LONDON (Alliance News) - SVM UK Emerging Fund PLC on Monday reported growth in net asset value total return in its last financial year, and beat its benchmark, but said its NAV has been reduced post year-end following the result of the EU referendum.
The fund said its NAV total return grew by 8.1% in the year ended March 31, stronger than the 2.0% growth reported the year before, and beating its benchmark the IMA UK All Companies Sector Average Index which declined by 2.5%.
SVM said the most significant contributions came from gaming company Paddy Power Betfair PLC after the newly-merged company was formed, airline holding company Dart Group PLC, clothing retailer SuperGroup PLC and low-cost airline Ryanair Holdings PLC.
SVM noted, however, that its NAV has been reduced since the year end due to stock market volatility following the EU referendum.
"While the mixed economic background has an impact, there is good potential for organic growth in many portfolio companies. They would benefit from further economic recovery in the UK and
Europe," Chairman Peter Dicks said in a statement.
"The company emphasises exposure to the UK, and businesses with operations in the US and Europe. Returns on cash deposits and bonds will remain very low, and so equities that offer growth and attractive dividend yields are being sought by investors," he added.
Shares in SVM were untraded on Monday, last quoted at 60.00 pence.
By Karolina Kaminska; karolinakaminska@alliancenews.com @KarolinaAllNews
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