Future Generation Companies on Target for Record Charity Donations
1 March 2017 at 4:21 pm
Australia’s first charitable-listed investment companies, set up to provide ongoing support for Australian not-for-profit organisations, are on track to donate a combined $6.82 million in 2017.
Future Generation Investment Company Limited (FGX) says it expects to donate $3.82 million to Australian children and youth-at-risk charities this year and Future Generation Global Investment Company Limited (FGG) reports that it is on track to donate over $3 million to children and youth mental health charities.
Announcing their financial results for the transitional six-month period to 31 December 2016, the companies said they would make a combined donation of at least $6.82 million to charity for the year ending June 2017.
FGX and FGG were set up in 2014 and 2015 respectively to give shareholders exposure to local and international fund managers as well as to donate part of their assets to charities.
The wealth creation vehicles are backed by billionaire philanthropists Solomon Lew, Andrew Forrest, Alex Waislitz and the Smorgon family.
FGX and FGG CEO Louise Walsh told Pro Bono News: “We are delighted that together the Future Generation companies are on track to donate almost $7 million to charities working to better the lives of young Australians.
“This will bring the total combined donation to $13.18 million in just three years.
“FGX is expected to invest $3.82 million in children and youth at risk, which would bring its total donations to $7.75 million since September 2014.
“In October 2016 FGG made its inaugural donation of $2.42 million. FGG is currently on track to deliver a donation of more than $3 million, equating to a total of at least $5.43 million donated to charities focused on youth mental health since inception in September 2015.”
She said as many as 22 charities working with children at risk and young people affected by mental health issues would be the beneficiaries of the donations.
FGX and FGG founder and director Geoff Wilson said the donations to charities were only possible due to the skill and generosity of the companies’ fund managers.
“Our fund managers forgo both management and performance fees, allowing the Future Generation companies to donate 1 per cent of assets each year,” Wilson said.
“The combined donation would not be possible without their incredible generosity. We cannot thank them enough.
“The pro bono support from the companies’ fund managers and service providers delivered combined savings of $3.65 million during the period.”
FGG has partnered with eight charities focused on children and youth mental health. These charities are: beyondblue, Black Dog Institute, Brain and Mind Centre, Butterfly Foundation for Eating Disorders, headspace, Orygen – National Centre of Excellence in Youth Mental Health, ReachOut Australia and SANE Australia.
FGX has partnered with 14 designated charities that provide a significant benefit to children and youth at risk. These charities are: Act for Kids, Australian Children’s Music Foundation, Australian
Indigenous Education Foundation, DEBRA Australia, Diabetes Kids Fund, Giant Steps, Kids Helpline, Lighthouse Foundation, Mirabel Foundation, Raise Foundation, Variety, United Way, Youth Focus and Youth Off The Streets.
The distribution of the funds is expected in October 2017.