30th Apr 2024 11:00
(Alliance News) - Pacific Assets Trust PLC on Tuesday reported a negative return in its most recent financial year, though the company's exposure to India allowed it to keep ahead of its benchmark.
The Asia Pacific-focused investment company said that the net asset value total return for the year ended January 31 was minus 1.9%, compared to a 5.7% positive return the previous year.
This compares to a minus 10.5% return for its benchmark, the MSCI All Country Asia ex Japan Index.
As at January 31, NAV per share stood at 384.3 pence, compared to 391.6p a year prior.
Pacific Assets said that the main detractors in its portfolio were companies based in China and Hong Kong including Vitasoy, Glodon Co Ltd and WuXi Biologics.
However, the company's high exposure to the subcontinent allowed it to claw back some returns. Seven of the top ten contributors for the year were based in India, Pacific Assets said, including Mumbai-based CG Power & Industrial Solutions.
The company has declared a final dividend of 4.0 pence per share for the year, up 73% from 2.3p a year prior.
Looking ahead, Pacific Assets said that there was a general expectation of the region maintaining its long-term growth trajectory despite contemporary geopolitical tensions and economic challenges.
"Notwithstanding these risks, our portfolio manager aims to invest for the long term, selecting companies with skilled, successful and experienced management teams, strong balance sheets and sustainable businesses," the company added.
Shares in Pacific Assets were down 0.9% at 361.58 pence each in London on Tuesday morning.
By Hugh Cameron, Alliance News reporter
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