23rd Dec 2015 18:08
LONDON (Alliance News) - Schroder UK Growth Fund PLC on Wednesday said its net asset value total return outperformed its benchmark in the first half of its financial year.
In the six months to October 31, the fund's NAV produced a total return of negative 5.3%, beating its benchmark index which showed a total return of negative 5.7%.
"The company's latest half year was a challenging period and many of the uncertainties troubling investors remain to be resolved. Furthermore, our manager continues to believe that overall UK share valuations are not especially attractive, notwithstanding the weakness in stock prices since the market high reached in the summer," Schroder said in a statement.
"Our current portfolio, however, has been constructed from among those companies judged to offer a compelling combination of value and quality and which have the potential to produce very satisfactory returns on capital. When the broader outlook is more appealing, shareholders can expect to see the emergence of a more aggressive stance, including the use of our gearing facility," the company added.
Shares in Schroder closed up 1.6% at 155.50 pence on Wednesday.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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