Interim Management Statement

RNS Number : 0787Y

Edinburgh Dragon Trust plc

16 December 2010

 



Edinburgh Dragon Trust plc - Interim management statement

To the members of Edinburgh Dragon Trust plc

This interim management statement has been produced solely to provide additional information to shareholders as a body to meet the relevant requirements of the UK Listing Authority's Disclosure and Transparency Rules. It should not be relied upon by any other party or for any other purpose.

This interim management statement relates to the period from 1 September 2010 to 15 December 2010, and contains information that covers this period, up to the date of publication of this interim management statement, unless otherwise specified.

Investment objective

To achieve long term capital growth through investment in the Far East.  The Company's benchmark is the MSCI All Country Asia (ex Japan) Index.  Investments are made in stockmarkets in the region, with the exception of Japan and Australasia, principally in large companies.  When appropriate, the trust will utilise gearing to maximise long term returns.

Benchmark

MSCI All Country Asia (ex Japan)

Material events and their impact on the Trust

On 8 December 2010 the Company held its Annual General Meeting at which all resolutions were passed.  The special business included resolutions to allow the Company to issue shares (up to 5% of the issued share capital without pre-emption) and to buy back shares (up to 14.99% of the issued share capital).  A final dividend of 1.90p per ordinary share was approved and paid to shareholder on 10 December 2010.

On 9 December 2010, the Company announced a placing and open offer for up to £50 million nominal of 3.5 per cent. Convertible Unsecured Loan Stock 2018 (CULS) at 100p per £1 nominal and a document setting out the terms of the CULS issue was issued to shareholders.  The record date for entitlements under the Open offer is 7 December 2010.  The CULS issue is expected to be completed, following the necessary shareholder approval, in early 2011. 

Material transactions and their impact on the Trust's financial position

Over the three month period to 30 November 2010 the Company's net asset value rose 11.1% on a total return basis compared to a rise of 11.1% in the MSCI AC Asia (ex Japan) Index.  The Company did not buy back shares for the period from 1 September 2010 to 15 December 2010. 

For latest NAV and share price information, please refer to the Trust's website, www.edinburghdragon.co.uk.

Ten largest equity holdings as at 30 November 2010

Holding	%
Oversea-Chinese Banking Corp.	4.5
Jardine Strategic	4.5
Swire Pacific 'B'	4.3
Samsung Electronics Pref.	4.1
Standard Chartered	3.8
HDFC	3.7
Taiwan Semiconductor	3.4
Infosys Technologies	3.2
Singapore Technologies Engineering	3.2
City Developments	3.1
Total	37.8

Country allocation as at 30 November 2010

Country	%
Hong Kong	21.9
Singapore	19.2
India	15.1
South Korea	7.7
China	7.3
Thailand	6.0
Taiwan	5.8
Malaysia	4.8
United Kingdom	3.8
Sri Lanka	3.5
Philippines	3.1
Indonesia	1.6
Cash	0.2
Total	100.0

Assets at 30 November 2010

Investments	£516.4m
Cash	(£0.6m)
Total gross assets	£515.8m
No of shares in issue	196,311,219
Net asset value	262.7p
Discount	8.0%

Cumulative performance as at 30 November 2010

	as at	1 month	3 months	6 months	1 year	3 years	5 years
	30/11/2010	%	%	%	%	%	%
Share Price	241.7p	-0.4	11.2	20.4	35.7	63.7	123.9
NAV	262.7p	2.8	11.1	16.5	35.4	53.3	128.4
MSCI AC Asia ex Japan		1.2	11.1	11.9	25.0	23.2	107.7

Discrete performance (%)

	30/11/2010	30/11/2009	30/11/2008	30/11/2007	30/11/2006
Share Price	35.7	67.6	-28.0	14.4	19.5
NAV	35.4	61.5	-30.0	26.0	18.2
MSCI AC Asia ex Japan	25.0	69.9	-42.0	40.7	19.8

Total Return; NAV to NAV, Net Income Reinvested, GBP

NAV returns based on NAVs excluding income and with debt valued at par

Source: Aberdeen Asset Managers Limited, Factset and Morningstar

Please note that past performance is not necessarily a guide to the future and that the value of investments and the income from them may fall as well as rise and may be affected by exchange rate movements.  Investors may not get back the amount they originally invested.

For Edinburgh Dragon Trust plc

Aberdeen Asset Managers Limited, Secretary

 

END

 

 

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