TRG.L Share News (TRG)

LONDON (Alliance News) - TR European Growth Trust PLC on Tuesday said it underperformed the benchmark index in the first half largely due to stock selection.

The net asset value total return for the six month to December 31 was 5.5%. This compares to a 6.2% total return from its Euromoney European Smaller Cos Index over the same period.

"The underperformance came largely from stock selection rather than noticeable themes, though poor performance in our Technology holdings was partially compensated by overweight positions in Industrial Goods and Banks," said Fund Managers Ollie Beckett and Rory Stokes.

The trust's net asset value per share rose to 1,196.09 pence at the end of the period from 909.79p in 2016. The shares were trading at premium of 0.9% at the period end.

Shares in TR European Growth were up 0.5% at 1,173.36p on Tuesday.

The trust declared interim dividend of 5.00p per share, having not paid an interim dividend the prior year.

TR European Chairman Audley Twiston-Davies said: "The ongoing global economic strength and improving economic environment in Europe provides an encouraging backdrop for our fund managers to search out attractive investment opportunities. Whilst there has been a substantial rerating of the European smaller companies space in the last year, we are confident that our Fund Managers can continue to identify undervalued stocks and exciting growth prospects."