(Alliance News) - Diverse Income Trust PLC on Wednesday said Brexit uncertainties led to a "subdued" performance in the first half of financial 2020.
The stock was trading flat at 95.00 pence each on Wednesday afternoon in London. The share price at November 30, 2019, stood at 91.60p, representing a 3.8% discount to NAV.
For the six months to the end of November, the investment trust reported a 2.4% rise in its net asset value total return. In comparison, the FTSE All-Share index gained 3.6%,the FTSE SmallCap index, excluding investment companies, lost 1.3% and the FTSE AIM All-Share index went down 3.9% over the same period.
The company's NAV per share for the period stood at 95.23 pence per share, up 0.6% from 94.64p reported for the comparative period in 2018.
"During the period, mainstream markets rose a little but many small cap share prices were depressed by Brexit uncertainties, leading to a subdued performance. Following the recent UK general election, investors will likely deploy cash built up during the Brexit uncertainty. In time,
capital is likely to waterfall down to mid caps and thence into small and micro caps, many of which have been overlooked by investors in general," said Chair Michael Wrobel.
Diverse Income declared a second interim dividend of 0.90p per share, payable on May 29, compared to 0.85p per share last year. The dividend will be paid to shareholders on the register by the end of the day March 27.
By Ife Taiwo; ifetaiwo@alliancenews.com
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Diverse Inc (DIVI)