MIGO
Opportunities Trust plc
Half-Yearly
Report for the six months ended 31 October
2023
MIGO
Opportunities Trust plc (the “Company” or “MIGO”) has today
released its Half-Yearly Report for the six months ended
31 October 2023.
The
Half-Yearly Report and other information will be available
via
www.migoplc.co.uk
A copy of
the half-yearly report will also be submitted to the National
Storage Mechanism and will shortly be available for inspection
at
https://data.fca.org.uk/#/nsm/nationalstoragemechanism
Enquiries:
Frostrow
Capital LLP
Company
Secretary
DDI: +44
(0)203 709 8732
Email:
info@frostrow.com
Financial
Highlights
|
Six
months ended
|
Year
ended
|
|
|
31
October 2023
|
30
April 2023
|
%
change
|
Net asset
value (“NAV”) per share
|
319.2p
|
328.6p
|
(2.9)%
|
Share
price
|
310.5p
|
318.5p
|
(2.5)%
|
Share
price discount to NAV per share
|
(2.7)%
|
(3.1)%
|
|
Total net
assets
|
£74.0m
|
£79.8m
|
(7.4)%
|
Net asset
value volatility*
|
4.1%
|
8.2%
|
|
Gearing*
|
–
|
–
|
|
Ongoing
charges*
|
1.6%
|
1.4%
|
|
* Alternative
Performance Measure (“APM”), see Glossary.
For
commentary in respect of the above figures and Company’s
performance during the year please see the Chairman’s Statement and
the Manager’s Report.
Total
Return Performance to 31 October
2023
|
6
months
|
1
year
|
5
years
|
|
%
|
%
|
%
|
Net asset
value (dividend adjusted)*
|
(1.9)
|
(1.2)
|
19.3
|
Share
price (dividend adjusted)*
|
(1.6)
|
(3.6)
|
15.8
|
SONIA plus
2%
|
3.5
|
6.4
|
17.5
|
* Alternative
Performance Measure, see Glossary.
Source:
Morningstar
Investment
Objective
The
objective of MIGO Opportunities Trust plc (the “Company” or “MIGO”)
is to outperform SONIA plus 2% (the “Benchmark”) over the longer
term, principally through exploiting inefficiencies in the pricing
of closed-end funds (SONIA being the Sterling Overnight Index
Average, the Sterling Risk-Free
Reference Rate preferred by the Bank of England for use in Sterling derivatives and
relevant financial contracts). This objective is intended to
reflect the Company’s aim of providing a better return to
shareholders over the longer term than they would get by placing
money on deposit.
The
Benchmark is a target only and should not be treated as a guarantee
of the performance of the Company or its portfolio.
Investment
Policy
The
Company invests in closed-end investment funds traded on the London
Stock Exchange’s main market, but has the flexibility to invest in
investment funds listed or dealt on other recognised stock
exchanges, in unlisted closed-end funds (including, but not limited
to, funds traded on AIM) and in open-ended investment funds. The
funds in which the Company invests may include all types of
investment trusts, companies and funds established onshore or
offshore. The Company has the flexibility to invest in any class of
security issued by investment funds including, without limitation,
equity, debt, warrants or other convertible securities. In
addition, the Company may invest in other securities, such as
non-investment fund debt, if deemed to be appropriate to produce
the desired returns to shareholders.
The
Company is unrestricted in the number of funds it holds.
The
Company invests in listed closed-end investment funds that
themselves have stated investment policies to invest no more than
15% of their gross assets in other listed closed-end investment
funds. However, the Company may invest up to 10%, in aggregate, of
the value of its gross assets at the time of acquisition in
closed-end investment funds that do not have such a stated
investment policy.
In
addition, the Company will not invest more than 25%, in aggregate,
of the value of its gross assets at the time of acquisition in
open-ended funds.
There are
no prescriptive limits on allocation of assets in terms of asset
class or geography.
There are
no limits imposed on the size of hedging contracts, save that their
aggregated value will not exceed 20% of the portfolio’s gross
assets at the time they are entered into.
The Board
permits borrowings of up to 20% of the Company’s net asset value
(measured at the time new borrowings are incurred).
The
Company’s investment objective may lead, on occasions, to a
significant amount of cash or near cash being held.
Chairman’s
Statement
Introduction
In the six
months to 31 October 2023, financial
markets around the world continued to be impacted by rising
interest rates aimed at squeezing inflation back to central bank
target levels. These higher rates and the fears they could hurt
profit growth and lead to credit defaults have weighed heavily on
share prices across the globe, with the notable exception of a few
highly rated US stocks deemed to be beneficiaries of emerging AI
technologies.
Domestically,
UK consumers have struggled with higher interest rates and a cost
of living crisis made worse by high inflation and energy prices. As
these consumers are, ultimately, the source of much demand for UK
investment products of all kinds, we have seen a material reduction
in demand for investment trusts over the period. Coupled with other
demand effects such as the consolidation of the wealth management
sector and increasing moves to global benchmarks, discounts to net
asset value across the sector have been pushed to levels not seen
since the global financial crisis.
Despite
these trends and a slightly weaker share price, MIGO has continued
to trade at a tight discount as supportive regular buybacks and our
Investment Manager’s cash balance and value approach of buying at
wide discounts has retained investor confidence.
Investment
Manager, Registered Office, Depositary and
Custodian
Aside from
market events, 2023 has been dominated by the search for a new AIFM
and Investment Manager for MIGO following the news early in the
year, that our portfolio manager, Nick
Greenwood, had decided to leave Premier Miton Investors (“PMI”).
Between
March and June the Board of MIGO – after consultation with our
lawyers and brokers – performed a full manager review including
detailed shareholder engagement. Feedback from shareholders made it
clear that MIGO’s investors wanted MIGO to retain its existing
investment objective and policy, ideally with the established
investment team in place. Close to a dozen possible investment
management houses, ranging from large multi-national groups to
small boutique managers, were reviewed in a rigorous selection
process. The result of this exercise was a unanimous decision by
the Board to appoint Asset Value Investors Limited (“AVI”) as the
Company’s future AIFM and Investment Manager, subject to regulatory
approval, which was announced on 27 July.
Since
then, and as announced on 16 October, it has been agreed that
Nick Greenwood would join AVI to
co-manage MIGO along with Charlotte
Cuthbertson, both of whom are well known to our longer-term
investors as the Company’s lead portfolio managers for a number of
years. AVI’s appointment commenced from close of business on Friday
15 December, concurrent with PMI completing its role as investment
manager. Nick Greenwood joined AVI
the following business day, Monday 18 December.
Also, with effect from 18 December
2023, the registered office moved to the offices of Frostrow
Capital LLP, our Company Secretary, Marketing and Administration
Manager. The new address can be found at the end of this
document.
The Board
would like to thank Premier Miton for its cooperation in this
transition and for their hard work and support over the
years.
We also
look forward to working with AVI, an experienced manager of
investment trusts and of funds investing in the investment trust
sector, and the Board expects MIGO to benefit from AVI’s deep
sector expertise and supportive analyst resource as well as its
distribution and marketing channels. Over the past five years, AVI
has added significant resource to its investment research team;
this depth of knowledge will be available to support MIGO’s
portfolio managers. Further information can be found at:
www.assetvalueinvestors.com.
Together
with a new AIFM and Investment Manager, MIGO also has a new
Depositary and Custodian, JP Morgan Europe Limited and JP Morgan
Chase Bank respectively. AVI and its client funds have well
established working relationships with JP Morgan. We thank the team
at BNYM for their support over the years and for their help in
transitioning the Company’s business over to JP Morgan.
We look forward to working with JP Morgan’s excellent team who have
contributed to making the transition an easy one.
In spite
of all the uncertainty over the past months, it has been
encouraging to see that shareholders have been happy to stand by
MIGO and await further developments. Accordingly, supported in part
by the Board’s proactive approach to buybacks, our share price and
discount have held at reasonably steady levels. I thank everyone
for their patience.
Board
Changes
As already
noted in the annual report, the appointment of AVI as our new AIFM
and Investment Manager meant that Katya
Thomson could no longer be considered independent under the
AIC’s Code of Corporate Governance, as she also sits on the board
of another AVI managed investment trust. She had therefore taken
the decision to step down from her role as non-executive director
and Chairman of the Audit Committee once a replacement could be
found.
Consequently,
the Board undertook a search for a new independent, non-executive
Director with the necessary qualifications to take over from Katya
as Chairman of the Audit Committee. As already announced on
12 December 2023, I am happy to
report that the Directors have appointed Ms Caroline
Gulliver to join the Board and as our new Chairman of the
Audit Committee with effect from the close of business on
29 December
2023. Katya will step down from her role on the same day,
but will continue to be available to support Caroline and the Board
of MIGO for as long as needed.
Having
graduated in Accountancy from the University
of Dundee in 1987, Caroline joined EY as graduate trainee in
Edinburgh where she spent a 25
year career, latterly as an Executive Director in London, acting as Senior Statutory Auditor for
many investment trusts and open-ended investment companies. She
also worked on a large number of investment trust Stock Exchange
transactions including new fund launches, both onshore and
offshore, and fund reconstructions and mergers. Caroline left EY in
September 2012 to pursue other
interests including non-executive directorship positions. She
currently has three active closed-end fund Board appointments – JP
Morgan Global Emerging Markets Income Trust plc, International
Biotechnology Trust plc and abrdn European Logistics Income plc.
She is a member of the Institute of Chartered Accountants of
Scotland (CA).
The Board
warmly welcomes Caroline and looks forward to working with her. At
the same time, we will miss Katya’s insights and wish her well for
the future, thanking her for many years of support and advocacy of
MIGO.
Performance
Over the
six months to 31 October 2023 the
Company’s NAV per share total return (dividend adjusted) fell by
1.9% and the share price total return (dividend adjusted) fell by
1.6%. In comparison, the Company’s Benchmark, sterling SONIA +2%,
delivered a total return of 3.5%.
A
comprehensive review of the factors affecting the Company’s
performance during the period, and developments in the portfolio,
can be found in the Investment Manager’s Review.
We continue
to believe that the current environment is ideal for the value
driven style of our Investment Manager to find new attractively
priced investments over the next year. Net cash at the period-end
was £6.9 million or 9.5% of NAV, which is ready to be deployed when
value opportunities arise.
Dividend
On
5 October 2023, a final dividend of
3.0p per share in relation to the year ended 30 April 2023 was paid to shareholders on the
register as of 8 September
2023.
The
Company’s principal objective remains to provide shareholder
returns through capital growth in its investments and outperforming
SONIA plus 2% over the longer term. Therefore, the Board is
maintaining its current policy to pay only those dividends
necessary to maintain UK investment trust status. Subject to the
investment trust rules, any dividends and distributions will
continue to be at the discretion of the Board from time to
time.
Share
Price, Share Issuances and Buybacks
MIGO’s
share price decreased over the period from 318.5p to 310.5p and the
shares traded at a small discount to NAV per share of 2.7% at the
end of the period, up from trading at a 3.1% discount to NAV per
share at the last year end at 30 April
2023.
From May
to October 2023, the Company
undertook buybacks of 1,125,000 shares in order to manage the share
price discount and protect liquidity in the market. This support
for the shares was particularly important given the ongoing new
manager search and wait for regulatory approval as well as weakness
in the investment trust sector at that time. As at 31 October 2023, the Company had 23,172,797
(30 April 2023: 24,297,797) shares in
issue. Since the period-end, a further 100,000 shares
were bought back.
The
Board’s policy is to be proactive in managing the share price
premium or discount. Issuing new shares at a premium to NAV per
share creates value for existing shareholders and any share
issuance also improves the liquidity of the Company’s shares,
controls the premium to NAV per share at which the shares trade and
spreads the operating costs over a larger capital base, reducing
the ongoing charges ratio. Share buybacks reduce the overhang of
shares in the market and correct imbalances of supply and demand.
The Board, PMI as the Investment Manager and the Company’s broker
were in regular contact in order to be able to react swiftly to any
disproportionate premiums or discounts the Company’s shares were
trading at. This is expected to continue with AVI as the new AIFM
and Investment Manager.
At the
Annual General Meeting (“AGM”) held on 20
September 2023, shareholders gave the Board authority to
issue shares of up to 10% of issued share capital at the time,
whilst disapplying pre emption rights, amounting to a total of
2,354,779 shares in total. At the AGM the Board also received
shareholders’ authority to buy back up to 3,529,814 shares, or
14.99% of issued share capital. These authorities will expire at
the next AGM when the Board will ask for renewed
authorities.
Ongoing
Charges Issues
Investors
will be aware of the ongoing charges figure (“OCF”) which is the
charge paid over a year quoted on the 'Key Investor Information'
(“KID”) document. The Board, our advisers and many investment trust
specialists have long considered the figure misleading as we
believe it double counts the cost of investing in other investment
trusts. A significant portion of MIGO’s OCF (1.29% out of a total
OCF of 2.81% as per 16 October 2023
KID) is due to costs incurred by the underlying investments and is
not an additional cost to MIGO – and is therefore not represented
under Financial Highlights. Whether actual and underlying costs are
presented in one single figure or in a layered approach, many
platforms and readers will add them up, and in an industry where
low fee levels are sometimes misunderstood as the simplest way to
evaluate how value is delivered, this can become a
problem.
The Board
of MIGO, together with many other industry participants, has
lobbied the Association of Investment Companies and HM Treasury to
intervene to confirm that costs associated with listed investment
companies should be excluded from the ‘single figure’ OCF across
all retail product and service categories. This, together with
amended legislation, should show companies like ours as competitive
as they really are. The first results of this lobbying activity
have been in the news recently, as responsibility for this issue
has been passed to the FCA. We await clarity and a common sense
solution.
Outlook
2023 has
been a year of significant change for MIGO and for the investment
trust sector. Discounts across the investment trust sector have
widened materially, presenting numerous attractive investment
opportunities for the Company, both within sectors we have long
followed and invested in, and in sectors which have historically
traded at tight discounts or, indeed, premiums to net asset value
where tight ratings have previously precluded our investment. With
a new AIFM and Investment Manager in place we feel MIGO is ready
for what 2024 will bring.
As a
result we believe the portfolio is well positioned both for future
growth in net asset values within portfolio companies and for the
tightening of discounts across the sector.
The Board
is optimistic for the future of MIGO and thanks shareholders for
their continued support.
Richard Davidson
Chairman
19 December 2023
Investment
Manager’s Report
for the
six months ended 31 October
2023
Performance
During the
six months to 31 October 2023, our
net asset value fell from 328.25p to 319.13p. This represents a
fall of 1.86% in capital terms once the payment of a 3p dividend is
taken into account. In comparison,
the Numis All-Share Index* declined 11.7% in capital terms. Our
shares also declined 2.51% and ended the half year trading on a
2.7% discount
* The
full investment companies universe as defined by Numis Securities
Research including both equities and alternative asset investment
companies.
The period
under review was one of the toughest in recent years for the
investment trust sector. It faced
a perfect storm. This reflected a combination of four factors:
rising UK interest rate expectations, kneejerk selling in the face
of weak share prices, the rapid consolidation of the wealth
management industry and, most importantly, the methodology used to
disclose costs which makes closed end funds appear expensive when
compared to their open ended peers. Given these torrid conditions
during which the FTSE All Share Closed End Index slumped 8.47%, our
portfolio held up well. This was partially due to the cash balances
we held entering the period.
Expectations
as to where UK interest rates would peak steadily rose. At one
point, forecasts approached 6.5%. During the summer it was possible
to buy a two-year gilt on a redemption yield of 5.4%. Bearing in
mind the vast majority of this return is effectively tax free for
many investors, the ability to get a decent income from
conventional sources undermined demand for many trusts. These were
created to find a solution to the lack of income at a time when
deposit rates were close to zero. In the new environment they
needed to yield a premium to gilts which meant that share prices
needed to fall. The sharp declines reflected a lack of demand
rather than concerns about the quality of these trusts’ underlying
investments. This provided an arbitrage opportunity given that in
many cases demand for what the trusts owned remained steady. It was
simply the structure in which they were held which was out of
favour. This is certainly true for our existing position in Aquila
European Renewables which has invested in solar assets in Iberia
and wind farms in Scandinavia. It is in the alternatives sector
where the bulk of our research efforts are currently focused
seeking portfolios which have the scope to grow both net asset
value and dividends.
In recent
decades the wealth management industry has been a significant owner
of trusts. Investec’s recent merger with Rathbones highlights the
extent of the last decade’s consolidation from hundreds of small
independent private client stockbrokers into a small number of
major national chains. Given the newly combined organisation will
have assets under management of £100 billion, it is difficult to
see how these organisations will be able use closed ended funds in
the longer term. In order to move the needle investors would want
potential investments to represent at least 1% of their portfolio.
In the case of a £100 billion pound pot this means buying a billion
pounds’ worth of shares. Even in the case of the very largest
trusts, this would be challenging. In the shorter term any
unwinding of exposure is likely to be felt in trusts with market
capitalisations between £500 million and £1 billion in size which
until recently were big enough for the mega chains to include
within portfolios.
The most
serious threat comes from the unintended consequences of regulation
which threatens the sector’s very existence. The methodology behind
the calculation of underlying costs continues to drive capital from
the sector. Investment trusts now appear very expensive especially
in alternative asset classes such as shipping, private equity and
second-hand life polices, where these calculations throw up some
very strange results and, as a result, many trusts are uninvestable
for some types of investors whose products are marketed on grounds
of low cost. Whilst there has been some encouragement lately with
HM Treasury acknowledging the problem and the issue being debated
in the Houses of Parliament, we may have to wait some time for
reform. Furthermore, it is clear that advisers have reacted to weak
trust share prices associated with widening discounts by
selling.
These
challenges have supressed demand and left the market oversupplied.
Given that trusts trade wherever the balance of supply and demand
lies, it is not surprising that discounts across the sector stand
close to widest ever levels. Previous occasions when share prices
fell this far below the value of underlying portfolios were times
of extreme stress in markets such as the global financial
crisis.
We have
heard the death knell sounded for investment trusts many times
before. The sector has always evolved and progressed. There are
self help measures which can be adopted. Oversupply can be dealt
with via buy backs. The law of natural selection is alive and well
in the world of closed end funds and we expect to see the recent
trend of mergers and wind downs to continue. There are new
audiences to focus on, such as self-directed investors and newer
wealth management businesses often staffed by individuals who have
departed the vast chains. Despite experimental capital structures
being mooted, the closed end fund is the best structure for
accessing illiquid asset classes. The travails of open ended
property funds sum up the challenges and explain why investment
trusts will continue to exist.
Contributors
Within our
portfolio, uranium proved to be our greatest contributor as the
metal’s spot price crept up steadily. A severe shortfall in supply
is developing. This has been exacerbated by energy security
concerns given Russia and
Kazakhstan’s roles in the supply chain. Turmoil in Niger is disrupting supplies of Uranium to the
French power industry. The decision to extend the lives of many
power stations in an effort to achieve net zero is leading to
demand being much greater than expected in the short term. Longer
term demand will be driven by the build out of the nuclear industry
in the Middle East and
Asia. Whilst uranium is not a rare
metal, it will be impossible to boost supply meaningfully given the
long lead times , often a decade, in turning a promising deposit
into a working mine.
Shares in
Georgia Capital have continued
their steady appreciation yet still trade at an extreme discount.
The country stands at the traditional economic sweet spot where
wealth has just reached the point where the population can afford
to visit pharmacies, get their cars serviced and insured and pay to
get their children educated. In the short term the local economy
has been boosted by the arrival of much of Russia’s IT Industry who
prefer Tbilisi to the risk of
being called up at home. Despite recent successes we doubt whether
the trust has a long-term future. In current conditions It is
difficult enough for any investment trust to generate a following,
let alone an eastern European single country fund. At some point
this will be recognised and an alternative structure sought. Should
the team who are significant shareholders seek an exit, they will
achieve this by handing back assets to shareholders at market
value. Georgia Capital is exactly the sort of situation we seek. It
offers returns from an attractive macro view as well as a special
situation element.
We have
benefitted from the three-way merger between Nippon Active Value,
Atlantis Japan and Aberdeen Japan. We were able to exit from some
of our Atlantis shares at a modest discount. This transaction has
removed what has proved to be one of our more disappointing
holdings and move the focus towards activist investing in
Japan, one of our current themes.
We already owned shares in Nippon Active Value which has become one
of our largest holdings post-merger.
Other
useful contributions came from exposure to India and Vietnam. Both countries have benefited from
multinationals seeking to diversify their supply chains and
manufacturing operations away from China, given the deterioration in relations
with the United States.
Detractors
Disappointments
include Baker Steel Resources, Phoenix Spree Deutschland and Macau
Property Opportunities. In the case of Baker Steel there is
currently little interest in lending to develop new mines and many
of the trust’s projects have been delayed in the absence of
financing. It is noticeable that the carrying value of these assets
are now only a fraction of what they would be worth as an
operational mine. Baker Steel shares trade at a significant
discount to the already depressed carrying value. It would only
need a couple of successes to drive the share price significantly
higher. It is a bit of a mystery as to why Phoenix Spree is so
depressed given that locally listed peer Vonovia has been moving
steadily higher in recent months. There remains a shortage of
residential property available to rent in Berlin. The most likely reason is a lack of
interest and knowledge about the asset class amongst UK Investors.
After a burst of excitement about the reopening of China post-Covid, recent newsflow has been
depressing and taken its toll on the Macau Opportunities share
price.
Despite
solid progress within its portfolio, Oakley Capital’s share price
struggled during the period. Private equity trusts have been
particularly hard-hit by the cost disclosure issues discussed
earlier.
Additions
We have
added to the unloved biotechnology sector by introducing a holding
in RTW Biotech Opportunities. The biotech sector is suffering from
a hangover as the result of the excesses of 2021. The sector tends
to be categorised as early stage and its share prices move
inversely to Treasuries. Therefore, Biotechs have been punished as
interest rate expectations have increased and the sector now trades
at a twenty year low, leaving market prices out of synch with
fundamentals. Retail investors and investment tourists have long
departed share registers. The inverse correlation with Treasuries
explains why counterintuitively the sector acts defensively heading
into a recession. Increased innovation has led to significantly
more drugs reaching the market with a record number of approvals
expected in 2023. Fifty per cent of new products are developed by
smaller companies so the long term winners are unlikely to be the
big index stocks. A significant number of blockbuster drugs are
coming off patent so big pharma has an urgent need and the
necessary cash to buy Biotechs in order to restock product lines.
The Inflation Reduction Act ensures that drug pricing is off the
agenda in the run up to the forthcoming US election. We have
adopted a package approach owning Biotech Growth and International
Biotechnology in addition to RTW Biotech. Discount controls mean
that the value lies in underlying portfolios rather than these
trusts trading below stated NAV.
We bought
a position in Ecofin US Renewables after its Texan wind farm was
damaged by a tornado. The utility substation which connects the
site to the grid was destroyed. A new connection is being made via
another substation. In the meantime, the trust will pay a reduced
dividend. We believe that the reaction in the share price was out
of proportion to the challenges.
Departures
Industrials
REIT was acquired by Blackstone at the beginning of the period and
Atlantis Japan was taken over by Nippon Active Value as noted
earlier. Vietnam Enterprise was sold into strength leaving our
Vietnam exposure focussed on
VinaCapital Vietnam Opportunities.
Outlook
In recent
weeks the outlook has brightened as expectations of further
interest rate rises have petered out. Investors will now anticipate
their eventual decline. Many investment trust share prices are
languishing at levels which generate attractive yields for
investors buying today. Should interest rates actually fall, this
attraction will grow further. In the medium term such wide
discounts are unsustainable as, if the market fails to properly
value closed ended funds for structural reasons, then the real
world will claim the underlying assets on the cheap albeit at
higher levels than today. Furthermore, should there prove to be a
sensible reform of the cost disclosure regime, we should expect
trust share prices to rally sharply as investors who have been
forced onto the sidelines are allowed to return to the market.
Generally speaking, when discounts have become very wide trust
investors have then benefitted from the powerful combination of
rising net asset values and narrowing discounts. Given the
widespread opportunities to exploit mispricings, our cash position
steadily declined during the period under review and has continued
to decline since.
Nick Greenwood
Asset
Value Investors Limited
19 December 2023
Average
underlying discount*
Top
12 stocks
|
Weight
(%)
|
Discount
(%)
|
VinaCapital
Vietnam Opportunity Fund
|
6.4%
|
(19.6)
|
Georgia
Capital
|
5.4%
|
(59.2)
|
Yellow
Cake
|
4.9%
|
(16.6)
|
Geiger
Counter
|
4.8%
|
(26.0)
|
Oakley
Capital Investments
|
4.2%
|
(38.3)
|
Nippon
Active Value Fund
|
4.0%
|
(8.9)
|
JPMorgan
Indian Investment Trust
|
3.8%
|
(19.8)
|
Baker
Steel Resources Trust
|
3.2%
|
(48.7)
|
NB Private
Equity Partners
|
3.2%
|
(30.1)
|
Aquila
European Renewables
|
3.1%
|
(26.4)
|
Phoenix
Spree Deutschland
|
2.7%
|
(61.4)
|
New Star
Investment Trust
|
2.7%
|
(38.0)
|
Average
discount
|
48.4%
|
(32.8)1
|
Source:
Bloomberg, 31.10.2023.
1 Please
note that the average discount figure only takes into account the
top 12 holdings in the portfolio.
Portfolio
Valuation
as at
31 October 2023
Security
|
Investment
Sector
|
Region
|
Valuation
£’000
|
%
of
NAV
|
VinaCapital
Vietnam Opportunity Fund
|
Private
Equity
|
Asia
Pacific – Vietnam
|
4,730
|
6.4%
|
Georgia
Capital
|
Equity
|
Europe
|
3,965
|
5.4%
|
Yellow
Cake*
|
Mining –
Uranium
|
Global
|
3,588
|
4.9%
|
Geiger
Counter#
|
Mining –
Uranium
|
Global
|
3,515
|
4.8%
|
Oakley
Capital Investments
|
Private
Equity
|
Global
|
3,135
|
4.2%
|
Nippon
Active Value Fund
|
Equity –
Small Cap
|
Japan
|
2,988
|
4.0%
|
JPMorgan
Indian Investment Trust
|
Equity
|
India
|
2,815
|
3.8%
|
Baker Steel
Resources Trust
|
Mining
|
Global
|
2,397
|
3.2%
|
NB Private
Equity Partners
|
Private
Equity
|
North
America
|
2,382
|
3.2%
|
Aquila
European Renewables
|
Other –
Renewables
|
Europe
|
2,295
|
3.1%
|
|
|
|
31,809
|
43.0%
|
Phoenix
Spree Deutschland
|
Real
Estate
|
Europe
|
2,028
|
2.7%
|
New Star
Investment Trust
|
Equity
|
Global
|
2,026
|
2.7%
|
Real Estate
Investors*
|
Real
Estate
|
UK
|
1,994
|
2.7%
|
Duke
Royalty*
|
Other –
Alternative Lender
|
Global
|
1,985
|
2.7%
|
EPE Special
Opportunities*
|
Private
Equity
|
UK
|
1,899
|
2.6%
|
International
Biotechnology Trust
|
Equity
|
UK
|
1,540
|
2.1%
|
River &
Mercantile UK Micro Cap Investment Co
|
Equity –
Small Cap
|
UK
|
1,502
|
2.0%
|
CQS Natural
Resources Growth And Income
|
Mining
|
Global
|
1,499
|
2.0%
|
Hansa
Investment Co
|
Equity
|
Global
|
1,373
|
1.9%
|
Biotech
Growth Trust
|
Equity
|
UK
|
1,364
|
1.8%
|
|
|
|
49,016
|
66.3%
|
Downing
Strategic Micro-Cap Investment Trust
|
Equity –
Small Cap
|
UK
|
1,328
|
1.8%
|
Dunedin
Enterprise Investment Trust†
|
Private
Equity
|
Global
|
1,269
|
1.7%
|
Ground
Rents Income Fund
|
Real
Estate
|
UK
|
1,240
|
1.7%
|
Life
Settlement Assets
|
Other –
Life Policies
|
North
America
|
1,183
|
1.6%
|
Macau
Property Opportunities Fund†
|
Real
Estate
|
Asia
Pacific – China
|
1,120
|
1.5%
|
India
Capital Growth Fund*
|
Equity
|
India
|
1,029
|
1.4%
|
Amedeo Air
Four Plus
|
Other –
Specialist Fund
|
UK
|
1,013
|
1.4%
|
Ecofin US
Renewables Infrastructure Trust
|
Private
Equity
|
North
America
|
995
|
1.3%
|
Schroder
Capital Global Innovation Trust
|
Equity
|
Global
|
961
|
1.3%
|
Rockwood
Strategic*
|
Equity –
Small Cap
|
UK
|
889
|
1.2%
|
|
|
|
60,042
|
81.2%
|
Rights
& Issues Investment Trust
|
Equity –
Small Cap
|
UK
|
817
|
1.1%
|
VPC
Speciality Lending Investments
|
Other –
Alternative Lender
|
Global
|
787
|
1.1%
|
Henderson
Opportunities Trust
|
Equity
|
UK
|
735
|
1.0%
|
AVI Japan
Opportunity Trust
|
Equity
|
Japan
|
733
|
1.0%
|
Schroder
British Opportunities Trust
|
Equity
|
UK
|
701
|
0.9%
|
Chrysalis
Investments
|
Private
Equity
|
Europe
|
685
|
0.9%
|
RTW Biotech
Opportunities
|
Equity
|
Global
|
675
|
0.9%
|
Marwyn
Value Investors
|
Equity
|
UK
|
647
|
0.9%
|
EJF
Investments
|
Other –
Specialist Fund
|
Global
|
432
|
0.6%
|
Grit Real
Estate Income
|
Real
Estate
|
Africa
|
385
|
0.5%
|
|
|
|
66,639
|
90.1%
|
Chelverton
Growth Trust
|
Equity
|
UK
|
177
|
0.2%
|
Aseana
Properties†
|
Real
Estate
|
Asia
Pacific
|
110
|
0.1%
|
Reconstruction
Capital II*†
|
Equity
|
Europe
|
67
|
0.1%
|
Better
Capital PCC†^
|
Private
Equity
|
UK
|
62
|
0.1%
|
RENN
Universal†^
|
Equity
|
North
America
|
50
|
0.1%
|
Cambrium
Global Timberland*†
|
Other –
Forestry
|
Global
|
33
|
0.0%
|
Crystal
Amber Fund*
|
Equity –
Small Cap
|
UK
|
30
|
0.0%
|
Total
investments
|
|
|
67,166
|
90.8%
|
Other
current assets (including net cash)
|
|
|
6,790
|
9.2%
|
Net
asset value
|
|
|
73,956
|
100.0%
|
* AIM/NEX
Listed
† In
liquidation, in a process of realisation or has a fixed
life.
# Includes
both Ordinary and Convertible Preference share holdings.
^ Unlisted
or trading of shares currently suspended.
Capital
Structure
As at the
date of this report, the Company’s share capital comprises
23,072,797 Ordinary shares of 1p each with one vote per share. The
Company’s Articles of Association contain provisions enabling
shareholders to elect at three-year intervals for the realisation
of all or part of their shareholding (the “Realisation
Opportunity”). At the discretion of the Company, shareholders may
request that all or part of the Ordinary shares they hold be
placed, repurchased, or purchased out of the proceeds of an issue
of new Ordinary shares, or purchased under a tender offer or by a
market maker. If realisation elections cannot be satisfied in their
entirety through the placing and/or repurchase mechanism, all
remaining Elected shares shall be converted into Realisation
shares.
Also in
the event that the Company does not make available to members an
opportunity to effect such a realisation at the appointed time,
shareholders may serve a realisation election requesting that all
or part of their Ordinary shares be converted into Realisation
shares.
The
portfolio would then be split into two separate and distinct pools
pro rata as between the Continuing Ordinary shares (the
“Continuation Pool”) and the Realisation shares (the “Realisation
Pool”). The Continuation Pool would be managed in accordance with
the Company’s investment objective and policy, while the assets
comprising the Realisation Pool would be managed in accordance with
an orderly realisation programme with the aim of making progressive
returns of cash to holders of Realisation shares as soon as
practicable. The precise mechanism for any return of cash to
holders of Realisation shares would depend on the relevant factors
prevailing at the time and would be at the discretion of the Board.
If the net asset value of the Company’s Continuing Ordinary shares
is more than £30 million, then the Company would continue in
operation.
In
September 2021, the Company offered a
Realisation Opportunity, giving shareholders the option either to
retain or to realise their investment in the Company. Realisation
elections were received in respect of 0.55% of shares in issue at
the time, and these shares were subsequently repurchased by the
Company. There are currently no Realisation shares in issue. The
next Realisation Opportunity will be offered to shareholders in
2024. The Board intends to put forward tailored proposals in
relation to each Realisation Opportunity to ensure it can be
delivered efficiently and in accordance with the best interests of
the Company, at the relevant point in time.
Interim
Management Report
Principal
Risks and Uncertainties
A review
of the half year and the outlook for the Company can be found in
the Chairman’s Statement and in the Investment Manager’s Review.
The principal risks and uncertainties facing the Company fall into
the following broad categories: investment risks (including market
and discount risk; liquidity, cash and foreign exchange risk and
interest rate risk), strategic risks (including shareholder
relations and share price performance risk; key person risk and
company duration risk), operational risks (in particular service
provider risk) and macro risks (including global risk, ESG and
climate change risk, UK regulatory risk, UK legal risk and
governance risk). These risks were explained in detail on pages 17
to 22 in the Annual Report for the year ended 30 April 2023.
In
addition, a deterioration in economic environment is recognised as
a principal risk and uncertainty, which may impact portfolio
investments and, potentially, the Company’s service
providers.
Related
Parties Transactions
During the
first six months of the current financial year, no transactions
with related parties have taken place which have materially
affected the financial position or the performance of the
Company.
Going
Concern
The
Directors believe, having considered the Company’s investment
objective, risk management policies, capital management policies
and procedures, the nature of the portfolio and expenditure
projections, that the Company has adequate resources, an
appropriate financial structure and suitable management
arrangements in place to continue in operational existence for the
foreseeable future and, more specifically, that there are no
material uncertainties pertaining to the Company that would prevent
its ability to continue in such operational existence for at least
twelve months from the date of the approval of this Half-Yearly
Report. For these reasons, the Directors consider there is
reasonable evidence to continue to adopt the going concern basis in
preparing the Half-Yearly Report.
Directors
Responsibility Statement
The Board
of Directors confirms that, to the best of its
knowledge:
(i)
the
condensed set of financial statements contained within the
Half-Yearly Report has been prepared in accordance with Financial
Reporting Standard 104 (Interim Financial Reporting);
(ii)
The
Half-Yearly Report and condensed financial statements give a true
and fair view of the assets, liabilities, financial position and
return of the Company; and
(iii)
The
Interim Management Report includes a fair review of the information
required by:
(a)
DTR 4.2.7R
of the Disclosure Guidance and Transparency Rules, being an
indication of important events that have occurred during the first
six months of the financial year and their impact on the condensed
set of financial statements; and a description of the principal
risks and uncertainties for the remaining six months of the year;
and
(b)
DTR 4.2.8R
of the Disclosure Guidance and Transparency Rules, being related
party transactions that have taken place in the first six months of
the current financial year and that have materially affected the
financial position or performance of the entity during that period;
and any changes in the related party transactions described in the
last annual report that could do so.
The
Half-Yearly Report has not been reviewed or audited by the
Company’s auditor.
This
Half-Yearly Report contains certain forward-looking statements.
These statements are made by the Directors in good faith based on
the information available to them up to the date of this report and
such statements should be treated with caution due to the inherent
uncertainties, including both economic and business risk factors,
underlying any such forward-looking information.
For and on
behalf of the Board
Richard Davidson
Chairman
19 December 2023
Condensed
Income Statement
|
|
Six
months to
31
October 2023
(unaudited)
|
Six
months to
31
October 2022
(unaudited)
|
|
|
Revenue
|
Capital
|
Total
|
Revenue
|
Capital
|
Total
|
|
Note
|
£’000
|
£’000
|
£’000
|
£’000
|
£’000
|
£’000
|
Losses on
investments
|
|
–
|
(1,697)
|
(1,697)
|
–
|
(9,492)
|
(9,492)
|
Income
|
4
|
936
|
–
|
936
|
754
|
–
|
754
|
Investment
management fee
|
|
(250)
|
–
|
(250)
|
(273)
|
–
|
(273)
|
Other
expenses
|
|
(525)
|
–
|
(525)
|
(286)
|
–
|
(286)
|
Return/(loss)
before finance costs and taxation
|
|
161
|
(1,697)
|
(1,536)
|
195
|
(9,492)
|
(9,297)
|
Finance
costs
|
|
(52)
|
–
|
(52)
|
(53)
|
–
|
(53)
|
Return/(loss)
before taxation
|
|
109
|
(1,697)
|
(1,588)
|
142
|
(9,492)
|
(9,350)
|
Taxation
|
|
–
|
–
|
–
|
–
|
–
|
–
|
Return/(loss)
after taxation
|
|
109
|
(1,697)
|
(1,588)
|
142
|
(9,492)
|
(9,350)
|
Return/(loss)
per ordinary share (pence)
|
|
0.5
|
(7.1)
|
(6.7)
|
0.6
|
(37.8)
|
(37.2)
|
The Total
column of this statement is the Income Statement of the Company.
The supplementary revenue and capital columns have been prepared in
accordance with guidance issued by the AIC.
All
revenue and capital items in the above statement derive from
continuing operations. There are no recognised gains or losses
other than those passing through the Income Statement and therefore
no Statement of Total Comprehensive Income has been
presented.
The notes
form an integral part of these financial statements.
Condensed
Statement of Changes in Equity
|
|
Capital
|
Share
|
|
|
|
|
|
Share
|
redemption
|
premium
|
Special
|
Capital
|
Revenue
|
|
|
capital
|
reserve
|
account
|
reserve
|
reserve
|
reserve
|
Total
|
|
£’000
|
£’000
|
£’000
|
£’000
|
£’000
|
£’000
|
£’000
|
Six
months to 31 October 2023 (Unaudited)
|
|
|
|
|
|
|
|
Balance at
30 April 2023
|
243
|
111
|
29,088
|
–
|
49,175
|
1,231
|
79,848
|
Buyback of
shares for cancellation
|
(11)
|
11
|
–
|
–
|
(3,597)
|
–
|
(3,597)
|
Dividends
paid
|
–
|
–
|
–
|
–
|
–
|
(707)
|
(707)
|
Loss for
the period
|
–
|
–
|
–
|
–
|
(1,697)
|
109
|
(1,588)
|
Balance
at 31 October 2023
|
232
|
122
|
29,088
|
–
|
43,881
|
633
|
73,956
|
Six
months to 31 October 2022
(Unaudited)
|
|
|
|
|
|
|
|
Balance at
30 April 2022
|
261
|
89
|
27,729
|
1,222
|
65,034
|
349
|
94,684
|
Buyback of
shares for cancellation
|
(12)
|
12
|
–
|
(1,222)
|
(2,787)
|
–
|
(4,009)
|
Share
issuance
|
2
|
–
|
675
|
–
|
–
|
–
|
677
|
Dividends
paid
|
–
|
–
|
–
|
–
|
–
|
(100)
|
(100)
|
Return for
the period
|
–
|
–
|
–
|
–
|
(9,492)
|
142
|
(9,350)
|
Balance
at 31 October 2022
|
251
|
101
|
28,404
|
–
|
52,755
|
391
|
81,902
|
The notes
form an integral part of these financial statements.
Condensed
Statement of Financial Position
|
|
As
at
|
As
at
|
|
|
31
October 2023
|
30 April
2023
|
|
|
(unaudited)
|
(audited)
|
|
Note
|
£’000
|
£’000
|
Non-current
assets
|
|
|
|
Investments
|
5
|
67,166
|
67,855
|
Current
assets
|
|
|
|
Debtors
|
|
55
|
361
|
Cash
|
|
6,995
|
13,139
|
|
|
7,050
|
13,500
|
Creditors:
amounts falling due within one year
|
|
|
|
Creditors
|
|
(260)
|
(1,507)
|
|
|
(260)
|
(1,507)
|
Net
current assets
|
|
6,790
|
11,993
|
Net
assets
|
|
73,956
|
79,848
|
Share
capital and reserves:
|
|
|
|
Share
capital
|
|
232
|
243
|
Share
premium account
|
|
29,088
|
29,088
|
Capital
redemption reserve
|
|
122
|
111
|
Capital
reserve
|
|
43,881
|
49,175
|
Revenue
reserve
|
|
633
|
1,231
|
Total
shareholders’ funds
|
|
73,956
|
79,848
|
Net
asset value per ordinary share (pence)
|
|
319.2
|
328.6
|
The net
asset value per ordinary share is based on 23,172,797 shares, being
the shares in issue as at 31 October
2023 (30 April 2023:
24,297,797).
The notes
form an integral part of these financial statements.
Condensed
Statement of Cash Flow
|
Six
months to
|
Six months
to
|
|
31
October 2023
|
31 October
2022
|
|
(unaudited)
|
(unaudited)
|
|
£’000
|
£’000
|
Net
cash inflow from operating activities
|
441
|
311
|
Investing
activities
|
|
|
Purchases
of investments
|
(11,286)
|
(5,546)
|
Sales of
investments
|
9,043
|
10,107
|
Net
cash (outflow)/inflow from investing activities
|
(2,243)
|
4,561
|
Financing
activities
|
|
|
Share
issuance
|
–
|
677
|
Buyback of
shares for cancellation
|
(3,597)
|
(4,009)
|
Dividends
paid
|
(706)
|
(100)
|
Finance
costs paid
|
(35)
|
(35)
|
Net
cash outflow from financing activities
|
(4,338)
|
(3,467)
|
(Decrease)/increase
in cash
|
(6,140)
|
1,405
|
Reconciliation
of net cash flow movement in funds:
|
|
|
Cash at
beginning of period
|
13,139
|
10,891
|
Exchange
rate movements
|
(4)
|
(4)
|
(Decrease)/increase
in cash
|
(6,140)
|
1,405
|
(Decrease)/increase
in net cash
|
(6,144)
|
1,401
|
Cash
at end of period
|
6,995
|
12,292
|
The notes
form an integral part of these financial statements.
Notes
to the Condensed Interim Financial Statements
1
Accounting policies
These
condensed financial statements have been prepared on a going
concern basis in accordance with the Disclosure Guidance and
Transparency Rules of the Financial Conduct Authority, FRS 104
‘Interim Financial Reporting’, the Statement of Recommended
Practice ‘Financial Statements of Investment Trust Companies and
Venture Capital Trusts’ updated in July
2022 and using the same accounting policies as set out in
the Company’s Annual Report for the year ended 30 April 2023.
2
Financial statements
The
condensed financial statements contained in this interim financial
report do not constitute statutory accounts as defined in Section
434 of the Companies Act 2006. The financial information for the
six months to 31 October 2023 and
31 October 2022 has not been audited
or reviewed by the Company’s external auditors.
The
information for the year ended 30 April
2023 has been extracted from the latest published audited
financial statements. Those statutory financial statements have
been filed with the Registrar of Companies and included the report
of the auditors, which was unqualified and did not contain a
statement under Sections 498(2) or (3) of the Companies Act
2006.
3
Going concern
After
making enquiries, and having reviewed the investments, Statement of
Financial Position and projected income and expenditure for the
next 12 months, the Directors have a reasonable expectation that
the Company has adequate resources to continue in operation for the
foreseeable future. The Directors have therefore adopted the going
concern basis in preparing these financial statements.
4
Income
|
Six
months to
|
Six
months to
|
|
31
October 2023
|
31
October 2022
|
|
£’000
|
£’000
|
Income
from investments:
|
|
|
UK
dividend income
|
328
|
175
|
Non UK
dividend income
|
373
|
453
|
Property
income dividends
|
–
|
110
|
Total
income from investments
|
701
|
738
|
Bank
interest
|
235
|
16
|
Total
income
|
936
|
754
|
5
Fair value hierarchy
The
methods of fair value measurement are classified into a hierarchy
based on reliability of the information used to determine the
valuation.
Level 1
–
Quoted
prices in an active market.
Level 2
–
Inputs
other than quoted prices included within Level 1 that are
observable (i.e. developed using market data), either directly or
indirectly.
Level 3
–
Inputs are
unobservable (i.e. for which market data is
unavailable).
The table
below sets out the Company’s fair value hierarchy
investments.
|
Level
1
|
Level
2
|
Level
3
|
Total
|
|
£’000
|
£’000
|
£’000
|
£’000
|
As
at 31 October 2023
|
|
|
|
|
Investment
– Equities
|
67,022
|
–
|
144
|
67,166
|
Total
|
67,022
|
–
|
144
|
67,166
|
As
at 30 April 2023
|
|
|
|
|
Investment
– Equities
|
67,672
|
–
|
183
|
67,855
|
Total
|
67,672
|
–
|
183
|
67,855
|
Glossary
of Terms and Alternative Performance Measures
(“APMs”)
Discount
or Premium (APM)
A
description of the difference between the share price and the net
asset value per share. The size of the discount or premium is
calculated by subtracting the share price from the net asset value
per share and is usually expressed as a percentage (%) of the net
asset value per share. If the share price is higher than the net
asset value per share, the result is a premium. If the share price
is lower than the net asset value per share, the shares are trading
at a discount.
|
As
at
|
As
at
|
|
31
October 2023
|
30
April 2023
|
Closing
NAV per share (p)
|
319.2
|
328.6
|
Closing
share price (p)
|
310.5
|
318.5
|
(Discount)
|
(2.7)%
|
(3.1)%
|
Net
Asset Value (“NAV”) Total Return (APM)
NAV total
return is the closing NAV per share including any cumulative
dividends paid as a percentage over the opening NAV.
NAV total
return is an alternative way of measuring investment management
performance of investment trusts which is not affected by movements
in the share price.
|
Six
months to
|
One
year to
|
Five
years to
|
|
31
October 2023
|
31
October 2023
|
31
October 2023
|
Closing
NAV per share (p)
|
319.2
|
319.2
|
319.2
|
Dividends
reinvested (p)
|
3.0
|
3.4
|
3.4
|
Dividend
adjusted closing NAV per share (p)
|
322.2
|
322.6
|
322.6
|
Opening
NAV per share (p)
|
328.6
|
326.2
|
270.4
|
Dividend
adjusted NAV per share returns
|
(1.9)%
|
(1.2)%
|
19.3%
|
Ongoing
Charges (APM)
Ongoing
charges are calculated by taking the Company’s annualised revenue
and capitalised expenses (excluding finance costs and certain
non-recurring items) expressed as a percentage of the average
monthly net assets of the Company during the year.
|
Six
months to
|
Year
to
|
|
31
October 2023
|
30
April 2023
|
|
£’000
|
£’000
|
Total
expenses per Income Statement
|
827
|
1,199
|
Less
non-recurring expenses
|
(198)
|
–
|
Total
expenses – annualised
|
1,258
|
1,199
|
Average
net assets
|
78,125
|
83,660
|
Ongoing
charges
|
1.6%
|
1.4%
|
The
ongoing charges percentage reflects the costs incurred directly by
the Company which are associated with the management of a static
investment portfolio. Consistent with AIC Guidance, the ongoing
charges percentage excludes non-recurring items. In addition, the
NAV performance also includes the costs incurred directly or
indirectly in investments that are managed by external fund
managers. Many of these managers net these costs off within their
valuations, and therefore they form part of the Company’s
investment return, and it is not practical to calculate an ongoing
charges percentage from the information they provide.
Share
Price Total Return (APM)
The
combined effect of the rise and fall in the share price, together
with any dividend paid/reinvested. Total return statistics enable
the investor to make performance comparisons between trusts with
different dividend policies. Any dividends (after tax) received by
a shareholder are assumed to have been reinvested in either
additional shares of the trust at the time the shares go
ex-dividend (the share price total return) or in the assets of the
trust at its NAV per share (the NAV total return).
|
Six
months to
|
One
year to
|
Five
years to
|
|
31
October 2023
|
31
October 2023
|
31
October 2023
|
Closing
share price (p)
|
310.5
|
310.5
|
310.5
|
Dividends
reinvested (p)
|
3.0
|
3.4
|
3.4
|
Dividend
adjusted closing share price (p)
|
313.5
|
313.9
|
313.9
|
Opening
share price (p)
|
318.5
|
325.5
|
271.0
|
Dividend
adjusted share returns
|
(1.6)%
|
(3.6)%
|
15.8%
|
NAV
Volatility (APM)
Volatility
is related to the degree to which NAVs or prices differ from their
mean (the standard deviation). Volatility is calculated by taking
the daily NAV or closing prices over the relevant year and
calculating the standard deviation of those prices. The daily
standard deviation is then multiplied by an annualisation factor
being the square root of the number of the trading days in the
year.
|
Six
months to
|
Year
ended
|
|
31
October 2023
|
30
April 2023
|
Standard
deviation of daily NAV (A)
|
0.4%
|
0.5%
|
Number of
trading days
|
128
|
250
|
Square
root of the number of trading days (B)
|
11.3
|
15.8
|
Annualised
volatility (A*B)
|
4.5%
|
8.2%
|
Shareholder
Information
Share
dealing
Shares can
be traded through a stockbroker or other authorised intermediary.
The Company’s Ordinary shares are traded on the London Stock
Exchange. The Company’s shares are fully qualifying investments for
Individual Savings Accounts (“ISAs”).
Share
register enquiries
The
register for the Company’s ordinary shares is maintained by
Computershare Investor Services PLC. If you would like to notify a
change of name or address, please contact the registrar in writing
to Computershare Investor Services PLC, the Pavilions, Bridgwater
Road, Bristol BS99 6ZZ.
With
queries in respect of your shareholdings, please contact
Computershare on 0370 889 3231 (lines are open from 8.30 am to 5.30 pm, UK time, Monday to Friday).
Alternatively, you can email WebCorres@computershare.co.uk
or contact
the Registrar via www.investorcentre.co.uk.
Share
capital and net asset value information
SEDOL
number 3436594
ISIN
number GB0034365949
Bloomberg
symbol MIGO
The
Company releases its net asset value per Ordinary share to the
London Stock Exchange on a daily basis.
Website:
www.migoplc.co.uk
Annual
and Half-Yearly Reports
Copies of
the Annual Reports are available from the Company Secretary and on
the Company’s website. Copies of the Half-Yearly Reports are only
available on the Company’s website.
AIFM
and Investment Manager: Asset Value Investors
Limited
The
Company’s Alternative Investment Fund Manager (“AIFM”) and
Investment Manager is Asset Value Investors Limited (“AVI”) which
was appointed with effect from close of business on
15 December
2023. AVI is an experienced manager of investment trusts
with assets under management of £1.4 billion as at 31 October 2023, deep sector expertise and
supportive analyst resource.
Previously,
MIGO’s Investment Manager was Premier Fund Managers
Limited.
Investor
updates in the form of monthly factsheets are available from the
Company’s website, www.migoplc.co.uk
Association
of Investment Companies
The
Company is a member of the Association of Investment
Companies.
Directors
and Advisers
Directors
(all non-executive)
Richard Davidson (Chairman)
Katya Thomson (Audit Committee Chairman)*
Hugh van
Cutsem
Lucy Costa Duarte
Ian Henderson
* Katya
Thomson will resign from her role as independent
non-executive Director and Audit Committee Chairman with effect
from the close of business on 29 December
2023.
Caroline Gulliver has been appointed as independent
non-executive Director and Audit Committee Chairman with effect
from the same day.
Registered
Office
25
Southampton Buildings
London WC2A 1AL
Company
Secretary, Marketing & Administration
Frostrow
Capital LLP
25
Southampton Buildings
London WC2A 1AL
Website:
www.frostrow.com
Email:
info@frostrow.com
Alternative
Investment Fund Manager and Investment Manager
Asset
Value Investors Limited
2
Cavendish Square
London W1G 0PU
Website:
www.assetvalueinvestors.com
Asset Value
Investors Limited was appointed as AIFM and Investment Manager with
effect from close of business on 15 December
2023, taking over from Premier Portfolio Managers Limited
and Premier Fund Managers Limited respectively.
Stockbroker
and Financial Adviser
Deutsche
Numis
The London
Stock Exchange Building
10
Paternoster Square
London EC4M 7LT
Registrar
Computershare
Investor Services PLC
The
Pavilions
Bridgewater
Road
Bristol BS99 6ZZ
United Kingdom
Telephone:
(0) 370 889 3231**
Email:
WebCorres@computershare.co.uk
Website:
www.investorcentre.co.uk
Please
contact the Registrars if you have a query about a certificated
holding in the Company’s shares.
** Calls
are charged at the standard geographic rate and will vary by
provider. Calls outside the United
Kingdom will be charged at the applicable international
rate. Lines are open between 8.30am to
5.30pm, Monday to Friday excluding public holidays in
England and Wales.
Depositary***
JP Morgan
Europe Limited
25 Bank
Street
London E14 5JP
Custodian***
JP Morgan
Chase Bank, N.A., London
Branch
25 Bank
Street
London E14 5JP
*** Up
until the close of business on 15 December
2023, The Bank of New York Mellon (International) Limited
served as Depositary and Custodian.
Independent
Auditors
PricewaterhouseCoopers
LLP
7 More
London
Riverside
London SE1 2RT
A member
of the Association of Investment Companies
MIGO
Opportunities Trust plc
An
investment company as defined under Section 833 of the Companies
Act 2006 Registered in England and
Wales No. 5020752
END
Neither
the contents of the Company’s website nor the contents of any
website accessible from hyperlinks on this
announcement
(or
any
other
website)
is
incorporated
into,
or
forms
part
of,
this
announcement.