Interim Management Statement

RNS Number : 4137B

Monks Investment Trust PLC

17 February 2011

 



THE MONKS INVESTMENT TRUST PLC

Interim Management Statement - 3 months to 31 January 2011

Monks' objective is to invest internationally to achieve capital growth, which takes priority over income and dividends.  Monks' policy is to invest principally in a portfolio of international quoted equities. The Company is prepared to move freely between different markets as opportunities arise. Asset classes other than equities may be purchased from time to time including fixed interest holdings, unquoted securities and derivatives. The equity portfolio may be relatively concentrated for a global fund.

Review of the Period

·	Over the period, the Company's net asset value (NAV) increased by 1.6% compared to a rise in the FTSE World Index of 7.1%, while the share price increased by 5.7%. All figures are total return (capital and income).
·	The interim dividend of 0.5p per share was paid on 31 January 2011 to shareholders on the register on 7 January 2011.
·	TKI Garanti was sold during the period and there were also part sales of Aggreko, OGX, Eldorado Gold, Healthspring, McDonalds and Solera Holdings, with the latter two dropping out of the Top Ten Equity Holdings as a result. Apart from an addition to the holding in Seadrill, the other changes to the Top 10 constituents were due to market movements.
·	Japanese exposure was increased in the period with the purchase of Nikkei Index call options which account for around 1% of total assets at the period end.  In order to manage the level of gearing, index futures were also sold during the period.
Geographical Analysis of Total Assets					Top Ten Equity Holdings
Region		% of total assets at 31/01/11	% of total assets at 31/10/10		Name	% of total assets at 31/01/11	% of total assets at 31/10/10
North America		17.9	18.1		Seadrill	2.8	1.9
Asia Pacific		17.4	15.9		Aggreko	2.1	2.5
Continental Europe		15.5	15.9		OGX	2.1	4.9
United Kingdom		16.6	15.8		Petrofac	1.6	1.5
Japan		5.5	3.0		Dragon Oil	1.4	1.1
Other Emerging Markets		17.3	20.4		National Oilwell Varco	1.4	1.0
Bonds		8.4	8.2		Cetip	1.4	1.1
Net liquid assets		1.4	2.7		Odontoprev	1.4	1.5
					Eldorado Gold	1.4	1.6
					Healthspring	1.3	1.7
Total		100.0	100.0		Total	16.9	18.8

Total Return Performance

	%
	3 Months	1 Year	3 Years	5 Years
Share Price	5.7	28.5	16.8	29.8
NAV (Par)	1.6	21.5	15.7	30.4
Comparative Index	7.1	20.2	22.9	30.6

Source: Thomson Reuters Datastream; Comparative Index is FTSE World Index (sterling terms).

Past performance is not a guide to future performance

General Information
	31/01/11	31/10/10
Share Price	349.5p	331.0p
Total assets (before deduction of  borrowings)*	£1,147.8m	£1,134.2m
Total borrowings (at fair value)	£125.7m	£128.3m
Net asset value per share (after deducting borrowings at fair value)*	391.9p	385.7p
Discount (borrowings at fair value)*	10.8%	14.2%
Potential gearing (borrowings at fair value)*	12.3%	12.8%
Gearing less cash (borrowings at fair value)*	10.4%	9.7%
Total borrowings (at par)	£120.0m	£120.0m
Net asset value per share (after deducting borrowings at par)*	394.1p	388.9p
Discount (borrowings at par)*	11.3%	14.9%
Potential gearing (borrowings at par)*	11.7%	11.8%
Gearing less cash (borrowings at par)*	9.8%	8.8%

*These figures have been calculated using the AIC cum income basis (includes current financial year retained income).

This interim management statement and up to date NAV and share price information are available on the Managers' website www.monksinvestmenttrust.co.uk†

†Neither the contents of the Managers' website nor the contents of any website accessible from hyperlinks on the Managers' website (or any other website) is incorporated into, or forms part of, this announcement.

Baillie Gifford & Co

Company Secretaries

17 February 2011

For further information contact:-  Robert O'Riordan on 0131 275 3181

 

END

 

 

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