Investment trust insider on AVI Global Trust – James Carthew: AVI Global can extend its excellent track record
Discounts across global markets present opportunities for the UK-based bargain hunter, which recently cashed in on Starwood’s Balanced Commercial Property bid.
The investment companies sector continues to shrink. So far in September, we have seen bids for Tritax EuroBox (EBOX) and Balanced Commercial Property Trust (BCPT), JPMorgan Global Core Real Assets (JARA) failing its continuation vote, and Aurora (ARR) absorbing Artemis Alpha (ATS). All of this in in reaction to the persistent discounts across the sector.
Yet, despite the attractive uplifts that investors can achieve when these exit opportunities materialise (21% for BCPT and 27% for EBOX), very few UK-based investors seem to be out hunting for these potential bargains. Instead, most of the discount-driven investors in the sector seem to be American.
One UK-based investor that has been profiting from these value opportunities is AVI Global Trust (AGT). For example, it cashed in over 15m shares in BCPT following the announcement of that bid, crystalising a decent profit on its position.
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