Monthly Update

RNS Number : 0787X

British Empire Sec & Gen Tst PLC

19 June 2008

 



BRITISH EMPIRE SECURITIES AND GENERAL TRUST PLC

Performance Commentary

This investment management report relates to performance figures as at 31 May 2008.

Over the month NAV was up 1.6%1. This compares to an increase of 1.8%2 in the benchmark and an increase of 1.9%1 for the MSCI World (£) and a decrease of 0.2%1 for the FTSE All Share.

Financial* year to date, net asset value fell 3.2%1 compared to a decrease of 1.0%2 for the Datastream index, 1.8%1 for the MSCI World (£) and 4.7%1 for the FTSE All Share.

Over three years NAV is up 56.8%1 while the FTSE All Share is up 37.1%1.

Manager's Comment

Volatility creates opportunities in equity markets. Recent weakness in certain markets and sectors has allowed us to add to or start new positions in stocks at wide discounts to net asset value. We still find certain European investment holding companies appealing on generous discounts.  Japan has lots of companies on offer well below their asset backing. In the UK, the lack of availability of financing has put property companies under pressure and given us the chance to buy listed property companies cheaply. We continue to slowly reduce our liquidity position.

Statistics

	Value	% 1 mo	% 1 yr	% 3 yr	% 5 yr
Price(£)1	475.0	-1.7	0.1	52.2	183.1
Net Asset Value1	483.1	1.2	-4.4	51.6	157.7
Net Asset Value Total Return1		1.6	-3.2	56.8	170.0
Benchmark2 (£)		1.8	-0.8	48.3	98.9
Annual Returns (%)	2007	2006	2005	2004	2003
Price1	-2.8	0.3	51.7	36.0	41.6
MSCI World1	7.7	5.8	23.0	7.2	20.6

Top 10 Equity Holdings                                                     %

Investor AB	4.64
Sofina	4.60
Jardine Strategic	3.81
GBL	3.34
Jardine Matheson	3.34
Vivendi	2.84
Electra Private Equity	2.70
Paris Orléans	2.52
Holmen	2.51
Pargesa	2.36

Capital Structure

Ordinary Shares	160,080,089
10 3/8% Debenture stock 2011	£8,514,940
8 1/8% Debenture stock 2023	£15,000,000
Equities index unsecured loan stock 2013**	2,730,231

** Updated annually

Gross Assets/Gearing

 

Gross Assets	£812 mil.
Debt	£ 27.0 mil.
Actual Gearing (Debt less cash divided by net asset value)	-9.2%

 

 

Fund Codes

 

Bloomberg	Reuters Ticker / ISIN
BTEM	GB0001335081

Gross Assets/Gearing

Fund Codes

Geographical Breakdown

Continental Europe	36.1%
Japan	11.9%
Canada / US	5.1%
Asia Pacific	10.3%
UK	19.9%
Liquidity	12.7%
EMEA	4.0%

All figures as at 31 May 2008 unless otherwise stated. All sources Asset Value Investors Ltd unless otherwise stated. British Empire Securities & General Trust Plc is managed by Asset Value Investors Ltd. The price of shares and the income from them may go down as well as up; they can be affected by exchange rate movements between currencies and it is possible that investors may not get back the full amount invested on disposal of the shares. Past performance is no guarantee of future performance. Investments in emerging markets carries a greater degree of risk, in particular the volatility of the markets and the local custody and registration arrangements, which may be less developed than in more mature markets. There is no guarantee that the market price of shares in Investment Trusts will fully reflect their underlying Net Asset Value (NAV). This Investment Trust should be considered only as part of a balanced portfolio, of which it should not form a disproportionate part. Under no circumstances should this information be considered as an offer, or solicitation, to deal in investments. Issued by Asset Value Investors Ltd., which is authorised and regulated by the Financial Services Authority.

British Empire Securities and General Trust plc, Bennet House, 52 St James's Street, London SW1A 1JT, United Kingdom. Registered in England: 28203

 

END

 

 

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