16th Dec 2019 09:06
(Alliance News) - Scottish Investment Trust PLC on Monday said it is "well-placed" for future despite posting a 1.2% drop in annual net asset value.
The stock was 1.0% lower in London at 824.00 pence a share in morning trade.
Scottish Investment Trust reported NAV per share as at October 31 of 915.9p, down from 926.8p a year ago.
The investment company said the share price total return was 1.0% and NAV total return was 0.5% over the year to the end of October. The trust does not have a formal benchmark but, by way of comparison, the sterling total return of the international MSCI All Country World Index was 11% while the UK-based MSCI UK All Cap Index total return was 5.8%.
Scottish Investment Trust proposed a final dividend of 6.90p, taking the total payout for the year up by 7.5% to 22.80p. During the year, 3.3 million shares were purchased for cancellation at an average discount of 9.4% and at a cost of GBP27.0 million.
Looking ahead, Chair James Will said: "As a global investment trust with a diversified portfolio of international equities, it is unlikely that the company's business model or operations will be adversely impacted as a direct result of Brexit."
He added: "In the stockmarket, various trends resulting from cheap money, such as the substantial divergence of stock valuations, seem over-extended and, given our contrarian stance, we believe that the company remains well placed for the future."
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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