25th Apr 2019 11:50
LONDON (Alliance News) - Troy Income & Growth Trust PLC said Thursday it outperformed its comparative index in the first half of its financial year, as net asset value rose due to a rapid market recovery.
The investment trust reported a net asset value per share total return of 1.6% for the six months to the end of March, compared to the FTSE All-Share Index, which saw a negative return of 1.8%.
Net asset value per share as at March 31 was 78.51 pence, up from 74.04p the same date the year before, but down from 79.04p at the end of September.
Troy Income & Growth's share price at the end of March was 79.00p, reflecting a 0.6% premium to net asset value.
Shares in Troy Income & Growth were down 0.4% on Thursday at 79.26 pence, having improved slightly post-period.
Troy Income & Growth said although there was continued weakness in European and Asian markets in the last quarter of 2018, UK equity markets saw a sharp recovery at the start of 2019.
However, despite the recovery, the trust remains cautious as uncertainty over US-China trade talks and Brexit remains.
Troy Income & Growth declared an interim dividend of 1.37 pence per share, up 3.8% from 1.32p the prior year.
"In the case of Brexit, it is important to note that the company is not positioned to be on one side of a binary outcome. Parts of the portfolio stand to benefit from a continuing upswing in sentiment towards the UK," said Chair David Warnock.
"However, at the same time, the portfolio retains substantial holdings in core global defensive businesses, reflecting concerns of further market instability. A balance between exposure to the UK domestic economy and resilient dollar earnings continues to seem prudent."
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TIGT.L