26th Apr 2019 14:29
LONDON (Alliance News) - New Century AIM VCT 2 PLC on Friday said its underperformed its benchmark in 2018 following a sharp decrease in net asset value.
The investment company reported NAV per share of 48.38 pence for 2018, down 29% from 68.29p a year earlier. This is compared to a fall in the FTSE AllShare AIM index of 18%.
"Although the decline in net asset value is disappointing, we still realise the importance of income for our shareholders," explained Chair Geoffrey Gamble.
The trust upped its dividend to 3.40p from 3.30p paid the year prior.
Looking ahead, the company noted that the markets appear to be stabilising to some degree as its NAV at the end of February had recovered slightly to 52.81p.
"Although political events such as the trade war tensions between the US and China, and the ongoing negotiations of Brexit were prevalent before this time, the market became more unsettled from the summer and we witnessed widespread declines in share prices irrespective of the size of the company," said Gamble.
"We are continuing to see new opportunities for investment which bodes well for the fund and although we expect volatility to continue in the months ahead, we are cautiously optimistic for the year ahead," added Gamble.
The stock was untraded on Friday, last closing at 62.00p a share.
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