company - the Women in Safe Homes Fund (WISH) and the Resonance Everyone in Fund (REIF).
  • Geographic areas

    Great Britain and Northern Ireland.

  • Risk

    In procedural terms, when deciding to make a Social Investment we would satisfy ourselves in each case that:

    • it falls within the priority thematic areas supported by the Charity
    • it is an appropriate and effective way of utilising the Charity’s assets to advance our charitable aims in terms of expediency and risk
    • appropriate legal documentation is in place to safeguard the Social investment to ensure it is not used for a purpose which does not advance our charitable aims
    • it does not confer an unacceptable private benefit
    • it will not give rise to adverse reputational issues for the Charity (e.g. which may arise by virtue of any ancillary private benefit centred on a non-charitable co-investor).
  • Conclusions

    When deciding to make a Social investment we would satisfy ourselves in each case that:

    • Impact and effectiveness: we are developing an impact and effectiveness framework. This will be proportional and light touch so that it recognises some of the complexities and ambiguities of the work we fund
    • Investment outcomes: we ask investees to identify three outcomes associated with the funding they receive and agree indicators associated with progress against each investment outcome.

Impact investments

Impact investments are investments made with the intention to generate positive, measurable social and environmental impact alongside a financial return. Impact investments can be made in both emerging and developed markets and target a range of returns from below market to market rate, depending on investors' strategic goals. The Trustees intend to make an allocation to impact investing, which will be used to test the potential for achieving strong financial returns by investing into impact funds that align to their impact goals and which generate a measurable impact.

The Global Impact Investing Network (GIIN) has stated that impact investing has four core elements being:



Intentionality

An investor’s intention to have a positive social and/or environmental impact through investments is essential to impact investing.

Investment with return expectations

Impact investments are expected to generate a financial return on capital or, at a minimum, a return of capital.

Range of return expectations and asset classes

Impact investments target returns that range from below market (sometimes called concessionary) to risk-adjusted market rate, and can be made across assets classes, including but not limited to, cash equivalents, fixed income, venture capital and private equity.

Impact measurement

A hallmark of impact investing is the commitment of the investor to measure and report the social and/or environmental performance and progress of underlying investments, ensuring transparency and accountability while informing the practice of Impact Investing and ‘building the field’ by sharing the learnings where possible to enable others to benefit from their experience.

Risk

The Trustees have agreed to consider a combination of private equity and private debt impact investments with a global investment mandate to ensure diversification from a risk perspective. The procedure to be followed when making such investments will be the same as that followed for the Social investments:

  • it falls within the priority thematic areas supported by the Charity
  • it is an appropriate and effective way of utilising the Charity’s assets to advance our charitable aims in terms of expediency and risk
  • appropriate legal documentation is in place to safeguard the Social investment to ensure it is not used for a purpose which does not advance our charitable aims
  • it does not confer an unacceptable private benefit
  • it will not give rise to adverse reputational issues for the Charity (e.g. which may arise by virtue of any ancillary private benefit centred on a non-charitable co-investor).
  • Intentionality

    An investor’s intention to have a positive social and/or environmental impact through investments is essential to impact investing.

  • Investment with return expectations

    Impact investments are expected to generate a financial return on capital or, at a minimum, a return of capital.

  • Range of return expectations and asset classes

    Impact investments target returns that range from below market (sometimes called concessionary) to risk-adjusted market rate, and can be made across assets classes, including but not limited to, cash equivalents, fixed income, venture capital and private equity.

  • Impact measurement

    A hallmark of impact investing is the commitment of the investor to measure and report the social and/or environmental performance and progress of underlying investments, ensuring transparency and accountability while informing the practice of Impact Investing and ‘building the field’ by sharing the learnings where possible to enable others to benefit from their experience.

  • Risk

    The Trustees have agreed to consider a combination of private equity and private debt impact investments with a global investment mandate to ensure diversification from a risk perspective. The procedure to be followed when making such investments will be the same as that followed for the Social investments:

    • it falls within the priority thematic areas supported by the Charity
    • it is an appropriate and effective way of utilising the Charity’s assets to advance our charitable aims in terms of expediency and risk
    • appropriate legal documentation is in place to safeguard the Social investment to ensure it is not used for a purpose which does not advance our charitable aims
    • it does not confer an unacceptable private benefit
    • it will not give rise to adverse reputational issues for the Charity (e.g. which may arise by virtue of any ancillary private benefit centred on a non-charitable co-investor).