Interim Management Statement

RNS Number : 8839D

Witan Investment Trust PLC

02 May 2013

 



WITAN INVESTMENT TRUST PLC                                                                        Page 1 of 4

2 May 2013

First Interim Management Statement for the year beginning 1 January 2013

Objective

The objective of Witan Investment Trust plc is to be the preferred choice for wealth creation, delivering long-term capital growth and a growing real income to shareholders through investment in global equity markets. 

Review of the first six month period, beginning 1 January 2013

Between 31 December 2012 and 31 March 2013 the net asset value per share total return (calculated by including the debt at fair value) was 16.3%.  The Company's benchmark returned 12.1% over this three month period.  

Between 31 December 2012 and 31 March 2013 the Company bought back for cancellation a total of 537,500 of its ordinary shares.  The number of ordinary shares in issue at 31 March 2013 was 189,542,000.  The share price at 31 March 2013 was 590p, giving the Company a market capitalisation of £1,118.3 million.  As at 2 May 2013 the number of ordinary shares in issue was 189,447,000 and the share price was 597p, giving the Company a current market capitalisation of £1,131.0 million.

On 28 March 2013, the Company paid a second interim dividend of 7.2p per ordinary share, in respect of the year ended 31 December 2012, making a total distribution for the year of 13.2 pence (2011: 12.0 pence).

The Company announced in February 2013 that it had decided to commence paying dividends quarterly, starting in 2013.  The Company intends that the first three payments (in June, September and December) will, in the absence of unforeseen circumstances, be paid at a rate of 3.3 pence per share, being one quarter of the full year payment for 2012 (13.2 pence).  The fourth payment (in March 2014) will be a balancing amount, reflecting the difference between the three quarterly dividends already paid and the payment decided for the full year.

Accordingly, the Company has announced that a first interim dividend, in respect of the year ending 31 December 2013, of 3.3p per ordinary share of 25p will be paid on Tuesday 18 June 2013 to shareholders registered at the close of business on Friday 24 May 2013. 

At the Company's Annual General Meeting held on 30 April 2013, all ten resolutions were duly passed.

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During the period, Matthews International Capital Management ("Matthews") was appointed to manage a portfolio investing in the Asia Pacific region, including Japan, replacing the previous Asia excluding Japan mandate managed by Comgest.

There are no other material events or transactions to report.

Company Information

Epic Code:  WTAN

Sector:  Global Growth

Launch date:  1909

Financial year end:  31 December

Next dividend payment (ordinary shares):  June 2013

Company Statistics as at 31 March 2013

Gross Total Assets: £1,414 million*

Net asset value per ordinary share: 651.78p*

Share price: 590.00p*

Discount: 9.5%*

Gearing: 8%*

Dividend yield: 2.24%*

Ongoing Charges as at 31 December 2012: 0.69% (including performance fees: 0.97%)*

Geographic Breakdown as at 31 March 2013*

UK                              43.7%

North America             20.4%

Europe                         15.0%

Far East                       11.3%

Japan                           2.9%

Other                           3.4%

Cash                            3.3%

Sector Allocation as at 31 March 2013*

Financials                     24.8%

Consumer Services       13.9%

Industrials                     13.4%

Consumer Goods         13.2%

Health Care                  6.6%

Oil & Gas                     6.3%

Technology                   6.3%

Basic Materials             3.8%

Other                            4.9%

Open ended funds        4.6%

Equity index futures     -1.1%

Cash/bonds                  3.3%

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Ten Largest Holdings as at 31 March 2013*

(on a look through basis across managers, excluding collective funds)

Diageo                                                                          2.3%

3i Group                                                                       2.1%

Electra Private Equity                                                    1.7%

Unilever                                                                        1.6%

London Stock Exchange                                               1.5%

BP                                                                                1.4%

Reed Elsevier                                                                1.4%

Schroders                                                                     1.4%

Princess Private Equity                                                  1.3%

Vodafone                                                                     1.3%

*Source: BNP Paribas Securities Services

Manager Breakdown and percentages of portfolio under management

Manager	Mandate	30/06/12	31/12/12	31/03/13
		%	%	%
Artemis	UK	8.3	8.6	8.7
Lindsell Train	UK	11.8	12.0	12.2
NewSmith Asset Management	UK	9.3	8.7	8.2
Henderson Global Investors	UK Smaller Cos	2.0	1.9	1.8
Southeastern Asset Management	Global	9.1	8.6	8.8
MFS International	Global	8.5	8.6	8.7
Thomas White International	Global	8.9	8.1	8.0
Veritas	Global	12.6	12.0	11.7
Lansdowne Partners	Global	-	2.5	2.6
Marathon	Pan-Europe	7.6	7.9	7.7
Matthews	Asia Pacific inc Japan	-	-	8.5
Comgest	Asia Pacific ex Japan	6.7	6.4	-
Trilogy	Emerging Markets	4.3	4.4	4.0
Witan Executive team	Direct holdings	10.9	10.3	8.9

These figures exclude the cash balances held centrally by Witan and the unquoted investments.

Investment Performance^α

Total performance over	3 months	6 months	1 year	3 years	5 years	10 years
Share Price (Total Return)	18.7%	22.6%	23.3%	34.0%	55.1%	215.7%
Net Asset Value (Total Return)	16.3%	20.9%	20.7%	29.7%	51.7%	190.2%
Benchmark (Total Return)	12.1%	16.6%	17.2%	25.6%	42.3%	169.8%

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^αSource: Datastream & FE Analytics - percentage growth to 31 March 2013.  Total return includes the notional investment of dividends.

Since 01.10.2007 the benchmark has been a composite of four indices: 40% FTSE All-Share, 20% each in FTSE All-World North America, FTSE All-World Europe (ex UK) Index and FTSE All-World Asia Pacific Index.  From 01.09.2004 to 30.09.2007 the benchmark consisted of 50% FTSE All-Share, 50% FTSE World (ex UK) and prior to this 60% FTSE All-Share, 40% FTSE World (ex UK).

The Net Asset Value figures value debt at fair value except for the 10 year figures where debt is valued at par value.

ENDS

For further information please contact:

Andrew Bell, Chief Executive Officer

Witan Investment Trust plc

Tel: [phone]

[e-mail]

James Frost, Marketing Director                                   Jain Castiau, Director

Witan Investment Trust plc                                            Cauldron Consulting

Tel: [phone]                                                      Tel: [phone]

[e-mail]                                              [e-mail]

Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

 

END

 

 

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