Page 124 - Demo

designed or regarded as rst-strike nuclear weapons, indiscriminate weapons of mass destruction, etc.)
Ÿ That derive any of their reported revenue from products or services intended exclusively to appeal to a prurient interest in sex or to incite sexual excitement (pornography)
Ÿ Whose policies are found to be racially discriminatory against people of varied ethnic and racial backgrounds
Ÿ Whose policies are found to be exploitative of their labour, especially with respect to human traf cking, poor treatment of labour, poor working conditions, and remuneration below the minimum wage
On a more positive note, the trustees try to invest in environmentally friendly and positive philanthropic activities.
The investment strategy is set by the trustees and takes into account income requirements, the risk pro le and the investment managers’ views of the market prospects in the medium term. The overall investment policy is to maximise total return through a diversi ed portfolio, aiming to provide the level of income advised by the trustees and, at the same time, with a view to ensuring that the real capital value of the fund does not fall over any ve year period.
The trustees, or representatives of the trustees, meet with the investment managers four times a year to review the performance of the portfolio and the investment strategy.
The performance of the charity’s listed investments improved during the year as a result of rallies in most of the world stock markets. The trustees consider that the performance demanded by their investment policy will continue to be achieved in the medium to long term.
Investment performance
During the year the charity’s listed investments achieved an income yield of 3.27% (2015 – 3.44%). The investments increased in value and the capital yield for the year was 4.86% (2015 – 0.88%). At the end of the year the charity’s portfolio of listed investments comprised 54% (2015 – 54%) UK equity unit trusts, 32% (2015 – 31%) UK xed interest unit trusts and 14% (2015 – 15%) UK property unit trusts. Throughout the year the trustees have continued to liaise closely with the charity’s investment advisers and seek their advice.
120 Chapter 6