12th Oct 2023 12:22
(Alliance News) - Fidelity Asian Values PLC on Thursday reported an increased net asset value and a high positive total return, and said Asian markets at present have a relatively positive outlook despite global headwinds.
The investment trust, which backs smaller companies across major Asian economies, said its NAV at July 31 was 549.33 pence per share, up 8.2% from 507.78p at the same time one year prior.
Shares in Fidelity Asian were up 0.3% at 498.45p on Thursday around midday in London.
NAV total return for the year ended July 31 was positive 11.4%, beating the positive 7.5% delivered by the MSCI All Countries excluding Japan Small Cap index.
Fidelity Asian declared a 14.50p per share dividend for financial 2023, up from 14.00p the prior year which was a substantial increase from the 8.80p payout the year before that.
Chair Kate Bolsover explained: "[Portfolio Manager Nitin Bajaj] invests principally for capital growth, but his value-oriented investment style tends to lead him towards unleveraged, cash-generative businesses that may themselves be able to pay rising dividends."
Bolsover will step down at the conclusion of Fidelity Asian's annual general meeting in November, having occupied the role since December 2014. She will be replaced by Senior Independent Director Clare Brady.
Going forward, Bolsover said the outlook for global markets remains uncertain thanks to tensions between the US and China, as well as the Ukraine conflict.
"However, while the Western world continues to struggle with the highest levels of inflation and interest rates in nearly a generation, in many Asian markets, the economic environment is very different, and on a relative basis there are particularly good opportunities compared to the West," she continued.
"As we enter our new financial year, Nitin continues to find good companies he wants to buy and I am therefore optimistic that this, combined with a positive market backdrop in Asia will continue to provide opportunities for investors in the coming year."
By Emma Curzon, Alliance News reporter
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