Finance | Heather Lamont | 24 Apr 2009

For some endowed charities, falling stock markets may bring serious problems – and not just on paper.

The severe decline in share prices over the last two years is bad news for just about every charity with investments. Nevertheless, if you are a genuinely long-term investor with no intention of selling equities in the near future, you may be able to remain calm while the storm passes over. Even as their share prices fall, plenty of companies are still paying dividends, and it is to this income that many charities look when budgeting their annual expenditure.