The University of Auckland Foundation · Auckland 1142 New Zealand Phone 64 9 373 7488 Fax 64 9 373...

The University of Auckland Foundation ANNUAL REPORT | 2008

ANNUAL REPORT | 2008

CONTENTs

Report from the Chair 1

Distributions Made 2

Gifts Received 5

Investments 10

Friends of The University of Auckland 11

The University of Auckland School of Medicine Foundation 12

Financial Statements 16

TOP ROw fROm LEfT:

mr Hugh fletcher, mr Peter Hays, ms Denese Henare, Dr John matthews

bOTTOm ROw fROm LEfT:

Dr Ian Parton, mr Geoff Ricketts, Dr Richard sorrenson (Foundation Manager), Dr Don Turkington

mIssION sTATEmENTTo support the advancement of knowledge and learning in New Zealand.

DIRECTORY

Trusteesmr Geoff Ricketts (Chair)mr Peter Hays (Chair, Audit Committee)mr Hugh fletcher ms Denese HenareDr John matthewsDr Ian PartonDr Don Turkington (Chair, Investment Committee)

AuditorswHK Gosling Chapman Partnership, Auckland

Solicitorsbrookfields, Auckland

Bankersbank of New Zealand, Queen street, Auckland

Investment Consultantsmercer IC, Auckland

Address for CorrespondenceDr Richard sorrenson, managerThe University of Auckland foundationPrivate bag 92019Auckland 1142New Zealand

Phone 64 9 373 7488Fax 64 9 373 8766Email [email protected]

On the cover Neuron in the human brain, imaged on a Leica TCS SP2 confocal microscope, by Dr Henry Waldvogel and Ray Gilbert, Department of Anatomy with Radiology, Faculty of Medical and Health Sciences

Registered with the NZ Charities Commission, no. CC10985

ANNUAL REPORT | 2008 ThE UNIvERSITy OF AUCkLANd FOUNdATION

1


In the year under review, the Foundation was strongly supported by many generous donors including Owen Glenn ($2.0 million), ASB Charitable Trust ($0.8 million), and the US and UK Friends of the University Auckland ($0.5 million combined). I am delighted to be able to acknowledge publicly the magnificent gift of $4.5 million in 2007 from the Edith Winstone Blackwell Foundation Trust Board to benefit research and public understanding of marine science at Leigh to the north of Auckland. Thanks also to the more than 350 donors who supported a variety of student scholarships and student research activities; it is always gratifying to see this most meaningful link between the generations of current and former students.

The Foundation takes the wishes of its donors seriously and every dollar you give to support university research, teaching, or student scholarships is applied very carefully to the purpose you specify.

During 2008 the Foundation made distributions to support a wide range of activities including: research into possible solutions to reduce educational inequalities (Starpath), academic exchanges (the Hood Fellowships), mentoring and tutoring students who are at risk of underachievement (MATES), and research into methods to reduce brain damage at birth (Liggins Institute).

2008 was a momentous year in several other regards:

• Mostpositively,forthelong-termhealthofallNZcharities,a gift of cash (from any source) to a charity made on or after 1 April 2008 can be offset against the entire net income of a donor and earn a 33 1/3 percent rebate. This is now one of the more generous tax rebates in the world and a great incentive to consider gifting to the Foundation.

• On1January2008,theFoundationwasgrantedthepowerof appointment of trustees to The University of Auckland School of Medicine Foundation (SoMF), which will continue as a separate body for donations to benefit medical research and teaching. The Foundation will provide administration services to the SoMF funds as it does to other named funds. The SoMF fund report appears on pages 12 to 15. As the consolidated accounts show, the two foundations controlled funds to the value of $60.15 million at the end of 2008.

• Asyouareallnodoubtaware,2008wastheworstyearin living memory for investment markets; indeed, by most measures, the worst since 1931. Approximately half of the fundsheldbytheFoundationareforlong-termendowmentpurposesandtheotherhalfareheldforshort-termcurrentuse purposes. Although the Foundation’s endowment pool did suffer some unrealised losses, our fairly conservative investment policy meant that it did not fare as badly as manyother similarendowments.Nonetheless any losses,even unrealised ones, are distressing. The other half of the Foundation’s funds, thoseheld forshort-termcurrentuse,suffered no losses whatsoever, as these were invested in short to medium-term bank deposits.A full investmentreport appears on page 10. Overall, I would note that the unrealised investment loss of 3.9 percent on the Foundation’s combined endowment and current use funds is relatively modest when compared to similar institutions worldwide.

In closing I would like to welcome Ms Denese Henare, a Law alumna, who has joined the Board of Trustees and to thank all my fellow Trustees and the staff members who serve the Foundation for their support during the year.

Geoff RickettsChair, Board of Trustees

2

ANNUAL REPORT | 2008ANNUAL REPORT | 2008

Distributions MadeThe Foundation made charitable distributions of $2.02 million in 2008 for research and other activities that benefit a wide range of New Zealanders including those desiring improved health and better access to educational and economic opportunity.

Improved educational and health outcomes for our childrenEnsuring that all of our children have the opportunity to be the best they can be is a goal that most of us share. In 2008 a number of significantdistributions fromtheFoundationsupportedactivities that includedresearch intothe far-reachingeffectsof thepre-natalenvironmentthroughtoprovidingtargetedsupportforstudentsfromgroupsthatareunder-representedintertiaryeducation.

mATEs mENTORING THRIvEs

The MATES programme, an initiative developed by The University of Auckland and the Great Potentials Foundation, received $103,238 in 2008 from funding originally granted by the Todd Foundation.

The programme matches year 13 students from low-decileschools with mentors who are successful second or third-year students at the University. It provides ongoing individual and group study support as well as coaching in skills such as scholarship applications, budgeting and CV writing.

The programme thrived in 2008, with 120 mentors and ten schools involved.

TUAKANA PROGRAmmE NURTUREs fUTURE LEADERs

A distribution of $21,263 (original donor: MSA Charitable Trust) provided funding fora full-timeemployeeto furtherdevelopthe Tuakana Leadership Programme, which provides leadership and academic opportunities to high achieving Māori and Pacific undergraduate students in the Faculty of Arts.

The programme began in 2006 and aims to nurture the future success of participants through internship placements, postgraduate information evenings and career development.

Twins Citizen and wellington Tamatimu completed conjoint degrees in Law and Commerce in 2008. The former Kelston boys’ High students were participants in the mATEs programme in their first year at the University and went on to encourage academic success in others as mATEs mentors in their second year.

ANNUAL REPORT | 2008 ThE UNIvERSITy OF AUCkLANd FOUNdATION

3


Prefects from a starpath partner school, Tikipunga High school, whangarei

sTARPATH TRANsfORms OUTCOmEs

The largest distribution for 2008, totalling $541,667 (original donor: ASB Community Trust), went to Starpath, a Partnership for Excellence between The University of Auckland and the Tertiary Education Commission.

Since its establishment in 2005, Starpath’s vision has been to help transformeducationaloutcomes forablebutunder-achievingstudents from low-decileschoolssothat theycanparticipateand succeed in tertiary education.

Recent research has added to Starpath’s understanding of the barrierstoprogressforunder-representedgroupsofstudents.One area of focus has been Starpath’s work with schools to better understand and use the data they collect to track academic achievement over time. Another major area of study hasbeenintothechoiceofNCEAsubjectsandtheimpactthatthis has on access to higher education. Transition to university, including admission processes, is also being examined.

INNOvATIvE bRAIN TREATmENT REsEARCH

In 2008 the Foundation distributed $110,606 to the brain treatmentprogrammeattheLigginsInstituteaspartofathree-year fundingcommitment fromthe JubileeCrippledChildrenFoundation Trust.

The Liggins Institute has an international reputation for its innovative research on how the developing brain responds to brain injury caused by oxygen deprivation at birth. Liggins researchers pioneered a cooling technique shown to be the first effective means of reducing brain injury in the neonate and now being introduced around the world. The group is looking at ways to promote the growth of new cells to repair the damaged brain.


4


Hood Fellows enrich university communitiesOutstanding academics from around the world shared their knowledge across a broad range of subjects through the Hood Fellowship programme.

Distributions totalling $151,581 were made to support these fellowships in 2008 from funding provided by the Lion Foundation.

TwoHoodFellows travelled fromNewZealand to theUK.Professor Bill Barton (Mathematics) was one of the two outgoing Hood Fellows from The University of Auckland. Bill specialises in mathematical education and is author of The Language of Mathematics. He spent six weeks as an honorary researcher atOxfordUniversityandco-ordinatedamajorwritingprojectinvolving an international group of mathematicians and mathematics educators.

AlsoOxford-boundwasProfessor JillianCornish (Medicine),leader of the Bone Research Group Laboratory, who used her Hood Fellowship to take up a Visiting Professorship at the Botnar Research Institute at Oxford. As well as strengthening herresearchlinks,JillianpresentedlecturesintheUKandatanumber of centres in Europe.

Incoming Hood Fellows who delivered well-attended publiclectures in Auckland were Professor Andrew Matus, Professor ofNeurobiologyattheUniversityofBasel,Switzerland;ProfessorRichardSchrock,co-winnerofthe2005NobelPrizeinChemistry,from the Massachusetts Institute of Technology; Professor Lord Robert Winston, renowned scientist and television presenter ; Professor JohnMraz,ResearchProfessoratTheAutonomousUniversity of Puebla, Mexico; Professor Eli Bartra of The Metropolitan Autonomous University, Mexico City; award winning Italian photographer Philippe Antonello; and renowned Italianfilm-makerSilvioSoldini.

Winning year for Confucius InstituteFor the second time in a row, the Confucius Institute was named Institute of the Year in 2008 from among more than 300 similar Institutes and Classrooms worldwide. Its activities were supported through distributions totalling $85,980 from the Foundation, funded originally by Hanban.

Working with its partner organisations in China and NewZealand,theConfuciusInstituteorganisedavarietyofprojectssuch as helping to promote the 2008 Beijing Olympic Games, launching a national school programme, and organising regional speech and essay competitions. It provided and managed three significantscholarshipstoNewZealanderstodeveloptheirstudyand understanding of China and it continued to offer a translation service, a resource centre, and Chinese proficiency exams.

Economic challenges of ageing population A distribution of $80,182 (original donor: MSA Charitable Trust) in 2008 further supported the work of The University of Auckland Business School’s Retirement Policy and Research Centre, an academically-focusedcentrespecialisingintheeconomicissuesofdemographic change, including the public provision of retirement income(NewZealandsuperannuation).

CentreCo-DirectorDrSusanStJohnvisitedTokyotopresentacomparativestudyof in-workbenefits inNewZealand, theUnited States and the United Kingdom. The Centre is also driving a human rights project on the treatment of overseas pensions.

As well as the Centre hosting several popular events during the year,high-profilemediacommentariesalsokepttheCentreattheforefrontofretirementincomeissues.CentreCo-DirectorMichael Littlewood contributed to a New Zealand Herald feature series with strategies the Government should consider during thisunsettledeconomicperiod. SusanSt John, togetherwithKeith Rankin, released Escaping the Welfare Mess, an update on substantial changes to welfare policy during the term of the Fifth Labour Government (1999 to 2008) and identified the direction ofchangeattheendof2008withtheelectionofaNational-ledGovernment.

Hood fellow Professor bill barton. Photograph by Godfrey Boehnke

ANNUAL REPORT | 2008ANNUAL REPORT | 2008 ThE UNIvERSITy OF AUCkLANd FOUNdATION

5

The Gus Fisher Charitable Trust continued its support of the quest to find a cure for Parkinson’s disease with a donation of $100,000 to fund Dr Patricia Lawlor’s research.

Dr Lawlor previously won a University of Auckland best doctoral thesis award for research into Parkinson’s disease and was the first recipient of the Gus Fisher Post Doctoral Fellowship. The focusofherresearchisidentifyingandpreventingthebuild-upof toxic proteins in brain cells.

Gus and Irene Fisher have already played a strong role in supporting the cultural life of Auckland through their gift of funds to establish the Gus Fisher Gallery on Shortland Street, and this additional gift to support medical research is most welcome.

The Gus Fisher Post Doctoral Fellowship was established to commemorate Gus’s mother Fanny, who died from Parkinson’s disease, and to help others with the disease.

Gifts ReceivedThe Foundation received $10 million in 2008 from its donors.

Quest to cure Parkinson’s disease

Gus fisher, foundation Trustee Hugh fletcher, and Irene fisher Photograph by Bruce Jarvis

Milestone for marine science The proposed new South Pacific Centre for Marine Science at Leigh, north of Auckland, took a significant stepforward in June2008with itslaunch by the then Prime Minister, the Rt Hon Helen Clark, and public acknowledgement of a $4.5 million gift from the Edith Winstone Blackwell Foundation Trust Board.

This magnificent gift was made anonymously in 2007 and included in the Foundation’s Annual Report for that year. The 2008 Annual Report now acknowledges this important milestone for the development of marine science education in the Auckland region.

Leigh marine Laboratory


6


Supporting a healthy start to life

Trust for students with Disabilities Trustees: John Lambert, william spring, Gary Gotlieb, with Tim Greville (University Registrar) and Geoff Ricketts (foundation Chair)

Dame Jennifer Gibbs, CNZm, whose outstanding contribution to education and the community includes supporting the work of the Liggins Institute . Photograph by Patrick Reynolds

Dame Jennifer Gibbs’ life-long commitmentto education began with her involvement at Playcentre in Titirangi, Auckland, in the 1960s. In keeping with her active contribution to education and the community, a donation of $100,000 made to the Foundation in 2008 willsupporttheLigginsInstitute,aworld-classmedical research institute focused on research for a healthy start to life.

Although best known as an art patron, Dame Jenniferhas a30-yearhistoryof supportingtertiary education. An Arts alumna of The UniversityofAuckland,shewastwiceitsPro-Chancellor and served on its Council for more than 25 years.

Entire trust funds gifted

Educational or vocational training will be provided to help tertiary students with disabilities to overcome or adjust to difficulties they may face, using the gift from the Trust for Students with Disabilities.

The Vernon Brown Memorial Trust gift will be used to make awards to students studying architecture, as the Trust was originally established in memory of Vernon Brown’s distinguished service to that profession.

Three entire trust funds were gifted to the Foundation in 2008: theNorthShoreTeachersCollegeTrust,theTrustforStudentswith Disabilities, and the Vernon Brown Memorial Trust. The Foundation thereby took responsibility for the stewardship and administration of these funds, including annual reporting to the Charities Commission and ensuring that future distributions are consistent with the terms of the original Trust.

Academic staff at The University of Auckland’s Faculty of Education willbenefit fromtheNorthShoreTeachersCollegeTrustgift,which will be used to further their professional development.


7

Investing in the growth of our economy A pledge payment of $1.5 million from Owen G Glenn – the final instalment in his $7.5 million contribution – was noteworthy as the largest donation to the foundation in 2008 and was aptly symbolised by the opening of the new Owen G Glenn building.

A fULLY INTEGRATED bUsINEss sCHOOL Opened in February 2008, the new home of the Business School represents in a tangible way the strong and growing relationship the School shares with the business community. The Owen G Glenn Building has amalgamated physically scattered disciplines, departments and activities under one roof, providing opportunities to transform student experiences, introduce new teaching methods and encourage collaborative research programmes.

Continued support and encouragement came from Mr Glenn at the opening ceremony, when he announced the commitment ofafurther$500,000tosetupascholarshipforpost-graduateresearch into businesses entering the international arena. This commitment attracted a 50 percent matching gift from an anonymous donor, with both gifts being paid into the Business School Endowment Fund. The PhD scholarship will be named after both Mr Glenn and the former Dean of the Business School, Professor Barry Spicer. It is expected that the first scholarship will be awarded in 2009.

ENERGY fOR THE fUTURE

In2008theEnergyEducationTrustofNewZealandmadeafurther$324,000donationtosupportTheNewZealandEnergyCentre and scholarships associated with the Centre. Located within The University of Auckland Business School, but with links to the Faculty of Engineering, the Centre was established in response to the growing challenge of energy production and usageinNewZealandandworldwide.

The Owen G Glenn building

The Centre’s outreach is driven by the desire to share its research agenda and findings with “real world” stakeholders and communities, especially through policy/discussion papers and seminars.Lastyear itsstaffpresentedseveral lectures inNewZealandandoverseasandhostedtwovisitingacademics.TheCentre is establishing an advisory group to bring it into contact with a broader range of stakeholders.

bUILDING LEADERsHIP LINKs

A unique collaboration between The University of Auckland’s Business School and its Faculty of Arts culminated in the Power of Portraiture exhibition which focused on the nature of leadership inNewZealandasdepictedincommissionedoilportraits.Theexhibit was visited by more than 5000 members of the public at theGusFisherGallery, inAuckland,andtheNewZealandPortraitGallery, inWellington,betweenNovember2008andApril 2009.

A donation of $177,778 from the Fletcher Building Employee Education Fund supported this and other work of Professor Brad Jackson.InNovember2008ProfessorJackson,withcolleaguesfrom theNewZealand Leadership Institute, hosted the7th International Conference on Studying Leadership at the Business School. This was the first time that this conference had been held outside of the United Kingdom, with 120 leadership scholars attending from 20 different countries.


8


Anthem Foundation for Objectivist Scholarship

ASB Bank Limited

ASB Community Trust

AUEA Charitable Trust

Bank of New Zealand

Building Research

Carl Zeiss P/L

Catspaw Communications Ltd

CooperVision

CPA Australia

Designs for Vision

Donny Charitable Trust

DTZ NZ

Employers and Manufacturers Association Inc

Energy Education Trust of New Zealand

Ernst & Young

Essilor

Fisher & Paykel Appliances

Fletcher Building Employee Educational Fund

Freemasons Roskill Foundation

Friedlander Foundation

Friends of the Liggins Institute Charitable Trust

Friends of The University of Auckland, Inc.

Genesis Energy

Great Potentials Foundation

Gus Fisher Charitable Trust

Hanban

Healtheries of NZ Ltd

Hoya Lens Australia Pty

Humanware

Invitrogen New Zealand Limited

JADE Software Corporation Ltd

Johnson and Johnson (NZ) Ltd

Jubilee Crippled Children Foundation Trust Board

Kiwi Income Property Trust

Laurie Coon Foundation

Lion Foundation

Liquorland

Lou and Iris Fisher Charitable Trust

Marist School

Michael Synnott Charitable Trust

Ministry of Agriculture & Forestry

Ministry of Economic Development

Ministry of Māori Development

Montegrow Orchards

MSA Charitable Trust

Multiplex Capital Ltd

New Zealand Trade and Enterprise

North Shore Teachers College Trust

NZ Defence Force

NZ Institute of Chartered Accountants

Ombler Charitable Trust

Ophthalmic Instrument Company

Optical Holdings Limited

Orakei Trust

Pharmaco (NZ) Ltd

Ports of Auckland Ltd

Ralph and Eve Seelye Charitable Trust

Redwood Group

Robert Leitl Chair in Optometry Charitable Trust

Rotary Club of Ellerslie Sunrise Inc

Rotary Club of Onehunga

Seagar & Partners

Sir John Logan Campbell Residuary Estate

Solid Energy NZ Ltd

Synergenz BioScience Limited

Tamaki College

Telecom NZ Ltd

The Burr Foundation

The Edwin Trust

The Japan Foundation

The Kelliher Charitable Trust

The Roy & Val Allen No.2 Charitable Trust

The Tinnitus Research Initiative

The University of Auckland

Tirohanga Holdings Limited

Todd Foundation

Trust for Students with Disabilities

UK Friends of The University of Auckland

UniServices

Vernon Brown Memorial Trust

GIfT sOURCEs 2008

FOUNDATIONS (38%)

ALUMNI & FRIENDS (25%)

CORPORATIONS (15%)OTHER (22%)

GIfTs PER ACADEmIC AREA 2008

BUSINESS (51%)

SCHOLARSHIPS (4%)

OTHER UNIVERSITY (7%)

EDUCATION (10%)

LIGGINS (5%)

MEDICINE (5%)

ARTS (2%)

LAW (1%)

ENGINEERING (3%)

SCIENCE (12%)

Gifts Received

GIFTS FROM ORGANISATIONS IN 2008


9

Anonymous (95) Acharya, visheshAitken, AlecAitken, EmaAkel, WilliamAlexander, FraserAli, AbdulAmor, RobertAnderson, JohnAnderson, StephenAndrews, ElizabethAndrews, LesArmishaw, RichardArnoux, RosemaryAshby, ColinAshworth, ArthurAtwool, BernersBacarji, ElenaBanbrook, AnthonyBanks, douglasBarker, helenBarlow, AdelaideBarlow, GeoffreyBarron, donaldBeal, GlenBecroft, AndrewBedford, AlbertBerry, SimonBieleski, karenBieleski, RoderickBisphan, AlfredBlack, IanBlackman, JohnBlanchard, PeterBollard, JohnBooker, RolfBowater, EricBowick, heidiBrock, JoanBrothers, MargaretBroughton, henareBrown, JohnBrowne, kevinBruell, EzraBurgess, BerylBurgess, GrahamBurry, AlistairBus, vincentBush, GrahamCalder, JonathanCallaghan, Moeawa

Cameron-Gavin, dorothyCarr, AlexanderCarter, MurrayCaughey, CeliaCawley, RobertChambers, RogerChang, daveyChaplow, RebeccaCharlton, MargeryCheang, GeraldCheung, IngridChik, Wan yanChilwell, MuirClaridge, GraemeClark, NormanClarke, kathClegg, JamesClose, RonCockfield, TerenceColdicutt, helenCompton, RichardCooney, TerrenceCooper, vivienneCrimmins, JudithCrossley, MarkCurrie, Winifredd’arcy, Marydavies, Carolinedavies, Glyndavis, Gabrielledavis, Joandenham, Ronalddennehy, Bernarddenton, Margaretdickens, Pauldickinson, hughdodd, Josephinedoran, Bobdowrick, Noeldullabh, Arvinddye, MurrayEdwards, MatthewElias, victoriaElley, WarwickEllis, GavinEmens-McAdam, JaniceErikson, AlisonEssuman, AdelaideEvans, JimFaithfull, BarbaraFearon, Paul

Fenton, AnnaFergusson, BruceFletcher, AnneFoley, GuyonFoster, RobertFranklin, AndyFuimaono, SamGair, GeorgeGarcia, JordiGarrett, ElisabethGarrett, JenniferGerard, JohnGervai, PamelaGeurts, JacquelineGibbs, JennyGibson, JenniferGibson, PatrickGlenn, OwenGoing, LindaGoodyer, JulieGoulding, JohnGow, JamesGraham, GrantGraham, JenniGraham, JohnGraham, PeterGrant, AndrewGray, SheilaGray, StuartGunasekara, LeelaGunn, Madelinehadlow, karolhall, Ianhanna, Johnharvey, davidhawkins, Allanhawkins, Glennhawley, Johnhay, davidhay, Peterhayward, donaldhe, Liheenan, Toniahickman, dianahickson, Paulhirst, Jerryhoadley, Judithholborow, Lesholmes, Johnholmes, Murielholmes, victor

hooper, Robinhopkins, Barriehosking, Johnhu, Aiguo Patrickhudson, Mikehutchinson, Stuarthutchison, davidhyatt, CynthiaIngram, SimonJackson, ChrisJames, SallyJameson, MichaelJelley, SuJohansson, CoryJohnson, BeverleyJohnson, RussellJones, GudrunJull, denisJunge, Cameronkazmierow, Mariakhan, Sarahkhouri, Philipkibblewhite, Peterkitto, Graemekuschel, Gerdakwee, ConstanceLawrence, JaneLeak, MartinLee, CaitlynLee, davidLi, ZhenzhenLight, derekLin, JohnLindsay, RobertLou, kitLovell-Smith, JaneLuke, RossLusk, hamishMahood, MaryMalloy, MichaelMansell, StephenMataga, desMather, davidMathieson, GarthMayo, JohnMcAdam, BruceMcCullagh, AnthonyMcdonald, hilaireMcElrea, FrederickMcEnteer, NeilMcGuire, Christopher

McLean, MargotMellsop, JohnMiddlemiss, JoanMiller, RaymondMills, StephenMilne, PeterMorel, JennyMoss, AstonMurphy, donaldMusgrove, MichaelNaismith, JoanNewman, WayneNi, BingNicholson, ColinNicholson, GordonNicholson, heatherNicol, GarethNolan, derekO’Connor, CharmianO’Connor, ShirleyOlney, desmondOptican, ScottO’Sullivan, kevinO’Sullivan, MikePalmer, ColinParkinson, WilliamParmenter, RaymondParrish, MurrayParsons, AlanPartridge, JohnPaterson, MargaretPaterson, RonaldPenniket, AndrewPinder, JenniferPing, JoanPoletti, AlanPollard, JoanPratt, WilliamPrins, MarkPybus, JohnQuentin-Baxter, AlisonRanby, PaulRanderson, AnthonyRavono, MereseiniRaymond, AndreRennie, JohnReynolds, RogerRiches, M CRicketts, GeoffRollo, PeterRosser, Mervyn

Ryan, danSapolu, IuniSenick hannif, MohammedSherlock, BettySims, FrankSkelton, PeterSlade, MargaretSmith, davidSmith, SidneySmitheram, NevilleSomerville, AnnisSo’Oalo, SetapuSorrenson, RichardSt John, vickiStanaway, kerryStojanovich, ZoranStone, CarolynStones, AlanSumich, JohnTan, SimonThomas, MarkThomson, SarahTills, AtholTrippner, GeorgeTrounson, GregoryTsai, SuTsui, RaymondTurkington, donTurnbull, Johnvickridge, NoelWahid, AlifWalker, RanginuiWarmington, AndrewWatson, JamesWatts, PeterWebb, dickWhale, MichaelWhite, MichaelWhitwell, haroldWilcox, MichaelWild, AllanWishart, CatherineWood, CyrilWoodward, MaryWoolhouse, LynnWright, JeneferXie, Johnyardley, Warrenyeats, Leslieyoung, darrynZivic, Martina

GIfT TYPEs 2008

CHAIRS (7%)

COMPENSATION (13%)

FELLOWSHIPS (3%)

RESEARCH (18%)

SCHOLARSHIPS AND PRIZES (4%)

PROGRAMMES (8%)

BUILDING (2%)

MULTIPLE (45%)

GIFTS FROM INdIvIdUALS IN 2008

Numberofgifts-559|NumberofDonors-483


10


Investments2008 was one of the most extraordinarily difficult years for long-term investors in modern times; indeed by some measures investors would have to look back to 1931 to find a worse year. Poor returns from major university endowment funds, such as those of Harvard and Yale, have made front page news.

However, because of the meticulous distinction between long-term (endowment) and short-term (current use) gifts, only half of the Foundation’s funds were exposed to these difficulties. This careful policy by the Trustees led to a relatively modest loss of 3.9 percent overall.

ENDOwmENT INvEsTmENT POOL (EIP)

Each endowment donation to the Foundation is invested into, and allocated its share of, the EIP. This pool is structured for long-term growth allowing, in normal years, for both annualdistributions of some income to the beneficiaries (“Available Income”) and retention of the remaining income (“Retained Income”) to protect the capital value of the donations in the endowment pool.

The EIP is invested in approximately 35 percent global equities; 15 percent Australasian equities; 13 percent global sovereign bonds; 13 percent global investment grade corporate bonds; 6 percentNZgovernmentandinvestmentgradecorporatebonds;and 18 percent cash. The planned allocation of 10 percent of the portfolio to property investments has been delayed. The EIP returned a loss (unrealised) of 14.9 percent net of fees for 2008. Because of these unrealised losses, there were no “Available Income”distributions.Theclosingbalanceatyear-endwas$22.3million.

CURRENT UsE INvEsTmENT POOL (CUIP)

Each current use donation to the Foundation is invested into, and allocated its share of, the CUIP. This pool is structured to yield a return close to the official cash rate and hence protect the nominal value of the donation which would normally be used soon after its receipt.

Incontrasttothedifficultiesinthelong-terminvestmentmarkets,theshort-termNewZealand investmentmarketsawreturnsthat were exceptional. The CUIP, which held investments in NewZealandcashandshort-termbanktermdeposits,returned7.9percentnetof fees. Theclosingbalanceatyear-endwas$27.2 million.


11

Friends of The University of Auckland

Friends of The University of Auckland, IncThe US Friends continued their strong support by making two grants totheFoundation in2008, totalling$322,669(NZD).ThemainprojectssupportedincludedtheJimandHazelLordFellowships ($74,041;originaldonors Jim&HazelLord), theSouth Pacific Centre for Marine Science at the University’s Leigh campus($72,126;originaldonorsBrian&SueService), theBrick Family Scholarships in Medicine ($56,257; original donor: Greg Brick), the Glavish Buckley Chair in Physics ($46,725; original donor: Hilton Glavish) and the Segedin scholarships in Engineering ($28,850; original donor: Richard Marshall).

DIRECTORs

Ms Bridget Liddell (Chair), NewYork,NewYork

Professor Ian Buckle,Reno,Nevada

Mr Tim Cameron, NewYork,NewYork

Mr Quentin Hills, San Francisco, California

Professor Roland Horne, Stanford, California

Mr Jonathan Mason, Boston, Massachusetts

Mr Kristofer Segerberg, Fairfield, Connecticut

Mrs Suzanne Service, Tiburon, California

Dr Peter Watson, Washington, District of Columbia

UK Friends of The University of AucklandThe UK Friends also provided significant support to the Foundation granting $177,296 (NZD) with the majority ofthe funds devoted to supporting the Segedin scholarships in Engineering ($102,030; original donor: Professor Les Woods) andtheBusinessSchool($72,121;originaldonorsJohnBuchanan,Eric Tracey, Vodafone and BHP Billiton).

TRUSTEES

Dr John Buchanan (Chair), Surrey

Mr Neil Bogle, London

Professor Sir Graeme Davies, London

Mr Graham Eklund, London

Dr John Hood, Oxford

Mr Quentin Maxwell-Jackson, Surrey

Ms Anne Quinn, London

Ms Cecilia Tarrant, London

Mr Eric Tracey, London

ANNUAL REPORT | 2008ANNUAL REPORT | 2008


Distributions Made 14

Gifts Received 15

TOP ROw fROm LEfT:

mr John Dunn, Professor stuart mcCutcheon, Dr John matthews mr Darren manning (not pictured)

bOTTOm ROw fROm LEfT:

Professor Iain martin, ms faye sumner, mr Peter Tong, Chairman


A muscle cell from the heart of a rabbit appears in this image acquired using the new Zeiss Laser scanning microscope, the Lsm 710. The image was produced by Isuru Dilshan, a PhD student with the biophysics and biophotonics Laboratory in the Department of Physiology.

The School of Medicine Foundation

12


13

GIFTS FROM ORGANISATIONS IN 2008

Centre for Clinical Research & Effective PracticeChisholm Whitney Family Charitable TrustFraser Charitable TrustGrand Lodge of New Zealand FreemasonsMaurice & Phyllis Paykel TrustNew Zealand Association of Clinical ResearchNorth Island English Masonic district Charitable TrustOticon FoundationRedoubt TrustRoche Products (New Zealand) LtdSchering-Plough Pty LtdThe Conference CompanyThe Stevenson Foundation

GIFTS FROM INdIvIdUALS IN 2008

Anonymous (1), duncan, Gwynnhadden, Bruceherring, Lloydkennerley, MelanieMcBeath, NgaireMcGiven, davidPrince, MarjorieSalmon, keith

FOUNDATIONS (38%)

ALUMNI & FRIENDS (51%)

OTHER (22%)

sCHOOL Of mEDICINE fOUNDATION

GIfT sOURCEs 2008

sCHOOL Of mEDICINE fOUNDATION GIfT TYPEs 2008

CHAIRS (7%)

OTHER (8%)

SCHOLARSHIPS (13%)

PROGRAMMES (18%) RESEARCH (54%)

Numberofgifts-34|NumberofDonors-22

I am delighted to be writing my first public report as Chair of The University of Auckland School of Medicine Foundation (SoMF) and to share it with all our generous supporters over the last few years. The report that follows outlines some of the highlights of the year.

Because the balance date was changed this report covers 1 April to 31 December 2008; in future years we will report on a calendar year basis. During this period the Trustees distributed $1.82 million for medical research and student scholarships and received $1.06 million of gifts.

The trustees reviewed our governance and administrative arrangements and made a series of positive changes, including to our Trustee appointment process (Trustees are now appointed

Report from the Chair 2008by The University of Auckland Foundation), the sharing of administrative services with The University of Auckland Foundation,andregisteringwiththeNZCharitiesCommission.With these changes, SoMF is now the premier destination for gifts to benefit health research and teaching in Auckland and every dollar you give is devoted to your charitable aims and applied very carefully to the charitable purpose you outline.

I would like to thank all my fellow Trustees for their commitment and hard work and I hope you can continue to support SoMF as you have in the past. We are proud of the doctors, nurses, pharmacists, researchers, and students that we support and with your help we are committed to finding tomorrow’s cures and educating tomorrow’s carers.

ThE UNIvERSITy OF AUCkLANd SChOOL OF MEdICINE FOUNdATIONANNUAL REPORT | 2008

Peter Tong, Chair

14

Distributions MadeSupporting scientific discovery, improving health outcomes for New Zealanders, and training the next generation of doctors, nurses and pharmacists is at the heart of the School of Medicine Foundation’s vision. In 2008 the School of Medicine Foundation supported a range of research projects and student scholarships, with total distributions of $1.82 million.

Biomedical imaging capability steps upFunding of $475,000 from the Sydney Taylor bequest to the School of Medicine Foundation saw biomedical imaging in Auckland take a significant step forward with the installation of a new confocal microscope at The University of Auckland’s Biomedical Imaging Research Unit (BIRU).


The new Laser Scanning Microscope is the first of its type in the Southern Hemisphere and one of the first in the world. The Zeiss LSM 710 takes advantage of recent advances inspectral imaging to enable multi-channel imaging of severalmolecular labels simultaneously allowing investigation of complex interactions between cellular structures and processes, in 3D and over time.

Professor mark Cannell (at front left), Dr John matthews (Chair, school of medicine foundation) and David flood (microscopy business Group Divisional manager for Carl Zeiss Australia)

ThE UNIvERSITy OF AUCkLANd FOUNdATION

15

Gifts ReceivedConcern for the health and well-being of New Zealanders both young and old drew generous support through gifts to the School of Medicine Foundation in 2008. The total value of gifts for the year was $1.06 million.

AGE-RELATED HEALTH REsEARCH bOOsTED

A gift of $352,000 from the Freemasons Roskill Foundation in 2008 continued support for the research programmes undertaken by Professors Martin Connolly and Richard Faull, which focus on such age-related health issues aschronic disability, frailty and neurodegenerative disease.

FreemasonsNewZealandhasgivenconsiderableassistancefor medical research over the years including supporting The University of Auckland’s Chair in Gerontology since it wasfirstproposedin1983.WithoveraquarterofNewZealand’spopulationexpectedtobeagedover65by2050,compared with 12 percent at present, the health of older people is a major public health issue.

The present holder of the Chair, Professor Martin Connolly, heads a large multidisciplinary team examining how NewZealandorganises theassessment, treatmentandmanagement of chronic medical conditions such as lung disease, heart disease and stroke, which are more common inolderpeopleandaremajorandlong-termburdensforthose affected.

With support from the Freemasons Roskill Foundation, The University of Auckland in collaboration with the Waitemata District Health Board is developing and researching methods to provide the best care possible for frail older people living in the community and in aged care facilities. The study is also looking at the dependency needs of older people in rest homes and private hospitals over the last twenty years. From this emerged the Residential Aged Care Integration Programme, an innovative system to integrate care for older people living in aged care facilities and to support residential aged care staff, including gerontology nurse specialists and wound care specialists.

Professor Faull’s research is focused primarily on understanding how neurodegenerative disorders such as Huntington’s,Alzheimer’sandParkinson’sdiseasesarise,and subsequently applying this knowledge to develop new treatments.

bEQUEsT sUPPORTs CHILD CANCER REsEARCH

AttherequestofNgaireMcBeath,hergenerousbequestof$156,667will be applied to help fund research into the biology of child cancer.

from left: Professor martin Connolly, holder of the freemasons Chair in Gerontology, with mark winger of the freemasons board of benevolence and David mace of the freemasons Roskill foundation, photographed at the mount Roskill property which was sold to establish the freemasons Roskill foundation fund.

ThE UNIvERSITy OF AUCkLANd SChOOL OF MEdICINE FOUNdATIONANNUAL REPORT | 2008


16


Financial Statements


17

ACCOUNTING POLICIES

The University of Auckland foundation Incorporated (foundation) and The University of Auckland school of medicine foundation (sOmf), together being the consolidated entity are each charitable entities domiciled in New Zealand and registered under the Charities Act 2005.

The foundation was established by deed of trust dated 28 November 2002 and a variation to the trust deed establishing the school of medicine foundation granted the foundation the power to appoint the sOmf Trustees. This power of appointment was formally accepted with effect from 1 January 2008. The audited statements of sOmf closest to that date were as at 31 march 2008, at which date the sOmf’s trust equity amounted to $10.735 million.

The summary financial statements are for the year ended 31 December 2008 and have been prepared in accordance with financial Reporting standard 43 summary financial statements. The summary financial statements have been prepared on a historical cost basis except that financial Assets (all of which comprise financial assets at fair value through profit or loss), are measured at fair value.

These summary financial statements are presented in New Zealand dollars (NZD) which is the consolidated entity’s functional currency. All financial information presented in New Zealand dollars has been rounded to the nearest thousand dollars.

The group summary financial statements have been prepared by combining the financial statements of entities that comprise the consolidated entity, being the foundation and sOmf. These group statements include information and results for sOmf for the period 1 April to 31 December 2008

Consistent accounting policies have been employed in the preparation and presentation of the consolidated summarised financial statements. All intra-group balances and transactions and unrealised gains arising from consolidation have been eliminated from these statements.

The consolidated entity is not subject to taxation on its income.

AS AT 31 dECEMBER 2008

The summary financial statements were authorised by the Trustees on 7 April 2009. These have been prepared in order to provide interested persons with a succinct overview of the past performance of the foundation and consolidated entity. The specific disclosures have been extracted from the audited full financial statements dated 7 April 2009.

The full financial statements were audited by wHK Gosling Chapman Partnership who issued an unqualified audit opinion. Users of the summary financial report should note that the information contained therein cannot be expected to provide as complete an understanding as provided by the full financial statements of the financial performance, financial position and cash flows of the foundation and conolidated entity.

Users can view the full financial statements on the foundation website: www.uoafoundation.org.nz. Alternatively users can request the full financial statements from the foundation manager at External Relations, The University of Auckland, Private bag 92019, Auckland 1142.

Trustee7 April 2009

Chairman

Summary Statement of Financial Performance for year Ended 31 december 2008

GROUP FOUNdATION

2008$, 000

2007$, 000

2008$, 000

2007$, 000

Gifts and legacies 11,073 14,579 10,014 14,579

Investment gain/(loss) (1,107) 1,660 (1,809) 1,660

Operating Expenses (205) (1) (170) (1)

Grants and scholarships (3,844) (2,193) (2,021) (2,193)

Net Surplus for the year 5,917 14,045 6, 014 14,045

Summary Statement of Movements in Equity for the year Ended 31 december 2008

2008$, 000

2007$, 000

2008$, 000

2007$, 000

Equity at the beginning of the Year 43,500 29,455 43, 500 29, 455

somf equity contribution 10,735 - -

Total Recognised Revenue and Expenses:

Net surplus for the Year 5,917 14,045 6,014 14,045

Equity at the End of the year 60,152 43,500 49, 514 43, 500

Statement of Financial Position as at 31 december 2008

2008$, 000

2007$, 000

2008$, 000

2007$, 000

Current Assets 2,752 541 1, 482 541

Current Liabilities (950) (1) (401) (1)

Net Current Assets 1,802 540 1, 081 540

financial Assets 58,350 42,960 48, 433 42, 960

Net Assets 60,152 43,500 49, 514 43,500

Represented by:

Equity 60,152 43,500 49, 514 43, 500

Statement of Cash Flows for the year Ended 31 december 2008

2008$, 000

2007$, 000

2008$, 000

2007$, 000

Cash flows from Operating Activities:

Gifts and Legacies Received and Investment

Income13,572 12,719 12, 216 12, 719

Grants and scholarships and Other Payments (3,129) (2,193) (1, 653) (2, 193)

Net Cash Flows from Operating Activities 10,443 10,526 10, 563 10, 526

Cash flows from Investing Activities

financial Assets (8,625) (10,065) (9, 621) (10, 065)

Net Cash Outflows from Investment Activities (8,625) (10,065) (9, 621) (10, 065)

Net Increase/(Decrease) in Cash Held 1,818 461 942 461

Cash at the beginning of the Year 540 79 540 79

somf Cash at the End of the Year 394 - -

Cash at the End of the year 2,752 540 1, 482 540

The University of Auckland Foundation

Private Bag 92019

Auckland 1142

New Zealand

Telephone 64 9 373 7488

Facsimile 64 9 373 8766

Email [email protected]

The University of Auckland Foundation · Auckland 1142 New Zealand Phone 64 9 373 7488 Fax 64 9 373...

Documents

Transcript of The University of Auckland Foundation · Auckland 1142 New Zealand Phone 64 9 373 7488 Fax 64 9 373...