(Alliance News) - Seneca Global Income & Growth Trust PLC on Wednesday reported a drop in net asset value due to the performance of stocks during the Covid-19 pandemic.
At October 21, the UK-based investment trust's NAV per share stood at 143.96 pence, down 17% from 172.89 pence at the same point the year before.
Net assets fell from GBP57.3 million to GBP85.1 million in 2019. The trust said the main detractors to portfolio performance were stocks that had been more exposed to the impact of Covid-19, many of which are within the UK Equities exposure.
Seneca Global generated a net asset value total return per share of 10.5% for the six months ended October 31. This was above the CPI 6% annualised benchmark, which returned 3.6% over the period.
The trust said it has maintained its quarterly dividend rate at 1.68p per share for the full year to April 30, 2021 due to the coronavirus pandemic.
Looking ahead, Seneca Global said it remains mindful that this is no ordinary environment for investors but that eventually the virus risk will subside.
"We seek to invest for the long term in attractive businesses and funds; we focus on valuations and tend to be contrarian to the general market consensus, and we employ a rigorous bottom-up investment process. We held our nerve when fear was at its peak and we are beginning to see the rewards of those actions," it said.
Shares in Seneca Global Income were up 1.9% at 163.00 pence in London on Wednesday.
By Zoe Wickens; zoewickens@alliancenews.com
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