The Chairman’s Club

The Michaelhouse Chairman’s Club was founded in the year 2000 to raise funds for the Michaelhouse Bursary Endowment Trust (MBET), and all funds raised by the Club are paid to the Trust and managed by its Trustees. More recently, the Club has been positioned within the context of the Generational Plan which gives the mandate for establishing a meaningful long-term sustainable Endowment Fund for the School.

What is an endowment fund?

An Endowment Fund may be defined as “a pool of funds raised by a non-profit organization which is then invested and which provides returns or ongoing income to that organization, either for a designated purpose or for general operating support.”

The vital importance of endowment funding is now recognised by educational institutions throughout the world. Perhaps the best known educational endowment funds are the Harvard University Fund ($ 36.9 billion) and the Yale University Fund ($ 23.9 billion). These two institutions also lead the way with regard to the theory and practise of endowment fund investing.

Learn more about the MBET here:

Michaelhouse Bursary Endowment Trust

The Concept of the Chairman’s Club

Nowadays, virtually every School of standing has a permanent endowment or fundraising office.

The concept of the Chairman’s Club has been received enthusiastically by the Michaelhouse Community.

The current membership of the Club is 320 and consists of:

275 members from South Africa,
29 members from the UK,
10 members from the USA,
3 members from Australia, and
7 members from other countries.

In 2024, 104 boys were assisted by funds distributed by the MBET which had been raised by the Chairman’s Club. Note this is not the entirety of financial aid distributed.

The MBET investment record has grown the capital base materially over time with a balanced, responsible and international mandate. The investment management of the Trust is outsourced to carefully selected fund managers and investment strategy is closely overseen by the board of Trustees.

The Chairman’s Club is a unique fundraising vehicle in that it allows each member to indicate their preference as to the use to which their donated funds will be put, and then provides for ongoing reporting to the donor.

What is the minimum donation for join?

Membership of The Chairman's Club is awarded to any person making a donation of at least R100,000 to the Michaelhouse Bursary Endowment Trust. This minimum was set in the year 2000 when the club was founded and was based on the equivalent of one year’s fees at Michaelhouse.

In a concession to make the club as affordable as possible, there has been minimal adjustment in the intervening period. It is worth pointing out that current fees are R392,00 (as at January 2025).

It is hoped that new members to the club will recognise the impact of 20 years of inflation when considering the level of their donation.

It should be noted that donations to the MBET can be written off against certain taxable income, which reduces the net cost to the donor up to a material 45%.

Do I have to make the full R100,000 donation upfront?

Donations can be paid upfront or spread over a maximum period of five years to suit the cash flow needs of individual members.

How am I kept up to date on how my donation is being put to work?

A separate record of account is established for each member. Each member receives a customised annual statement of account in respect of the funds that they have donated detailing how the funds have been spent by the School.

Members receive at least two Chairman’s Club letters each year. These letters are specifically designed to keep members fully informed regarding the workings of the School and various strategic initiatives undertaken by the Board.

Membership of the Club provides a sustainable link with Michaelhouse which, it is hoped, will prove to be both an interesting and enjoyable experience.

Does the Chairman’s Club meet?

Yes, annual Chairman’s Club lunches are held in Durban and Johannesburg at which the Chairman of the Board, Chairman of Trustees and the Rector report back to members. Less regular functions are held in Cape Town, London and further afield.

Why does Michaelhouse Need an Endowment Fund?

Michaelhouse needs to plan for the future in an ordered and systematic way, rather than undertaking sporadic fund raising events when the School is faced with urgent needs.

Michaelhouse requires a strong financial platform if it is to maintain its current high standards. In a number of countries private schooling has come under attack with the threatened withdrawal of non taxable status.

A significant endowment reserve will assist in preserving financial independence and enable the School to meet contingencies when they arise.

Michaelhouse provides a large number of boys with financial assistance each year. The School is nevertheless having to turn away exceptional boys who have insufficient funding, but are desperately keen to come to Michaelhouse.

If Michaelhouse is to fulfil its goal of educating future leaders of Southern Africa, the School must become more representative. It is evident that a substantial and growing endowment fund is a prerequisite to meeting this objective.

Michaelhouse is currently enjoying unprecedented success in virtually all spheres of achievement. The product is outstanding and can be benchmarked against the best internationally.

The key to maintaining these standards lies in our hands.

Please accept this sincere invitation to join the Michaelhouse Chairman’s Club.

Kindest Regards