(Alliance News) - Scottish American Investment Co PLC on Friday said its net asset value fell, as it swung to an investment loss, although it declared an increased total dividend for 2022.
The Edinburgh-based investment trust said NAV per share on December 31 was 479.0 pence, falling 9.6% from 529.7p a year ago. Its shares were down 0.4% to 503.74p each in London on Friday morning.
NAV total return was negative 3.7%, ahead of its cited total return from global equities of negative 7.3%.
This was because it swung to a 2022 investment loss of GBP80.1 million from a gain of GBP128.0 million a year earlier, although income ticked up to GBP30.0 million from GBP28.0 million.
Despite this, it declared its total dividend of the year increased 9.0% to 13.82p from 12.675 in 2021, including a final payment to shareholders for 2022 of 3.67p.
Scottish American said it remains of the view that taking a long-term approach based upon global sustainable growth investments is the "best route" to achieving its aims, adding its investment managers "have continued to find new and attractive opportunities amidst the recent turmoil".
"2022 has been another difficult year for the world, a period in which equity, bond and property markets have all been weak. As the challenges from Covid-19 receded those arising from the Russian invasion of Ukraine increased. The economic recovery from the worst of the pandemic has been more tentative than expected, in large part due to resurgent inflation," said Chair Nick Macpherson, who sits in the UK House of Lords.
"As 2023 gets underway, there are tentative signs of hope triggered by lower energy prices and reduced interest rate expectations. It is too soon to know whether the worst is behind us...However, with asset prices adjusting, there will be buying opportunities, and maintaining a focus on the strength and resilience of individual investments remains as important as ever."
By Greg Rosenvinge, Alliance News reporter
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