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Diverse Inc Trust (DIVI)


Friday 20 September, 2013

Diverse Inc Trust

Interim Management Statement


Interim Management Statement - quarter to 31 August 2013

The Diverse Income Trust plc (the "Company") presents its interim management
statement for the period 1 June 2013 to 31 August 2013. This constitutes the
Company's first interim management statement for the financial year ending
31 May 2014, as required by the UK Listing Authority's Disclosure and
Transparency Rule 4.3.

Investment Objective

The Company's investment objective is to provide shareholders with an
attractive level of dividends coupled with capital growth over the long term.

The Company will invest primarily in quoted UK companies with a wide range of
market capitalisations with a long-term bias toward small and mid equities. The
Company may also invest in large cap companies, including FTSE 100
constituents, where it is believed that this will increase shareholder value.

The Manager will adopt a stock specific approach in managing the Company's
portfolio and therefore sector weightings will be of secondary consideration.
As a result of this approach, the Company's portfolio will not track any
benchmark index.

Review of the Period

Markets have been volatile in the period. On 22 May 2013 the US Federal Bank
floated the idea of a tapering quantative easing later in 2013, and both bond
and equity prices fell back thereafter. Yet after 26 June 2013 equities staged
something of a recovery even as the bond markets declined further. In the
period, the FTSE All-Share Index fell 1.8% but the NAV of the Company
(excluding current period revenue) grew 6.8%. Interest in the strategy was
maintained with the premium to NAV rising to 4.6%.

Stock selection has added value in the period, but it is also particularly
noteworthy how smaller quoted stocks have performed. Although many small cap
indices typically outperformed earlier in the year, their share prices held up
rather better over the correction and subsequent to 26 June 2013 many smaller
company indices have gone on to rise further. Even so, many of the smallest
stocks are still standing at sub-normal market valuations.

Miton Income Opportunities Trust plc

On the 15 February 2013, the Company announced its intention to merge with
Henderson Fledgling Trust plc (since renamed Miton Income Opportunities Trust
plc, "MIOT"). On 30 August 2013, the Company announced that the details of the 
merger had been agreed and a prospectus, notice of General meeting and circular 
containing full details were posted to shareholders. The General meeting will be 
held at 10.00 am on 23 September 2013. Subject to approval of the proposals by the
shareholders of both the Company and MIOT, new ordinary shares in respect of
the merger will be issued to MIOT Shareholders on 1 October 2013.

Ordinary shares

                                             31 August 2013       31 May 2013   
                                                 (unaudited)         (audited)  
Mid-market share price                                 72.5p             66.0p 
Net asset value per share including revenue            69.3p             65.1p 
Net asset value per share excluding revenue            68.9p             64.5p 
Premium to net asset value                              4.6%              1.4%
Total assets (including income)                      £144.5m           £135.9m
% net (gearing)/net cash                               (1.0)%             5.2%

No ordinary shares were bought back during the period.

A first interim dividend of 0.3 pence per ordinary share has been declared to ordinary
shareholders on the register on 27 September 2013, and will be paid on 29 November 2013.

Total Return Performance to 31 August 2013

Ordinary shares                             3 months    6 months    12 months  
                                                %           %            %      
NAV *                                            7.4        40.6         33.6
Share price (mid)                               11.3        17.4         42.5

Sources: * NAV returns based on NAVs excluding income. Total returns assume that
dividends are reinvested at the ex-dividend date.

Top Twenty Equity Holdings

Name                              Sector / business        % of total assets   
                                      activity           as at 31 August 2013  
UK Mail plc                     Industrial Transport              2.4          
Greencore Group plc                Food Producers                 2.3          
CML Microsystems plc            Technology & Hardware             2.2          
St Ives plc                       Support Services                2.1          
Fairpoint Group plc               General Financial               2.0          
Quindell Portfolio plc           Software & Computer              1.7          
Conviviality Retail plc         Food & Drug Retailers             1.7          
Charles Taylor Consulting plc     General Financial               1.6          
Randall & Quilter Investment     Non Life Insurance               1.6          
Holdings plc                                                                   
Staffline Group plc               Support Services                1.6          
4imprint plc                            Media                     1.6          
SQS Software Quality plc         Software & Computer              1.6          
Abbey Protection plc             Non Life Insurance               1.6          
Bioventix plc                 Pharmaceuticals & Biotech           1.5          
Interserve plc                    Support Services                1.5          
Brown(N) Group plc                General Retailers               1.4          
Hilton Food Group plc              Food Producers                 1.4          
BT Group plc                     Telecommunications               1.4          
Wilmington plc                          Media                     1.4          
Finsbury Foods plc                 Food Producers                 1.4          
Total                                                            34.0          

This is an interim management statement. Full details of the Company, including the current
share prices, NAVs and factsheets, are available at

The Board is not aware of any material events or transactions occurring between
31 August 2013 and the date of publication of this interim management statement
which would have a material impact on the financial position of the Company.

20 September 2013

Neither the contents of The Diverse IncomeTrust plc website nor the contents of
any website accessible from hyperlinks on the website (or any other website) is
incorporated into, or forms part of, this announcement.

a d v e r t i s e m e n t