Accumulation as an Objective for Charitable Foundations

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Presentation transcript:

Accumulation as an Objective for Charitable Foundations Peter Walls Charity Law Conference April 2019

Modernising the Charities Act 2005: Discussion Document Te Tari Taiwhenua | Internal Affairs, February 2019

operating entity associated foundation (registered charitable trust) Museum of New Zealand Te Papa Tongarewa* Te Papa Foundation New Zealand Symphony Orchestra* NZSO Foundation Auckland Philharmonia Trust Auckland Philharmonia Foundation Christchurch Symphony Trust CSO Foundation Trust Wellington Regional Orchestra Foundation Incorporated (trading as Orchestra Wellington) The Orchestra Wellington Foundation Trust Board [established 2018] The Royal New Zealand Ballet The Ballet Foundation of New Zealand Trust New Zealand Opera Ltd (trading as NZ Opera) New Zealand Opera Foundation Trust Chamber Music New Zealand Trust* Chamber Music New Zealand Foundation New Zealand String Quartet Trust New Zealand String Quartet Foundation Nelson Music Festival Trust (trading as Adam Chamber Music Festival) Nelson Music Festival Foundation *Autonomous Crown Entity

Performing Arts Companies’ Revenue Streams

Comparison of operational costs/total equity in two Trust/Foundation pairs Foundation 1: grants = 6% of total equity Foundation 2: grants = 8% of total equity

Equity of US and NZ Presenters compared (NZD) Note: for NZ companies the assets represent the ‘consolidated’ assets of operating entity and foundation