JAI has released its results for the year ended 30 September 2013. In NAV terms the company returned 6.4%, beating its benchmark which returned 5.1%. The discount narrowed so the share price return was 7.2%. The Board are pleased that JAI beat its benchmark over the year but say they are determined that this should only be the start of a return to consistent long-term outperformance. Although JAI is managed with inputs from the manager’s entire Asian team, the Board highlighted that JAI’s portfolio management team of Ted Pulling and Jeff Roskill has been augmented by the addition of Sonia Yu.
JAI’s managers say that their Greater China exposure was generally positive for the fund but, in general, exposure to India was unhelpful over the period – the decline in the value of the Indian rupee was one reason for this.
JAI has been holding semi-annual tenders but, after consulting shareholders, the Board has resolved that in 2014 one tender may be held in December (at their discretion) for up to 10% of JAI’s issued share capital at a 3.5% discount to FAV. The Board will also consider buying back shares with the aim of stabilising JAI’s discount around the 8% – 10% level.