(Alliance News) - Monks Investment Trust PLC said Wednesday it outperformed its benchmark index for its recently ended financial year, due to strong returns from several online technology firms.
The FTSE 250 investment trust reported a net asset value total return of 12% for the year to the end of April. This was a slight outperformance against the FTSE World Index, which returned 11.7%.
Net asset value per share as at April 30 was 852.1 pence, up 12% from 762.8p the same date the year before.
Monks Investment's share price at the end of April was 883.0 pence, reflecting a 3.6% premium to net asset value.
Shares in the investment trust were marginally lower on the day Wednesday at 888.72 pence, having improved further since the year-end.
Monks said that the period was marred by global market uncertainty, with trade tensions, Brexit, and fears of a slowdown in economic growth.
However, the trust said that its annual performance was buoyed by strong returns from its portfolio holdings.
Strong performers included tech giants Naspers Ltd, Alibaba Group Holding Ltd and Google-owner Alphabet Inc.
Financial stocks also performed well, with rising earnings from Visa Inc and Mastercard Inc in the US, and impressive progress from ICICI Bank in India, Monks said.
The investment trust proposed a final dividend of 1.85 pence per share, up 32% from 1.40p the prior year.
"Recent years have been characterised by a plethora of economic anxieties, especially relating to the possible impact of rising interest rates on asset prices around the world. A decade on from the depths of the financial crisis, these rates remain close to trough levels and inflation is subdued, reflecting weak economic momentum. Yet at the same time the growth opportunity for many companies is expanding dramatically, as new technologies totally transform the way that business is conducted," said Chair James Ferguson.
"Monks is well placed to benefit from such opportunities whilst also holding a balanced and diversified portfolio of growth stocks which should prosper, whatever the prevailing macro-economic backdrop," Ferguson added.
Monks Inv (MNKS)