The so-called Charity Portfolio Performance Review (CPPR) service was specifically designed to address the concerns many charity trustees have concerns about obligations raised by the UK Charity Commission’s regulations, ARC said, in a statement.
According to ARC, the Charity Commission has called attention in its recent guidance to trustees’ legal obligations “to review the suitability of investment manager appointments, whether the manager is complying with the terms of their appointment, and whether the investment performance of the portfolio is acceptable”.
The company added that it designed its new service “to address these specific needs, allowing charities without significant expertise or resources dedicated to investment management to fulfil their obligations with regards to performance assessment”.
ARC said it plans to charge a flat fee for its new service, which it noted would help to make it affordable to charities of all sizes that need help in managing their portfolios.
Graham Harrison, founder and managing director of ARC, said his company had been encouraged by the UK’s charity community to develop “a robust and cost-effective solution that addresses the issues faced as a result of CC14 [the Charity Commission’s official guide]”.
Founded in 1995, ARC is independently owned and managed, and regulated in both Guernsey and Jersey, both of which islands it has a presence in. It employs around 47 employees and advises on assets of more than $10bn, which it says makes it the Channel Islands’ largest investment consultancy.
The ARC Charity Indices consist of data provided by 30 discretionary investment managers, and made up of 1,500 charity portfolios worth approximately £6.5bn.
