2nd Nov 2020 16:39
Scottish Oriental Smaller Companies Trust PLC - investment trust - Says company had "very poor year". Net asset value per share 992.14 pence at August 31, down from 1,158.42p at the same date a year ago. Reports net asset value per share down 13% in total return terms over the 12 months to the end of August, versus its comparative indices, the MSCI AC Asia ex Japan Index and the MSCI AC Asia ex Japan Small Cap Index, which rose by 11% and 7.1% respectively.
"Scottish Oriental's investment performance over the year was poor. The biggest detractors from performance were the large weightings in India, Indonesia and the Philippines. It is mainly in these countries that we have found smaller companies we believe will be the winners in their respective markets with strong growth prospects in the long run. Unfortunately the company's holdings in each of these countries performed in line with local stock markets which in all cases was disappointing," firm says.
Scottish Oriental proposes unchanged dividend of 11.5p.
Company adds: "Given the prevailing economic uncertainty and weakened earnings outlook for Asian companies, many have cut or suspended their dividends. As a result it is likely that the company's dividend will be reduced next year."
Current stock price: 876.00 pence
Year-to-date change: down 12%
By Lucy Heming;Â [email protected]
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