Dividend Declaration

RNS Number : 0467Z

European Assets Trust NV

06 January 2011

 



To:      RNS

From:  European Assets Trust NV

Date:   6 January 2011

Dividend Announcement

·     Maintained policy of 6 per cent yield level on net asset value per share for annual 
distribution to shareholders.

·     Total dividend for 2011 of Euro 0.51 per share to be paid in three equal instalments of 
Euro 0.17 per share at the end of January, May and August 2011.

·     Increased dividend by 18 per cent (in Euros) for 2011 compared with 2010, reflecting 
rise in Company's net asset value per share.

The Board announces the dividends expected to be paid by the Company in respect of the year to 31 December 2011.  The Board is pleased to confirm that the Company's stated distribution policy will be maintained such that the annual dividend will be equivalent to 6 per cent of the net asset value per share of the Company at the end of the preceding year. The Company's net asset value per share has recorded an increase of 18 per cent over the year. Consequently, applying the 6 per cent distribution policy for 2011 results in a total dividend for the Company rounded to Euro 0.51 per share (2010: Euro 0.432 per share, net). The 2011 dividend will be paid in three equal instalments of Euro 0.17 per share at the end of January, May and August 2011. The January dividend payment of Euro 0.17 will be paid on 28 January 2011 to shareholders on the register on 14 January 2011, having an ex-dividend date of 12 January 2011.  Dividends are declared in Euros and paid in Euros (bearer shares) or in Sterling (registered shares).

Shareholders may elect to receive dividends by way of further shares in the Company rather than cash.  Where shareholders so elect, they will receive shares based on the net asset value of the Company; the shares may trade in the market at a discount or premium to net asset value. Subject to personal circumstances, UK resident individual shareholders who receive a scrip dividend should not be liable to UK income tax but UK capital gains tax rules should apply.

Investment Performance and Review

The Company's net asset value total return (capital performance with dividends added back) per share was 21 per cent in Sterling (25 per cent in Euros) for the year to 31 December 2010 (unaudited).

While concerns still remain over the solvency of some areas of Europe, the strength of corporate results continues to provide a supportive environment for equities. Having gone through a period of resilience in 2009, businesses are now demonstrating growth ahead of expectations, which is leading to a more positive assessment of their prospects over the medium term. One of the key factors that we believe is underpinning the market is corporate activity; as businesses drive for scale and efficiency, they will look to acquire well-positioned businesses at good prices. We believe that many of the Company's holdings fit this description.

Since the change in June 2010 of the lead investment manager responsible for the portfolio, the portfolio has been evolving towards a structure which aims to balance capital growth with capital protection through focussing on long term positions in high quality businesses with growth potential that we believe to be undervalued.

For further information contact:

Paras Anand (Investment Manager)                           Tel [phone]

Michael Campbell (Company Secretary)                   Tel [phone]

F&C Investment Business Limited

Wilbert van Twuijver (Managing Director)

FCA Management BV, Rotterdam                             Tel [phone]

 

END

 

 

DIVEALFKESLFEFF