Charitable trust makes £159m gain on investments in just nine months

SHETLAND Charitable Trust made a gain of over £159 million on its investments in the nine months through to the end of December, its latest accounts reveal.

It means that the closing reserves at 31 December was £467.8 million.

Shetland Charitable Trust headquarters at Lerwick’s North Road. Photo: Shetland News

A report to trustees last week said that the return on the external investments over the nine-month period was 53.6 per cent.

Over the final quarter of 2020, equity markets continued their strong recovery, with US markets said to be “close to an all-time high”.

“The nine-month period has seen extraordinary growth, however the true economic impact of the Covid-19 crisis is yet to be seen,” the report added.

“There remains great uncertainty both economically and socially in the short term.”

The trust’s financial plan for 2020-25 assumes a medium term return of 6.5 per cent per annum.

In the nine months to the end of December a total of £8.3 million was spent on charitable purposes.

This included a £500,000 donation to the MRI scanner appeal alongside the regular core funding to organisations and charities.

A new funding stream for projects aiming to tackle inequality and social exclusion also oversaw expenditure of around £530,000.

Shetland News