LONDON (Alliance News) - Impax Environmental Markets PLC said Monday it outperformed its environmental benchmark over the first half of the year, but fell behind its global equity benchmark.
In the six months to June 30 the green investor's total return was minus 0.6%, a slight outperformance of the minus 1.0% return set by its environmental benchmark, the FTSE Environmental Technologies 100 index.
Impax said that its exposure to energy efficiency software firms, as well as the positive performance of its recycling-related investments, contributed to this performance.
However the company's equity benchmark, the MSCI All Country World Index, outperformed Impax and recorded a 2.0% return. The manager's report gave several reasons for this.
"Alongside a broad derating of the portfolio, there were a range of small issues, which could be attributed to a reversal of previously supportive tailwinds...there were thematic areas of weakness, namely in water utilities, lighting and Asia," said the report.
Impax swung to a GBP6.3 million loss in investments from a GBP36.1 million gain the year before.
The company's net asset value per share was 276.8 pence, a 3.9% discount to its 266.0p share price on June 30.
Impax paid its 2.50p per share dividend for 2017 in May 2018. No interim dividend for 2018 will be paid.
"It is likely that equity market volatility will continue in the coming months," said Impax Chairman John Scott.
"We remain confident in the long-term investment thesis due to the further development of the portfolio's underlying drivers...The board and managers are optimistic about the prospects for the company and for the future delivery of above market growth and shareholder value in the medium term," Scott added.
Shares in Impax Environmental closed down 0.2% at 275.00 pence on Monday.
Impax Asset Management (IEM)