Portfolio Manager Resignation

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation EU 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018.

7 March 2023

MIGO Opportunities Trust plc

Portfolio Manager Resignation

The Board of MIGO Opportunities Trust plc (the “Company” or “MIGO”) announces that it has served six months’ protective notice⁽¹⁾ to Premier Miton Investors (“PMI”) on its investment management agreement with the Company after being informed that Nick Greenwood, the Company’s lead portfolio manager, has resigned from PMI.

The Board has been informed by PMI that Nick will continue to be available to manage the Company’s portfolio at PMI until early 2024 and will continue to be assisted by Ian Rees, deputy head of PMI’s multi-asset multi-manager team.

Consequently, the Board has decided to review options for the future management of MIGO, including a proposal from Premier. The Board does not expect the investment strategy to change. Were the investment policy or strategy to change, the proposed change would need to be put to a shareholder vote.

Richard Davidson, Chairman of MIGO Opportunities Trust plc, said:

“MIGO has delivered NAV returns of 250% over its two decades since launch⁽²⁾.  There is good demand and a clear place in the market for its specialist investment strategy, as a one-stop-shop for attractive investment company opportunities, backed by a rigorous selection process and careful portfolio construction. MIGO’s strong, long-term performance, its tight discount to NAV and the low take-up in our most recent September 2021 realisation opportunity, all support the Board’s belief that MIGO will continue to deliver an investment proposition that investors value.”

“Nick Greenwood’s portfolio management expertise and investor engagement have been an important and long-standing factor underpinning MIGO’s success. So given his decision to leave PMI, it’s prudent for us to review MIGO’s management arrangements. We have served protective notice on Premier so we can do this most effectively, and look forward to an ongoing constructive relationship with Nick and PMI in the meantime.  We will consider all proposals made from interested parties and will update shareholders in due course.”

ENDS

For further information, please contact:

Frostrow Capital (Company Secretary)

Kerstin Rucht  [phone]

Richard Plaskett

Numis (Corporate Broker)

Nathan Brown   [phone]

Matt Goss

KL Communications (PR)  [e-mail]

Charles Gorman  [phone]

Adam Westall

Amy Levingston-Smith

Notes to Editors

The objective of MIGO Opportunities Trust plc is to outperform SONIA⁽³⁾ plus 2% (the “Benchmark”) over the longer term, principally through exploiting inefficiencies in the pricing of closed-end funds. 

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.

MIGO was launched on 6 April 2004, with Nick Greenwood as its lead investment manager. MIGO’s net asset value is currently £87m.

Further information on MIGO can be found at: https://www.migoplc.co.uk/  

Notes:

(1) By serving protective notice the Board has reserved the Company’s right to end the investment management agreement in accordance with the applicable termination provisions but also to subsequently seek to withdraw the notice depending on the outcome of its review.

(2) Cumulative NAV total return from 6 April 2004 to 3 March 2023 – source Refinitiv Eikon.

(3) SONIA is 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.