(Alliance News) - Ashoka India Equity Investment Trust PLC on Monday said its net asset value increased in the first half while total return surged to over 18%, with its chief executive officer saying India "is coping well" with macroeconomic pressures.
The London-based, India-focused investment trust said NAV at June 30 was 206.2 pence per share, up from 174.2p at the same time one year prior.
NAV total return rose to positive 18.3% in the first half of 2023, from positive 9.6% the year before. Its benchmark, the MSCI India IMI index, rose to positive 11.8% from positive 7.2%.
Chair Andrew Watkins noted the impact of Covid and the "still raging" Ukraine conflict, saying that "such 'disruptions' make the life of an investment manager increasingly difficult with many new obstacles to navigate and questions to ask before making confident investment decisions.
"This, then, makes the continuing outperformance of the company even more impressive," he added.
Ashoka India's investment manager, Acorn Asset Management Ltd, said the nation's economy "is experiencing the start of a growth phase", and that its "well diversified corporate sector continues to generate stable earnings growth." It added that the ongoing popularity of Prime Minister Narendra Modhi should translate to continued political and economic stability.
Watkins added that aside from the war in Ukraine, and with global inflation stabilising, "India is coping well with supply lines both in and out of the country." He added that "regardless of mentioned headwinds, the dynamism of Indian entrepreneurs is self-evident and undimmed."
Ashoka India shares were up 0.3% at 230.26p in London on Monday.
By Emma Curzon, Alliance News reporter
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Ashoka India Equity Investment Trust Plc (AIE)