(Alliance News) - Standard Life Investments Property Income Trust Ltd on Monday expressed a cautious outlook for the reminder of the year following a decline in net asset value in the third quarter.
The company reported NAV per share as at September 30 of 90.3 pence, down 0.9% from 91.1p reported at the end of June. For the third quarter, Standard Life Investments said its NAV total return was 0.4%.
The company explained that its NAV was hurt by the movement in its interest rate swaps, which now have a negative worth of GBP3.3 million versus GBP2.4 million in the second quarter.
The trust said the value of its portfolio was flat on the like-for-like basis.
"We are conscious that the political and economic outlook is highly uncertain and that the distribution of outcomes has a 'barbell' shape to it," Standard Life Investments' manager said.
It added: "Our forecast view does, however, sit towards the lower end of the market consensus and continues to be driven by sharp falls in retail values and a more bearish view of central London offices than most forecasters."
The stock was trading 0.7% lower on Monday in London at 89.20 pence a share.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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