Last checked at 
6 Jun 2012 09:18
Manchester and London Investment Trust plc
6 June 2012
Interim Management Statement (Unaudited) for the four months ended 31 May 2012.
This interim management statement relates to the period from 1 February 2012 to 31 May 2012 and contains information that covers that period, unless otherwise stated.
Review of the Period
* Over the period, the Group's net asset value and share price total returns were (10.3) per cent and (10.0) per cent respectively. The FTSE All-Share Index return was (5.9) per cent (Source: www.londonstockexchange.com). * The interim dividend of 5.2p per share was declared on 16 March 2012 and paid on 30 April 2012. * The investment holding in Tesco plc has been sold.
Investment Objective
The investment objective of the Company is to achieve capital appreciation together with a reasonable level of income.
Financial Return (%) 2012 YTD 2011 2010 2009 2008 Share Price (27.1) 23.5 7.0 (8.4) (7.1) Net Asset (23.5) 15.3 15.2 (3.7) (9.3)Value Benchmark (8.8) 11.4 15.4 (14.5) (16.3)
Periods are financial years to 31 July.
Financial Position As at 31 May 2012 As at 31 January 2012 Net Assets £75.2m £83.8m Share Price 289.2p 321.2p Net Asset Value 334.7p 373.3p Discount 13.6% 14.0% Gearing 95.3% 94.4%
Share prices source: www.londonstockexchange.com
Portfolio Analysis
Ten largest consolidated holdings as at 31 May 2012
Stock Name % of Net Assets Sector PZ Cussons plc 19.5 Personal Goods Xstrata plc 10.0 Mining Smith & Nephew plc 9.4 Healthcare Services Weir Group plc 9.0 Industrial Engineering BG Group plc 7.5 Oil & Gas Producers Standard Chartered 7.3 Banksplc Diageo plc 6.9 Beverages Rio Tinto plc 6.9 Mining BP plc 6.6 Oil & Gas Producers Syngenta 6.5 ChemicalsInternational AG Sector AnalysisSector % of Net Assets Personal Goods 25.5% Mining 21.1% Oil & Gas Producers 18.6% Industrial Engineering 12.4% General Industrial 9.7% Healthcare Services 9.4% Banks 8.0% Chemicals 7.3% Beverages 6.9% Food Producers 5.5% Travel & Leisure 3.3% Financial Services 3.1% Media 1.9% Investment Trust 1.2% Cash and Other Assets/Liabilities (33.9)%
Analysis of NAV Underperformance since 1 August 2011, relative to the benchmark index
Underperformance of mining investments: 5.9% Glencore International plc, Rio Tinto plc, Vedanta Resources plc, Xstrata plc. Underperformance of industrial engineering investments: 2.3% Weir Group plc, HMS Group plc. Underperformance of PZ Cussons plc. 1.0% Underperformance of Essar Energy plc now sold. 2.3% Underperformance due to entering the period geared whereby 2.7%gross investments represented over 125 per cent of net assets. Underperformance of the balance of the portfolio due to 0.5%having consistently been positioned to gain exposure to the growth of the global economy rather than just the UK economy. This positioning has meant that we have tended to be more exposed to cyclical stocks (excluding financials) and consumer goods stocks which have higher than average betas. Total Underperformance. 14.7%By order of the Board
Peter Thomas, for and on behalf of Manchester & London Investment Trust plc, Secretary.
6 June 2012.
Registered office: Arthur House, Chorlton Street, Manchester, M1 3FH.
Telephone: 0161 228 1709.
This interim statement has been prepared solely to provide information to meet the requirements of the UK Listing Authority's Disclosure and Transparency Rules.
Please note that the up to date information on the Company, including factsheets and portfolio information can be found on the Company's website at:
http://www.manchesterandlondon.co.uk/investorRelations.php
Enquiries:
Manchester & London Investment Trust plc.
Peter Stanley
Tel: 0161 228 1709
Midas Investment Management Limited (Investment Manager to MNL).
Mark SheppardTel: 0161 242 2895Fairfax I.S. plc.David FloydTel: 020 7598 5368
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