8th May 2014 12:02
LONDON (Alliance News) - Polar Capital Global Healthcare Growth and Income Trust PLC Thursday reported a 13.5% net asset value per share total return, outperforming its benchmark index's 11.8% over the first half of the year.
The trust's benchmark is the MSCI ACWI/Healthcare Index on a total return basis in sterling with dividends reinvested.
The company's undiluted NAV per share increased to 158.14 pence from 148.54 pence over the six months ended March 31.
On a diluted basis, NAV per share increased to the same level but from a lower base of 141.50 pence.
Since the trust's inception in June 2010, it has achieved a total return of 86.1% against the benchmark return of 81.5%.
"We have recently seen a significant correction in the biotechnology sector which has prompted questions as to whether the prolonged rally in healthcare has now come to an end. Our managers believe that a correction in biotechnology was probably overdue and would not be surprised to see the sector recover from this setback," James Robinson, chairman, said in a statement.
"From the company's perspective the pharmaceutical sector is of much greater significance as it accounts for around two-thirds of our portfolio. Our manager believes that large pharmaceutical companies will be beneficiaries of current and forthcoming innovation through their in-licensing and [mergers and acquisitions] strategies with biotechnology and we are also increasingly optimistic about the strength of pipeline development at several of these companies where any success should have a favourable impact on share prices," Robinson added.
By Samuel Agini; [email protected]; @samuelagini
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