Sir Jules Thorn Charitable Trust

Objectives

The Trust Deed gives the Trustees absolute discretion to apply the capital and income of the Trust for charitable purposes generally but, in doing so, they take note of the wishes of the Founder, Sir Jules Thorn, who hoped that through its grant-making the Trust would be able to improve the quality of life for the sick and the disadvantaged. That remains the Trustís mission.

Professional Advisers

Auditors Crowe Clark Whitehill
Legal Advisers Goodman Derrick
Investment Managers Investec Asset Management; BlackRock; Ruffer LLP

Trustees

Ms Elizabeth S Charal (Chairman), Mr Christopher H Sporborg CBE, Sir Bruce MacPhail, Ms Nancy V Pearcey, Mr William H Sporborg, Prof Sir Ravinder N Maini, Prof David Lowell Russell-Jones, Mr John Guy Rhodes

Officers

Mr David Harry Richings (Director)

Investment Policy

The Trust Deed does not impose any restriction on the Trustees' power to invest. The endowment funds are invested fully in the stock markets for the long term under the professional guidance of its Fund Managers, who operate with discretionary mandates but subject to guidelines defined in the Trustees' Statement of Investment Principles. In the second quarter of the year the Trustees implemented the new investment policy referred to in their last report. As part of that revision, the former link to a peer group benchmark has been replaced by a target return objective of 3.5% above the Consumer Prices Index, net of fees, measured over a rolling 3 year period. Investec Asset Management, Cazenove Capital Management, and Ruffer, each now manage a proportion of the assets in accordance with mandates reflecting the new policy.

Grant Policy

The Trust has established its grant making policies to achieve its objectives for the public benefit. These policies are reviewed regularly to ensure that they continue to reflect the Trust's objectives and thereby advance public benefit. Grants are provided under the following two schemes, which seek to bring benefit to patients through improved diagnosis and/or by the development of new therapies for important clinical problems: The Sir Jules Thorn Award for Biomedical Research: This is a competition held annually among UK medical schools and NHS organisations for a grant of up to £1.25 million to finance a programme of translational research extending for up to 5 years or more. Applications are subjected to rigorous peer review, including detailed discussions with applicants who are short-listed - in some instances during site visits by scientific referees to the host institutions. A winner is recommended for funding to the Trustees only if, in the opinion of the panel of expert judges, the proposed research is considered to be of the highest international quality. The Sir Jules Thorn Pho Scholarship Programme: This scheme supports the work of Clinical Senior Lecturers in UK medical schools. Up to three Scholarships are awarded annually, each for three years, providing £25,000 per annum (plus some increase for inflation) for a PhD student to undertake a project under the supervision of a Clinical Senior Lecturer nominated by the institution applying for funding. The Trust does not provide partial funding for research (preferring to be the sole contributor to work which it supports), and it confines its grants directly to the institution where the work is undertaken, rather than contributing to funds being raised for research by other charities. Funding is not offered for research into cancer or AIDS, for the sole reason that such research is already well supported. Grants approved for medical research projects may be used (in part) to cover the salary of one or more employed research workers, but the Trust does not provide such funding direct to individuals, nor does it have grant programmes for sponsoring elective studies. The Trust supports the best practice guidelines of the Association of Medical Research Charities, including the use of peer review in selecting which research to fund. The Trust holds the Association's Certificate of Best Practice in Peer Review. The Trust requires that intellectual property rights created as a result of the medical research it has funded should, where commercially worthwhile, be protected and exploited. An Intellectual Property Agreement with each institution is required, defining issues of protection and exploitation, and the arrangements for sharing income with the Trust in the event that commercial income is generated in due course. Any such income would be allocated for new grants.

Governance

The executive management of the Trust is the responsibility of the Director, working with a small team of staff based in leased premises in the West End of London. Delegated authority sufficient to facilitate the practical conduct of the Trustís day to day operations, is conferred on the Director by the Trustees.

24 Manchester Square
London
W1U 3TH

Tel: 020 7487 5851
Fax: 020 7224 3976

www.julesthorntrust.org.uk

CC number: 233838

Performance Guide Rankings

investment assets 121 / 1000
investment income 145 / 995
return on investments 631 / 995
investment management costs 91 / 743
inv mgmt costs as % of inv assets 300 / 743

inv mgmt costs as % of inv income 242 / 743
investment property - / 361
income from investment property - / 325
inv property inc as % of investment property - / 225

income from listed investments 75 / 661
income from short-term investments 117 / 726
listed investment inc as % of inv income 297 / 661
short-term investment assets 720 / 988

legacy income - / 226
grants received - / 88
total voluntary income - / 628

grants made 98 / 668
charitable expenditure - / 638
charitable expenditure as % of total expenditure - / 335
support costs - / 230
management & administration fees 307 / 970
audit fee per £m of income 355 / 949

total incoming resources 489 / 1000
total resources expended 374 / 1000
total assets 144 / 1000
period ending 2010 2011
INCOMING RESOURCES £m £m
legacies - -
grants - -
total voluntary income - -
activities, furtherance of charities objects - -
activities for generating funds - -
trading subsidiaries - -
sales and fees from operating activities - -
investment property - -
dividends - -
total listed investments 2.34 2.27
income from subsidiaries - -
interest on cash & short term inv 0.07 0.13
total investment income 2.41 2.40
TOTAL INCOMING RESOURCES 2.41 2.40

RESOURCES EXPENDED £m £m
fundraising costs - -
investment management costs 0.15 0.33
Investment costs 0.15 0.33
cost of generating funds 0.15 0.33
grants paid 3.11 4.18
management and admin 0.07 0.08
total charitable expenditure 3.18 4.27
TOTAL RESOURCES EXPENDED 3.33 4.60

ASSETS £m £m
intangible assets - -
tangible fixed 0.00 0.00
equities - -
bonds - -
investment assets 101.63 95.53
other fixed assets - -
total fixed assets 101.63 95.54
stock - -
debtors 0.19 0.26
cash 0.43 0.56
current assets 9.95 10.23
bank loans & overdrafts - -
trade & other creditors, accruals 0.08 0.15
future grant commitments 2.60 2.38
creditors falling due within one year 2.68 2.54
net current assets 7.28 7.70
loans - -
future long-term grant commitments 2.52 3.73
trade creditors - -
subsidiary & associated undertakings - -
creditors falling due after one year 2.52 3.73
provisions for liabilities and charges - -
TOTAL ASSETS 106.38 99.50

ASSETS £m £m
income funds 3.74 1.80
endowment funds 102.64 97.69
restricted funds - -
TOTAL FUNDS 106.38 99.50