Charity Trends 2007: Huge increase in funds managed on behalf of large trusts and charities.

M2 PRESSWIRE-27 July 2007-CHARITIES AID FOUNDATION: Charity Trends 2007: Huge increase in funds managed on behalf of large trusts and charities(C)1994-2007 M2 COMMUNICATIONS LTD

RDATE:27072007

The total value of investments managed by 119 fund managers on behalf of 721 of the largest grant-making trusts and fundraising charities has grown by 50% in real terms according to Charity Trends 2007, published last week by the Charities Aid Foundation and CaritasData.

Figures for 2005/06 show total investments at GBP36.7 billion compared to GBP23.9 billion in 2004/05 when data showed 110 fund managers working on behalf of 711 of the largest trusts and charities. The size of the average investment also increased substantially, rising by 48% in real terms to GBP50.9million.

36 of the biggest firms, with at least five charity clients, account for just over 71% of total investments; managing GBP26.2billion for 585 charity and trust clients. Heading up the rankings this year is BlackRock, which merged with Merrill Lynch Investment Managers in September 2006. BlackRock manages almost GBP3.3billion of investment funds for 65 clients, and has the largest market share at 9%.

BlackRock, UBS AG, Rensberg Sheppards Investment Management Ltd and Sarasin Chiswell each managed in excess of GBP2billion. And if the disparate parts of the Barclays group were added together they would assume second place in the table, managing GBP2.3billion for 62 clients. Capital International Limited managed the largest average amount per client.

Charity Trends also shows that total income to the UK's Top 500 fundraising charities has grown in real terms by 8.6% to GBP10.9 billion. This represents a significant rate of growth from the 3.8% seen in the previous financial year, 2004/05. Total income has grown by triple the rate of both GDP (2.8%) and the Consumer Price Index (2.5%) over the same period. Expenditure meanwhile, grew by 8%. This growth has been achieved despite the sector employing 1.8% fewer staff and spending 1.9% less on salaries.