Investment Policy
1. Introduction
1.1 SHINE's annual administrative and management costs will be met in full by donations from certain Trustees. All monies donated specifically for this purpose will be kept in segregated bank accounts.
1.2 On a rolling one year basis, it is the intention of the Trustees to hold all monies committed to projects for the subsequent 12 months in 'safe', liquid interest bearing bank deposits, short dated gilt-edged or corporate securities, or in funds who invest in such strategies, with a maturity profile reasonably matched to the disbursement schedule.
1.3 The balance of SHINE's financial resources comprise funds donated to the charity for expenditure on SHINE's current charitable objectives, future charitable objectives and income derived from those funds ('the Endowment').
1.4 The Endowment is invested in accordance with SHINE's Articles of Association with the aim of achieving a balance between capital preservation and capital appreciation (see Investment Policy below).
1.5 Certain donors require as a condition of the gift to invest their donation in strategies expressly aimed at capital growth. These mandated strategies are segregated from the Endowment.
2. Investment Policy
The Trustees believe active management of the Endowment is an important responsibility. Growth of the Endowment through investment results allows SHINE to increase its commitments and further its charitable objectives. The Trustees will use asset allocation and diversification to achieve a balance between capital preservation and capital appreciation. It is anticipated the Endowment will invest in equities, fixed interest and alternative investment strategies including hedge funds. Specific investment strategies are reviewed and proposed by SHINE's Investment Committee and approved by the Trustees.
3. Investment Committee
3.1 Members of the Investment Committee are David Blood, Jim O'Neill and Richard Rothwell.
3.2 It is the responsibility of the Investment Committee to review existing asset allocation and investments as well as propose changes to the asset allocation and investment strategies. The Investment Committee meets at least on a quarterly basis. Meetings are minuted and laid before the Trustees on a regular basis.
