Establishment Investment Trust to wind up?- Establishment Investment Trust board after a poor performance recently has decided that the best option is to not vote to continue the trust. In October the share price fell 5.6%.
The manager says that, during the month of October, the MSCI AC Asia ex Japan Index declined 8.8%, the MSCI AC World Index slipped 5.4%, and the FTSE UK Private Investor Balanced Index fell 3.1%. The best performers were the Philippines (+1.2%) and Indonesia (-0.9%) while Taiwan (-9.8%) and South Korea (-12.4%) performing the worst. By sector the best performer was Utilities (-2.2%) and Telcos (-2.9%) while the underperformers were Consumer Discretionary (-10.7%) and Information Technology (-11.8%). Against that backdrop, the NAV fell 6.6%, extending its underperformance of its benchmark year to date to over 20%.
The next vote for continuation is in July of 2019. Before the annual general meeting the board will invite and consider alternate plans for the trust. They will consider cash realisation and any other plans and will put them forward at the AGM for shareholders to vote on, assuming the consideration vote is not passed.
ET.- Establishment Investment Trust to wind up?