Philanthropy Impact

Inspiring philanthropy and social investment across borders, sectors and causes

Glossary

Glossary

You might find some of these definitions helpful.

Definition

Holdings of economic value by a foundation or charity – such as cash, stocks, bonds, buildings or other property, and accounts receivable.

Definition

A trust is an arrangement whereby a person or persons (the trustees) is made the nominal owner of property for the benefit of another person or group of people (the beneficiaries).

Definition

Development trusts are organisations that are engaged in the economic, environmental and social regeneration of a defined area or community.

Definition

An expendable endowment fund is a fund that must be invested to produce income.

Definition

The terms ‘trust’ and ‘foundation’ are often used interchangeably.

Definition

The percentage of assets a foundation distributes for charitable purposes in a year. There is no minimum pay-out requirement in the UK.

Definition

Permanent endowment is property of the charity (including land, buildings, cash or investments) which the trustees may not spend as if it were income.

Definition

Total return refers to the overall benefit of an investment. It includes both income and capital growth.