The fund carrying Teosto’s name was established to ensure the continuity of our mission and cultural promotion activities. The Fund is used to offer financial support to organisations such as the Finnish Music Foundation, which provides financial assistance and grants for live music events, audiovisual recordings and a wide range of other musical projects.
The fund was first set up in 2009 for the purpose of securing the ongoing delivery of activities in line with our mission, including the promotion of Finland’s musical heritage.
At the end of 2020, the Teosto Fund was valued at EUR 36,4 million (2018: EUR 33,2 million).
How are the funds used?
In 2020, Teosto awarded a total of EUR 2.1 million from its Teosto Fund to promote Finnish music. The beneficiaries included Music Finland, Teosto’s coronavirus financial support and our member organisations and foundations, such as the Georg Malmstén Foundation, the Sibelius Fund and the fund of the Finnish Music Publishers Association.
The Teosto Fund also provides the funding for the annual Teosto Prize.
National funds were funded in the Teosto Fund. The national funds consist of funds deducted by Teosto in accordance with the client and reciprocating agreements from the copyright royalties it collects. These funds are used for the promotion of Finnish music.
In 2020, the national funds were set at 6 per cent of the distribution of performing right royalties, amounting to approximately EUR 2.6 million.
The fund’s investment policy is based on a long-term approach, which will ensure that the Teosto Fund remains resilient against short-term fluctuations of value.
Allocating the funds to different investment classes (so-called neutral allocation)
- Direct equity investments 50%
- Interest bearing instruments 0%
- Alternative investments 50%
In practice, the investments are carried out through selected partners and funds, with the emphasis on following the principles of responsible investment.
Investment Working Group:
Risto Salminen (Chairman)