Edison issues review on Fidelity European Values

RNS Number : 6575J

Fidelity European Values PLC

03 April 2018

 

London, UK, 3 April 2018

Edison issues review on Fidelity European Values (FEV)

Fidelity European Values (FEV) aims to achieve long-term capital and income growth from a portfolio of primarily continental European equities. Although well diversified, the portfolio became more concentrated during 2017, as the manager sold stocks that had performed well and reinvested in existing holdings. While retaining a positive net market gearing, the manager added 10 single-stock short positions to the portfolio in August 2017, reflecting the view that valuations had become stretched in many parts of the market. A lower 0.75% management fee on assets over £400m takes effect from April 2018, while a reallocation of fees and expenses from revenue to capital will positively affect the level of future dividend payouts.

Since April 2017, FEV's share price discount to NAV including income has moved in a relatively narrow range between 6% and 11%. The current 9.6% discount is at the higher end of this range and slightly wider than its 8.6% and 8.9% averages over one and three years. FEV's 2.1% dividend yield is slightly below the sector average, but a reallocation of fees and expenses from revenue to capital should translate into an increase in the level of future dividend distributions.  

Click here to view the full report.

All reports published by Edison are available to download free of charge from its website

www.edisoninvestmentresearch.com

About Edison: Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world-renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisers and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.

Edison is authorised and regulated by the Financial Conduct Authority.

Edison is not an adviser or broker-dealer and does not provide investment advice. Edison's reports are not solicitations to buy or sell any securities.

For more information please contact Edison:

Gavin Wood, [phone]

Mel Jenner, [phone]

[e-mail]

Learn more at www.edisongroup.com and connect with Edison on: 

LinkedIn        https://www.linkedin.com/company/edison-investment-research 

Twitter           www.twitter.com/Edison_Inv_Res 

YouTube       www.youtube.com/edisonitv 

 

END

 

 

NRALXLFBVZFBBBD