18th Jul 2022 12:16
(Alliance News) - Jupiter Green Investment Trust PLC on Monday posted a drop in net asset value, underperforming its benchmark.
Jupiter's net asset value per share fell 3.1% to 258.43 pence as at March 31 from 266.73p a year ago, and with dividends paid its NAV was down 3.3%. Meanwhile its benchmark, the MSCI World Small Cap Index, posted a positive return of 2.6%.
The company's shares fell 21% over the year.
Jupiter Green is an investment firm focused on companies which have a significant focus on environmental solutions.
"The first half of the period under review was characterised by a slump in the share price of some innovator stocks, largely due to profit-taking amidst a change in market sentiment that turned against longer-term growth potential," it explained, adding that there has been a further deterioration in sentiment since.
"In short, innovator companies, positioned to capitalise upon a multi-decade structural growth trend but not yet demonstrating positive earnings, were particularly out of favour," the firm said, "and the company's investment returns were impacted accordingly."
The company declared no dividend, compared to a dividend of 0.64p a year ago and 1.30p two years ago.
Despite the difficult year, Jupiter Green said it believes the long-term outlook for environmental solutions businesses "has if anything been strengthened by recent events."
"Our conviction remains that companies focussed on providing solutions across these challenges can provide superior returns over the medium and longterm," it said.
Jupiter Green shares were 1.6% lower at 190.00 pence each in London on Monday afternoon.
By Tom Budszus; [email protected]
Copyright 2022 Alliance News Limited. All Rights Reserved.