(Alliance News) - JP Morgan Mid Cap Investment Trust PLC on Tuesday held its interim dividend and outperformed its benchmark, but warned over uncertainty as the UK looks to make trade deals in a post-Brexit environment.
The mid-cap focused investor's net asset value per share as at December 31 stood at 1,385.9 pence, a 35% rise from 1,026.7p the year prior.
Shares in the company were 1.8% lower at 1,325.20 pence each in London on Tuesday morning.
It delivered a net asset value total return of 18%, beating its benchmark. The FTSE 250 index, excluding investment trusts, returned 16%.
JP Morgan Mid Cap said: "What a tumultuous year! While the global backdrop was one of continuing Middle Eastern agitation, ongoing although slowly de-escalating trade wars between China and the USA, and slowing global growth notably in Europe, caused by those trade wars, the main story for the UK stockmarket was all political.
"We saw Theresa May leave Downing Street, Boris Johnson replace her, the October 31 Brexit cliff-hanger, and then the December 2019 election. The outcome of the election with its decisive victory and significant majority for the Conservatives, and the disappearance of the key risk of a Jeremy Corbyn-led Labour government, provided a level of certainty to UK politics that had been lacking for several years."
The trust held its interim dividend at 8.0p per share.
"Brexit uncertainty has not gone away and is set to cast a shadow over further recovery this year. The UK has until the end of the year to agree on a future partnership with the European Union, while hoping to replace some of the trade lost with the EU through trade agreements with the US and other partners around the globe. However, with the general election behind us and the promise of supportive fiscal policies, the relatively attractive valuation on an international basis should continue to tempt investors back to the UK market," the trust added.
In addition, the trust said that it has appointed Hannah Philp as a non-executive director with effect from March 1.
"Philp has direct and relevant experience within the sector, particularly in the fields of marketing and communication. Philp was director of marketing at Witan Investment Trust PLC, a FTSE 250 investment company, where she was responsible for the oversight of Witan's marketing and communications strategy, PR, website development, advertising, corporate sponsorship and digital campaigns."
By Eric Cunha; ericcunha@alliancenews.com
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Witan (WTAN)