Register of Charities - The Charity Commission BOWDON PREPARATORY SCHOOL
Activities - how the charity spends its money
The charity operates the school known as Bowdon Preparatory School, the objects of which are the advancement of education for the public benefit at Altrincham in Cheshire through an independent preparatory school for girls and boys, in which they are taught the doctrines of Christianity. The school is non-selective and is currently committed to girls rather than mixed education .
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Charitable expenditure with investment gains
Some charities generate all, or a substantial part, of their income from investments which may have been donated to the charity as endowment or set aside by the charity from its own resources in the past. Such investments usually take the form of stocks and shares but may include other assets, such as property, that are capable of generating income and/or capital growth.
In managing their spending and investments charities need to strike a balance between the needs of future and current beneficiaries. They also need to take account of spending commitments that may stretch over a number of future years. To do this, charities will normally adopt an investment strategy designed to generate both income and capital growth. To maximise returns trustees may commit to investment strategies for several years.
Investments can experience large swings in value so trustees may, in a particular year, decide to realise and spend part of their charity’s capital or to invest part of its income.
By clicking the investment gains checkbox the charitable spending bar is adjusted to take account of capital growth as well as income. This shows the balance the charity is striking, between spending on current beneficiaries and retaining resources for future beneficiaries.
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