REG - Athelney Trust plc - Net Asset Value(s)

Athelney TrustAnnouncement

02/08/2024 08:00

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RNS Number : 9630Y  Athelney Trust PLC  02 August 2024

Athelney Trust PLC

 

Legal Entity Identifier:

213800ON67TJC7F4DL05

The unaudited net asset value of Athelney Trust was 195.3p at 31 July 2024.

Fund Manager's comment for July 2024

The U.S. economy surprised many by growing at a 2.8% annualised rate in the
second quarter, an acceleration from 1.4% in Q1, driven largely by increased
household spending. Despite this positive overall growth, signs of economic
slowdown are evident, reinforcing the likelihood of near-term monetary easing
as inflation is expected to soften. Evidence of this slowing can be seen in
the Interest-rate sensitive sectors such as property sales and manufacturing
which are showing signs of strain despite a resilient broader economy. High
financing costs and election-related uncertainties may limit a manufacturing
rebound before November.

July PMI surveys showed mixed economic trends in Europe. The Eurozone's
manufacturing PMI fell to 45.6, services from 51.9, and the composite to 50.1,
aligning with expectations of slower GDP growth. In contrast, the U.K.'s
manufacturing PMI rose from 51.8, services to 52.4, and new business to 55.3,
indicating stronger economic momentum and leading to an increased 2024 GDP
forecast of 1.0%.

The upcoming Eurozone CPI will provide insight into inflation as the ECB
considers a potential rate cut in September, with a slight decrease to 2.4%
year-on-year expected in July. Separately, the Bank of England (BoE) has
reduced its interest rate by 0.25% to 5.00% despite mixed economic data and
persistent inflation.

President Biden announced he will not seek re-election this November and
endorsed Vice President Kamala Harris for the Democratic Party nomination.
Limited polling data suggests a Harris vs. Trump matchup similar to the
previous Biden vs. Trump race, though it may take time for polls to reflect
public sentiment accurately.

Global stock markets saw gains in July, with the MSCI World Index rising 1.7%
and the S&P 500 up by 1.1% with the exception being the Nasdaq which fell
by 0.75% due to a shift by investors away from some of the largest technology
companies. Small Caps continued their upward trend, with the Russell 2000
index rising 11%.

In the U.K., markets recovered in July, with the FTSE100 increasing by 2.5%
while the broader index, the FTSE 250, was up by 6.5%. Smaller companies did
not perform as well with the Small Cap Index up by 3.89%, the AIM All-Share
Index up by 2.96% and the Fledgeling index only up 1.23%. Our portfolio
performed extremely well, increasing by 4.4% and after accounting for expenses
the NAV was up by 3.8% for the month.

In July, the largest contributors to performance came from our holdings in AEW
and Tritax Big Box followed by PayPoint and Impax Asset Management. We top
sliced our holdings in Cerillion and Gamma, added to our holding in Relx and
introduced Auto Trader to the portfolio which resulted in our cash on hand
comprising 2.7% of the portfolio.  Auto Trader is the UK's largest digital
automotive marketplace where used and new car buyers can conduct their
research and complete the transaction. It has the technology to be able to
grow its economic footprint over time by delivering better online buying and
selling experiences to its extensive customer base.

 

Fact Sheet

An accompanying fact sheet which includes the information above as well as
wider details on the portfolio can be found on the Fund's website
www.athelneytrust.co.uk (http://www.athelneytrust.co.uk) under "About" then
select "Latest Monthly Fact Sheet".

Background Information

Dr. Emmanuel (Manny) Pohl AM

Manny is Chairman and Chief Investment Officer of E C Pohl & Co ("ECP"),
an investment management company and has been a major shareholder in Athelney
trust for many years.

E C Pohl & co is licensed by the Australian Financial services (license
no.421704).

www.ecpohl.com (http://www.ecpohl.com)

www.ecpam.com (http://ecpam.com/)

Manny Pohl and the ECP group has AUD2.7bn (£1.5 billion) under its management
including four listed investment companies, three listed in Australia and one
in the UK:

·    Flagship Investments (ASX code:FSI)

AUD95m https://flagshipinvestments.com.au (https://flagshipinvestments.com.au)

·    Barrack St Investments (ASX code: BST)

AUD37m www.barrackst.com (https://www.barrackst.com/)

·    Global Masters Fund Limited (ASX code: GFL)

AUD33m www.globalmastersfund.com.au (http://www.globalmastersfund.com.au)

·    Athelney Trust plc (LSE code: ATY)

GBP6m www.athelneytrust.co.uk (http://www.athelneytrust.co.uk)
 

Athelney Trust plc Investment Policy

 The investment objective of the Trust is to provide shareholders with
prospects of long-term capital growth with the risks inherent in small cap
investment minimised through a spread of holdings in quality small cap
companies that operate in various industries and sectors. The Fund Manager
also considers that it is important to maintain a progressive dividend record.

The assets of the Trust are allocated predominantly to companies with either a
full listing on the London Stock Exchange or a trading facility on AIM or
ISDX. The assets of the Trust have been allocated in two main ways: first, to
the shares of those companies which have grown steadily over the years in
terms of profits and dividends but, despite this progress, the market rating
is favourable when compared to future earnings and dividends; second, to those
companies whose shares are standing at a favourable level compared with the
value of land, buildings or cash in the balance sheet.

Athelney Trust was founded in 1994. In 1996 it was one of the ten pioneer
members of the Alternative Investment Market ("AIM"). In 2008 the shares
became fully listed on the main market of the London Stock Exchange. Athelney
Trust has a successful progressive dividend growth record and the dividend has
grown every year since 2004. According to the Association of Investment
Companies (AIC) Athelney Trust is a "Dividend Hero" being one of only a few
investment companies that have increased their dividend every year for 20
years or more. See link

https://www.theaic.co.uk/income-finder/dividend-heroes
(https://www.theaic.co.uk/income-finder/dividend-heroes)

Website

www.athelneytrust.co.uk (http://www.athelneytrust.co.uk)
 

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