Edison review on Scottish Oriental Smaller Co

RNS Number : 9086O

Scottish Oriental Smlr Co Tst PLC

10 November 2016

 

London, UK, 10 November 2016

Edison issues research review on Scottish Oriental Smaller Companies (SST)

Scottish Oriental Smaller Companies Trust (SST) aims to generate long-term capital growth by investing in a portfolio of small-cap Asia ex-Japan equities. Vinay Agarwal is the interim lead fund manager while Wee-Li Hee is on maternity leave; he is assisted by Martin Lau, Scott McNab and the broader First State Stewart Asia team. Stocks are selected on a bottom-up basis, with a view to preserving capital on the downside as well as achieving capital growth. SST has significantly outperformed the peers and the MSCI AC Asia ex-Japan and MSCI AC Asia ex-Japan Small Cap indices over both five and 10 years.

SST's current 14.4% share price discount to cum-income NAV is wider than the averages of the last one, three, five and 10 years (range of 6.3% to 13.3%). The discount has been widening over the last three years as emerging market equities have been out of favour, hence there is the scope for it to narrow if investor appetite for Asian equities increases. There is no formal discount control mechanism in place, but SST has repurchased shares in the last couple of years. SST aims to at least maintain the level of its annual dividend, paying out of revenue reserves when necessary; the current dividend yield is 1.2%.

Click here to view the full report

All reports published by Edison are available to download free of charge from its website: www.edisoninvestmentresearch.com

About Edison: Edison is an international equity research firm with a team of over 70 analysts, investment and roadshow professionals and works with both large and smaller capitalised companies, blue chip institutional investors, wealth managers, private equity and corporate finance houses to support their capital markets activity. Edison provides services to more than 420 retained corporate and investor clients from offices in London, New York, Frankfurt, Sydney and Wellington. Edison is authorised and regulated by the Financial Conduct Authority.

Edison is not an adviser or broker-dealer and does not provide investment advice. Edison's reports are not solicitations to buy or sell any securities.

Contact details: Learn more at www.edisongroup.com and connect with Edison on: 

LinkedIn	www.linkedin.com/company/edison-investment-research
Twitter	www.twitter.com/Edison_Inv_Res
YouTube	www.youtube.com/edisonitv
Google+	https://plus.google.com/105425025202328783163/posts

 

END

 

 

NRAAKKDDPBDDADD