Future Generation Investment Company Limited (ASX: FGX) and Future Generation Global Investment Company Limited (ASX: FGG) announce a combined investment of $6.8 million in Australian charities to be paid in October 2017.
FGX will invest $3.8 million in charities focused on children and youth at risk, and FGG will provide $3.0 million to charities focused on children and youth mental health.
FGX and FGG Founder and Director Geoff Wilson said he was pleased the Future Generation model continued to provide solid investment and social returns, with the value of the pro bono support well exceeding the investments in the charities.
“In addition to delivering risk-adjusted returns to shareholders through capital growth and fully franked dividends, FGX and FGG provide a significant, permanent and growing stream of funding to charities focused on Australia’s future generations,” Wilson said.
“Thanks to the generous support of our fund managers, service providers, Board and Investment Committee members, the Future Generation companies’ social return of 1.0% of assets each year can be made while benefitting shareholders by $3.3 million. This pro-bono support represents savings of $10.1 million last year, significantly exceeding the combined investment of $6.8 million to charities,” he said.
FGG Chairman Belinda Hutchinson said the company’s $3.0 million investment would have a significant impact on children and youth mental health, enabling a number of initiatives to be implemented by its designated charities.
“Funding from FGG will provide crucial support to our charities, including opening Australia’s first intensive outpatient program for young people aged 14-24 with eating disorders, a targeted mental health national awareness campaign, reaching more than five million young adults, and the development and implementation of online clinical assessment tools for over 500 young people experiencing suicidal thoughts and behaviours,” Hutchinson said.
FGX Chairman Jonathan Trollip said the company was excited to see the vital work that the charities would deliver following the investment.
“FGX’s $3.8 million investment will deliver a range of initiatives to our charities such as essential crisis support and counselling delivered to over 250 children orphaned or abandoned due to parental drug use, cultural mentoring and support for disadvantaged Aboriginal youth, and specialist music teachers to be employed to teach over 1,700 disadvantaged children,” Trollip said.
FGX and FGG Chief Executive Officer Louise Walsh said the companies would continue to deliver significant support to charities focused on Australia’s future generations.
“Since inception, Future Generation has invested over $13.2 million in Australian charities, and we expect this annual investment will grow each year,” Walsh said.
About Future Generation’s Charitable Objectives
Listed in 2014 (FGX) and 2015 (FGG), the Future Generation companies provide shareholders with exposure to leading Australian and global fund managers without paying management or performance fees, charities with a consistent and growing stream of annual donations, and fund managers with a unique opportunity to make a positive difference to Australia’s future generations.
The objectives of the companies are to provide shareholders with an attractive investment and an ongoing source of funding for Australian charities, with a focus on children at risk (FGX) and youth mental health (FGG).
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.
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.