Investment and finance

The issue of what to do with their funds is of significant concern to charities. It is not as simple as it may seem as they are regulated not only by the Trustee Act 2000 but also by the Charities Act 2011 and regulations and powers imposed by the Charity commission.

Charity investments—definitions

There does not appear to be a definition of 'investment' in the context of charities save that there is a legal meaning that is derived from case law that indicates that charities must, in order to meet the legal definition, be solely concerned to look at the financial return.

However, there is also the common law definition to consider and it is here that some confusion is engendered with the Charity Commission appearing to concede that when considering their investments charities do not need to concentrate solely on the proposed investment providing a financial return. The implication from this seems to be that in making an investment charities can also consider how their objects may be promoted by that investment. However, this approach is by no means certain and ,currently charities are bound to follow the

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