Premier Energy & Water says that for 2016 its gross assets total return, which measures the total return of the portfolio, including income received and taking into account fees and costs, was 17.9%. This was ahead of the UK market but behind the total return seen by the All-World Utilities Index, which returned 28.7% in GBP terms.
The cum-income Ordinary Share Net Asset Value (“NAV”) gained 20.6% from 145.83p at 31 December 2015, to 175.86p at 31 December 2016. Adding back dividends paid, the Ordinary Share NAV recorded a total return of 28.7%. The discount at which PEWT’s shares trade compared to their NAV, reduced from 10.5% at the end of 2015 to 7.9% at December 2016, and as such the actual return seen by an ordinary shareholder based on movement in share price plus dividends received was 33.9%.
Including the first three interim dividends paid during the year, each of 1.90p, the total dividend to be paid in respect of 2016 is 9.70p per Ordinary Share, in line with the base dividend for 2015.
The report says that Premier Energy & Water’s Indian and Chinese holdings held back performance. Notably, OPG, the Indian power generator that is the fund’s largest investment, fell by 24.7%.
PEW : Premier Energy & Water held back by Indian and Chinese investments