Premier Energy and Water outperforms in H1
Premier Energy and Water’s interims for the period ended 30 June 2014 that show the fund generating a total return ahead of the FTSE All-World Utilities Index (fund returned 12.6% vs. the index’s 12.4%) and well ahead of the FSE All-Share Index which returned 1.6%. Thanks to the gearing effect of Premier Energy & Water’s zero dividend preference shares, the net asset value of the ordinary shares rose by 20.6%. The discount widened slightly – the ordinary share price rose by 17.6% (a total return of 20.3% including dividends).
The dividends for the period have been increased by 21.8% to 5.3p from 4.35p.
They say the cover on the zero dividend preference shares rose to 1.55x from 1.42x.
The manager’s report says the best performing stock was OPG Power.