REG-Fins Growth Inc Tst: Half-year Report <Origin Href="QuoteRef">FGT.L</Origin> - Part 1
05/05/2016 11:05
5 May 2016
Finsbury Growth & Income Trust PLC
(the "Company")
Unaudited Half Year Results
for the six months ended 31 March 2016
Financial Highlights
As at As at
31 March 30 September %
2016 2015 Change
Share price 604.5p 556.5p +8.6
Net asset value per share 602.3p 556.9p +8.2
Premium/(discount) of share 0.4% (0.1%) -
price to net asset value
per share
Gearing* 3.5% 2.9% -
Shareholders' funds £780.1m £673.7m +15.8
Number of shares in issue 129,531,212 120,965,212 +7.1
Six months One year to
to
31 March 30
September
2016 2015
Share price (total return)# +9.9% +11.8%
Net asset value per share +10.0% +12.0%
(total return)#
FTSE All-Share Index (total +3.5% (2.3%)
return)
(Company benchmark)#~
Year ending Year ended
30 September 30
September
2016 2015
First interim dividend 6.1p 5.5p
Second interim dividend Yet to be 6.6p
declared
* See glossary
# Source - Morningstar
~ Source - FTSE International Limited ("FTSE") © FTSE 2016
Chairman's Statement
Your Company was incorporated as Scottish Cities Investment Trust PLC on 15
January 1926, which makes this our 90th anniversary. In 1926, the Company
listed with net assets of £100,000 which had increased to £1 million by 1958
and to £100 million by 1999. By 2000 net assets had decreased to £64 million,
the Company's name had become Finsbury Growth Trust PLC and at the end of that
year the Board appointed Lindsell Train Limited as Investment Manager. In 2004
the Company's name was changed to its current name of Finsbury Growth & Income
Trust PLC in reflection of the strategy adopted after the appointment of
Lindsell Train and it is particularly pleasing to note the more than tenfold
growth since 2000 in the Company's net assets to £780m as at 31 March 2016.
Performance
Turning to the period under review, I am pleased to report that in the six
months to 31 March 2016 the Company's net asset value per share total return of
+10.0% and the share price total return of +9.9% once again comfortably
outperformed the Company's benchmark, the FTSE All-Share Index, which delivered
a total return of +3.5%.
The principal contributors to the Company's net asset value performance were
Unilever, Sage Group and Relx. Further information on the Company's portfolio
can be found in our Portfolio Manager's Review.
Share Capital
Consistent demand for the Company's shares has led to the issue of a total of
8,566,000 new shares in this half-year, raising £49.0 million. As at 31 March
2016 the Company had 129,531,212 shares of 25p each in issue (31 March 2015:
107,590,212). No shares have been held in treasury by the Company since 26 May
2010. Since the end of the half-year, to the date of this report, a further
2,640,000 new shares have been issued raising £15.8 million. As at 3 May 2016,
the Company had 132,171,212 shares in issue.
Since 30 September 2015, the following steps have been taken to address the
demand for your Company's shares:
· a new block listing authority was obtained from the UK Listing Authority in
December 2015 to enable shares to be issued as cost effectively as possible;
· a prospectus was published in December 2015 in order that the Company can
continue to issue shares in accordance with the Prospectus Directive; and
· shareholder authority to issue further shares equal to 10% of the Company's
issued share capital on a non-pre-emptive basis was renewed at the Company's
Annual General Meeting held in February 2016.
The Company will continue to be proactive in managing its share price premium/
discount and issuing new shares at a premium to net asset value per share is
accretive to existing shareholders. Such share issuance also improves the
liquidity of the Company's shares, controls the premium to net asset value at
which the shares trade and spreads the operating costs over a larger capital
base, reducing the ongoing charges ratio.
Dividend
The Board has declared a first interim dividend of 6.1p per share, compared to
last year's first interim dividend of 5.5p per share, an increase of 10.9%.
This substantial increase is designed to reduce the disparity between the first
and second interim dividends. The dividend will be paid on Wednesday, 11 May
2016 to shareholders who were on the register on Friday, 8 April 2016. The
associated ex-dividend date was Thursday, 7 April 2016.
The Board expects to declare the second dividend for the year ending 30
September 2016 in late September 2016 and for it to be paid to shareholders in
November 2016.
Gearing
The Company is in the last year of its three-year secured credit facility with
Scotiabank Europe PLC (the "Facility"). The amount drawn under the Facility
lies comfortably within the Company' gearing limit and remains within the
constraints of the Company's investment policy. The Board is in the process of
renewing the Facility, which expires in October.
Outlook
The FTSE All-Share Index has fallen by approximately 0.4% in 2016; however as
you will read, despite recent difficult market conditions, your Portfolio
Manager continues to be optimistic about the prospects for equity markets.
Your Board continues to support fully our Portfolio Manager's strategy of
investing for the long-term in durable, cash generative brands that are capable
of sustained dividend growth and which should continue to deliver superior
investment returns to shareholders.
Anthony Townsend
Chairman
5 May 2016
Portfolio Manager's Review
In December 2015, I completed 15 years as portfolio manager for Finsbury Growth
& Income Trust. I have to acknowledge that my work for the Company may now be
about half done. I leave it to shareholders to determine whether the return
over that period is satisfactory. But what I do want to reiterate is the
unusually long-term nature of the investment approach. For example, over the 15
years annual average portfolio turnover has been under 6% - very low. At this
pace it will take nearly 17 years for the portfolio to fully turn over just
once (100/6=16.7); of course, many investment portfolios turn over once each
year. Or consider this - I introduced a new holding to the portfolio last
August (Remy Cointreau - now a c2.5% position). This was the first new holding
in over four years: an eternity by the standards of most portfolio managers.
What's more I think it reasonable, if mildly embarrassing, to claim that I have
only had three investment ideas for the Company in a decade and a half. And
because those three strategic ideas make up the whole portfolio and remain
critical for future performance I review them here.
"If a company's products taste good: buy the shares". For a long-term investor
this simple proposition has proven remarkably successful. Owning shares in
great tasting brands - IRN-BRU, Cadbury or, my own favourite, Marmite - has
been a great way to get rich slowly. Diageo has been a dull share for several
years now, understandably given an array of pesky and continuing setbacks. But
surely over the next 20 years people will continue to enjoy Johnnie Walker,
Captain Morgan, Baileys, Guinness and its many more iconic brands? That
predictability - in a world shareholders will agree is highly unpredictable -
is unusual and valuable.
"People will never be bored of being informed or entertained". We like
companies that own proprietary business information - the sort without which
professionals cannot do their jobs - or beloved entertainment formats. For
example scientists and lawyers around the world have little option but to
subscribe to Relx's services or risk being ill-informed. Similarly we're
fascinated by the reach of MailOnline, owned by Daily Mail of course. It is
currently receiving 220 million global unique browsers every month and is one
of the UK's few world-leading Internet properties.
Periodically I'm asked to complete stock market sentiment surveys and I always
give the same answer - Raging Bull. This is not as naive as it may appear.
Equity markets spend far more time going up than down and the biggest risk for
most investors is holding too much cash, not too little. What's more - being
optimistic keeps you young. Now, if like us you have a constructive view on the
outlook for markets over the next decade it makes sense to be invested in
companies that benefit from markets going up. We own Hargreaves Lansdown, the
London Stock Exchange itself and Schroders. It is disappointing, I agree, that
today the FTSE All-Share is only 7% above its 1 January 2000 level. In the
meantime, though, Schroders has more than doubled. Imagine what it could do if
markets really get going!
In support of this uncompromisingly bullish outlook here are some thoughts
about the likely sources of the profit growth we expect will drive UK and
global, and your Company's shares much higher in coming years.
According to the Bloomberg M&A tracker, 2015 was the biggest year ever for
global deal-making. There was over $5.6 trillion of deals in 2015, struck at an
average premium of 24%. That total was up 27% on 2014 and more than 16% over
the previous peak year of 2007. So far in 2016 there have already been circa
11,000 announced transactions, amounting to $1.2 trillion - at pretty much the
same run rate as last year. The announced merger between the London Stock
Exchange and its German counterpart is the most immediately relevant for your
portfolio. Meanwhile, it is commonly held that equity markets are expensive and
afflicted by numerous macro-economic problems. BUT SOMEONE SEEMS TO HAVE
FORGOTTEN TO TELL COMPANIES THEY SHOULD BE WORRIED.
We think it is important to listen to what Business is saying about its
opportunities for growth and the strategic values it sees in stock markets and
to ignore the macro-pessimists. Companies clearly think there is plenty to do
and plenty to go for in markets. And according to Willis Towers Watson's
analysis of 2015's deal activity they are correct - acquirers closing deals
last year outperformed the MSCI World Index by over 10%. In other words and
critically - not only do companies self-evidently see value in stock markets,
their investors are willing to reward them for getting on with it.
This is great news because it is clear from a historical perspective that
successive waves of M&A have been instrumental in the propagation of more
successful corporate cultures or more advanced technologies. The stronger and
smarter assimilate the weaker or more backward. Takeovers are the means whereby
"creative destruction" is actually delivered. For instance we know the profit
margin uplift achieved by 3G and related parties after the takeovers of
Anheuser Busch, Heinz (18% to 27% in two years here) and now Kraft has
electrified industry participants - raising the bar for other quoted consumer
brand owners, or certainly those who wish to maintain their independence.
Read what Warren Buffett had to say in his 2016 investors' letter: "At much of
corporate America truly major gains in productivity are possible." It is clear
that the corporations know this too because we can see them behaving
accordingly. A recurrent theme at our meetings with companies is how much more
they have still to gain from "zero-based budgeting" ("ZBB") and productivity to
be derived from technology. In your portfolio we think particularly of recent
developments at Mondelez and Unilever. For Mondelez the appearance of an
activist investor on its share register has undoubtedly accelerated the pace of
its rationalisation and Unilever's recent results revealed the benefits of its
application of ZBB to cash flow and returns on invested capital. In addition,
when you factor in the collapse of energy and raw material prices - Oil close
to its lowest inflation-adjusted price ever, according to Bloomberg - you have
the basis for big positive earnings surprises as 2016 progresses. This
combination of cheaper input costs and M&A-derived savings points to an as yet
unanticipated profit boom. And if that cheaper energy ever feeds through to
improving consumer confidence and spending, well...
Nick Train
Director
Lindsell Train Limited
Portfolio Manager
5 May 2016
Investment Portfolio
as at 31 March 2016
Market % of
value
Investment Sector £'000 portfolio
Unilever Food Producers 80,798 10.1
Relx Media 76,972 9.5
Diageo Beverages 68,356 8.5
Sage Group Software & Computer 54,824 6.8
Services
Heineken1 Beverages 52,605 6.5
Hargreaves Lansdown Financial Services 52,201 6.5
London Stock Exchange Financial Services 49,477 6.1
Burberry Group Personal Goods 43,605 5.4
Schroders Financial Services 42,338 5.2
Mondelez International Food Producers 34,292 4.2
Top 10 investments 555,468 68.8
Pearson Media 31,251 3.9
Daily Mail & General Trust (non-voting) Media 30,612 3.8
Fidessa Software & Computer 29,147 3.6
Services
Rathbone Brothers Financial Services 25,723 3.2
A.G. Barr Beverages 23,007 2.8
Dr.Pepper Snapple2 Beverages 21,990 2.7
Remy Cointreau3 Beverages 18,726 2.3
Greene King Travel & Leisure 16,015 2.0
The Kraft Heinz Company2 Food Producers 13,665 1.7
Euromoney Institutional Investor Media 8,750 1.1
Top 20 investments 774,354 95.9
Young & Co's Brewery (non-voting) Travel & Leisure 8,663 1.1
Thomson Reuters4 Media 7,790 0.9
Fuller Smith & Turner Travel & Leisure 7,238 0.9
The Lindsell Train Investment Trust Financial Services 5,600 0.7
Celtic* Travel & Leisure 2,394 0.3
Frostrow Capital LLP5 Financial Services 1,000 0.1
Frostrow Capital LLP AIFM Investment5 Financial Services 420 0.1
Total investments 807,459 100.0
All of the above investments are equities listed in the UK, unless otherwise
stated.
1 Listed in the Netherlands
2 Listed in the United States
3 Listed in France
4 Listed in Canada
5 Unquoted partnership interest
* Includes Celtic 6% cumulative preference shares, fair value £69,000
Comparison of Sector Weightings with the FTSE All-Share Index
as at 31 March 2016
Finsbury
Growth
Finsbury FTSE & Income
Growth All-Share
& Income Index (under)/
overweight
Sector % % %
Consumer Goods 44.2 17.6 26.6
Consumer Services 23.5 12.9 10.6
Financials 21.9 23.9 (2.0)
Technology 10.4 1.6 8.8
Oil & Gas - 10.6 (10.6)
Basic Materials - 5.0 (5.0)
Industrials - 10.7 (10.7)
Telecommunications - 5.2 (5.2)
Utilities - 4.0 (4.0)
Health care 8.5 (8.5)
Total 100.0 100.0 -
Income Statement
For the six months ended 31 March 2016
(Unaudited) (Unaudited)
Six months ended 31 March Six months ended 31 March
2016 2015
Revenue Capital Total Revenue Capital Total
£'000 £'000 £'000 £'000 £'000 £'000
Gains on investments designated at - 62,236 62,236 - 83,232 83,232
fair value through profit or loss
Exchange differences - (77) (77) - (25) (25)
Income (note 2) 6,450 - 6,450 5,229 - 5,229
AIFM and Portfolio Management fees (736) (1,495) (2,231) (573) (1,163) (1,736)
(note 3)
Other expenses (454) - (454) (462) - (462)
Return on ordinary activities before 5,260 60,664 65,924 4,194 82,044 86,238
finance charges and taxation
Finance charges (105) (213) (318) (85) (173) (258)
Return on ordinary activities before 5,155 60,451 65,606 4,109 81,871 85,980
taxation
Taxation on ordinary activities (149) - (149) (106) - (106)
Return on ordinary activities after 5,006 60,451 65,457 4,003 81,871 85,874
taxation
Return per share - basic (note 4) 4.0p 47.9p 51.9p 3.8p 77.8p 81.6p
The "Total" column of this statement represents the Company's profit and loss
account. The "Revenue" and "Capital" columns are supplementary to this and are
prepared under guidance published by the Association of Investment Companies
("AIC").
All items in the above statement derive from continuing operations. The Company
had no recognised gains or losses other than those declared in the Income
Statement.
There is no material difference between the net return on ordinary activities
before taxation and the net return on ordinary activities after taxation stated
above and their historical cost equivalents.
Statement of Changes in Equity
for the six months ended 31 March 2016
Share Capital
(Unaudited) Share premium redemption Special Capital Revenue
Six months ended 31 March
2016 capital account reserve reserve reserve reserve Total
£'000 £'000 £'000 £'000 £'000 £'000 £'000
At 30 September 2015 30,241 341,188 3,453 12,424 273,166 13,218 673,690
Net return from ordinary - - - - 60,451 5,006 65,457
activities
Second interim dividend - - - - - (8,008) (8,008)
(6.2p per share) for the
year ended 30 September
2015*
Issue of shares 2,335 46,756 - - - - 49,091
Cost of share issuance - (108) - - - - (108)
At 31 March 2016 32,576 387,836 3,453 12,424 333,617 10,216 780,122
(Unaudited)
Six months ended 31 March
2015
At 30 September 2014 24,370 215,304 3,453 12,424 228,842 10,538 494,931
Net return from ordinary - - - - 81,871 4,003 85,874
activities
Second interim dividend - - - - - (6,086) (6,086)
(6.2p per share) for the
year ended 30 September
2014*
Issue of shares 2,527 51,877 - - - - 54,404
Cost of share issuance - (108) - - - - (108)
At 31 March 2015 26,897 267,073 3,453 12,424 310,713 8,455 629,015
* All dividends paid during the period have been funded from the revenue
reserve.
Statement of Financial Position
as at 31 March 2016
(Unaudited) (Audited)
31 March 30 September
2016 2015
£'000 £'000
Fixed assets
Investments designated at fair value through profit or loss 807,459 692,951
Current assets
Debtors 2,128 2,621
Cash at bank 2,055 8,440
4,183 11,061
Current liabilities
Creditors: amounts falling due within one year (520) (1,322)
Bank loan (31,000) -
(31,520) (1,322)
Net current (liabilities)/assets (27,337) 9,739
Total assets less current liabilities 780,122 702,690
Creditors: amounts falling due after one year
Bank loan - (29,000)
Net assets 780,122 673,690
Capital and reserves
Share capital 32,576 30,241
Share premium account 387,836 341,188
Capital redemption reserve 3,453 3,453
Special reserve 12,424 12,424
Capital reserve 333,617 273,166
Revenue reserve 10,216 13,218
Total shareholders' funds 780,122 673,690
Net asset value per share - basic (note 5) 602.3p 556.9p
Statement of Cash Flows
for the six months ended 31 March 2016
(Unaudited) (Unaudited)
31 March 31 March
2016 2015
£'000 £'000
Net cash inflow from operating activities (note 7) 3,175 2,518
Net cash outflow from servicing of finance
Interest paid (318) (258)
Financial investment
Purchase of investments (56,260) (55,021)
Sale of investments 3,148 802
Net cash outflow from financial investment (53,112) (54,219)
Equity dividends paid (8,008) (6,086)
Net cash outflow before financing (58,263) (58,045)
Financing
Shares issued 50,063 54,509
Drawdown of loans 2,000 3,300
Cost of share issuance (108) (108)
Net cash inflow from financing 51,955 57,701
Decrease in cash (6,308) (344)
Reconciliation of net cash flow to movement in net debt
Decrease in cash resulting from cashflows (6,308) (344)
Increase in debt (2,000) (3,300)
Exchange movements (77) (25)
Movement in net debt (8,385) (3,669)
Net debt at start of period (20,560) (21,071)
Net debt at end of period (28,945) (24,740)
Analysis of net debt
(Unaudited) (Unaudited)
31 March 31 March
2016 2015
£'000 £'000
Cash at bank 2,055 1,660
Bank loan (31,000) (26,400)
(28,945) (24,740)
Notes to the Financial Statements
1. Basis of preparation
The condensed Financial Statements for the six months to 31 March 2016 have
been prepared under the historical cost convention, modified to include the
revaluation of investments and in accordance with FRS 104 'Interim Financial
Reporting' and with the Statement of Recommended Practice ("the SORP") for
Investment Trust Companies and Venture Capital Trusts revised December 2005,
January 2009 and November 2014.
For the period ended 31 March 2016 the Company is applying for the first time
FRS 104 the Interim Financial Reporting Standard, issued in March 2015. The
revised reporting standard for half year reporting was issued following the
introduction of FRS 102, the Financial Reporting Standard applicable in the UK
and Republic of Ireland, effective for periods commencing on or after 1 January
2015, An assessment of the impact of adopting FRS 102 has been carried out and
found that no restatement of the Company's Income Statement, the Statement of
Changes in Equity (previously called the Reconciliation of Movements in
Shareholders' Funds) or the Statement of Financial Position (previously called
the Balance Sheet) for periods previously reported are considered necessary.
The accounting policies used for the year ended 30 September 2015 have been
applied.
Fair Value
In preparing these financial statements the Company has adopted amendments to
FRS 102: Fair Value hierarchy disclosures (March 2016) published by the FRC.
FRS 102 and FRS 104 require an entity to classify fair value measurements using
a fair value hierarchy that reflects the significance of the inputs used in
making the measurements.
The fair value hierarchy has the following classifications:
Level 1 - quoted prices in active markets
Level 2 - prices of recent transactions for identical instruments
Level 3 - valuation techniques using observable and unobservable market data.
The financial assets and liabilities measured at fair value in the Statement of
Financial Position are grouped into the fair value hierarchy at the reporting
date as follows:
As at 31 March 2016
Level 1 Level 2 Level 3
£'000 £'000 £'000 Total
Equity investments 805,970 - - 805,970
Limited liability partnership interest - - 1,000 1,000
(Frostrow Capital LLP)
AIFM Capital contribution (Frostrow Capital - - 420 420
LLP)
Preference shares investment 69 - - 69
806,039 - 1,420 807,459
As at 30 September 2015
Level 1 Level 2 Level 3
£'000 £'000 £'000 Total
Equity investments 691,459 - - 691,459
Limited liability partnership interest - - 1,000 1,000
(Frostrow Capital LLP)
AIFM Capital contribution (Frostrow Capital - - 420 420
LLP)
Preference shares investment 72 - - 72
691,531 - 1,420 692,951
2. Income
(Unaudited) (Unaudited)
Six months Six months
ended ended
31 March 31 March 2015
2016
£'000 £'000
Income from investments
Franked investment income
- dividends 5,441 4,216
Unfranked investment income
- overseas dividends 990 707
- limited liability partnership profit-share - 292
- limited liability partnership - priority profit-share on 19 14
AIFM Capital Contribution
Total income 6,450 5,229
3. AIFM and Portfolio Management fees
(Unaudited) (Unaudited)
Six months Six months
ended ended
31 March 2016 31 March 2015
£'000 £'000
AIFM fee 584 460
Portfolio management fee 1,647 1,276
Total fees 2,231 1,736
4. Return per share
The total return per share is based on the total return attributable to equity
shareholders of £65,457,000 (six months ended 31 March 2015: return of £
85,874,000) and on 126,322,532 shares (six months ended 31 March 2015:
105,279,252), being the weighted average number of shares in issue during the
period.
The revenue return per share is calculated by dividing the net revenue return
of £5,006,000 (six months ended 31 March 2015: return of £4,003,000) by the
weighted average number of shares in issue as above.
The capital return per share is calculated by dividing the net capital return
attributable to shareholders of £60,451,000, (six months ended 31 March 2015:
return of £81,871,000) by the weighted average number of shares in issue as
above.
5. Net asset value per share
The net asset value per share is based on net assets attributable to shares of
£780,122,000 (30 September 2015: £673,690,000) and on 129,531,212 shares in
issue (30 September 2015: 120,965,212).
6. Transaction costs
Purchase transaction costs for the six months ended 31 March 2016 were £300,000
(six months ended 31 March 2015: £304,000).
These comprise of stamp duty costs of £246,000 (31 March 2005: £224,000) and
commission of £54,000 (31 March 2015: £80,000).
Sales transaction costs for the six months ended 31 March 2016 were £3,000 (six
months ended 31 March 2015: £nil). These comprise solely of commission.
These transaction costs are included within the gains on investments within the
Income Statement.
7. Reconciliation of total return before finance costs and taxation to net cash
inflow from operating activities
(Unaudited) (Unaudited)
Six months Six months
ended ended
31 March 2016 31 March 2015
£'000 £'000
Total return before finance charges and taxation 65,924 86,238
Less: capital return before finance charges and taxation (60,664) (82,044)
Net revenue before finance costs and taxation 5,260 4,194
Increase in accrued income and prepayments (523) (470)
Increase in creditors 38 52
Taxation - irrecoverable overseas tax paid (105) (95)
AIFM and portfolio management fees charged to capital (1,495) (1,163)
Net cash inflow from operating activities 3,175 2,518
8. 2015 accounts
The figures and financial information for the year to 30 September 2015 are
extracted from the latest published accounts of the Company and do not
constitute statutory accounts for the year.
Those accounts have been delivered to the Registrar of Companies and included
the Report of the Auditor which was unqualified and did not contain a reference
to any matters to which the Auditor drew attention by way of emphasis without
qualifying the report, and did not contain a statement under section 498 of the
Companies Act 2006.
Interim Management Report
Principal Risks and Uncertainties
The principal risks and uncertainties facing the Company were explained in
detail within the Annual Report for the year ended 30 September 2015. The
Directors are not aware of any new risks or uncertainties and in the view of
the Board these principal risks and uncertainties are applicable to the
remaining six months of the financial year as they were to the six months under
review.
Related Party Transactions
During the first six months of the current financial year, no transactions with
related parties have taken place which have materially affected the financial
position or the performance of the Company.
Going Concern
The Directors, having made relevant enquiries, are satisfied that it is
appropriate to prepare financial statements on the going concern basis as the
net assets of the Company consist primarily of liquid securities, all of which,
with the exception of the partnership interest in Frostrow Capital LLP, are
traded on recognised stock exchanges.
Directors' Responsibilities
Each Director confirms that, to the best of his/her knowledge:
(i) the condensed set of financial statements contained within the Half Year
Report has been prepared in accordance with applicable accounting standards;
and
(ii) the interim management report includes a true and fair review of the
information required by 4.2.7R and 4.2.8R of the UK Listing Authority
Disclosure and Transparency Rules.
In order to provide these confirmations, and in preparing these financial
statements, the Directors are required to:
· select suitable accounting policies and then apply them consistently;
· make judgements and accounting estimates that are reasonable and prudent;
· state whether applicable accounting policies have been followed, subject to
any material departures disclosed and explained in the financial statements;
and
· prepare the financial statements on the going concern basis unless it is
inappropriate to presume that the Company will continue in business;
and the Directors confirm that they have done so.
The Half Year Report has not been reviewed or audited by the Company's Auditor.
The Half Year Report was approved by the Board on 5 May 2016 and the above
responsibility statement was signed on its behalf by:
Anthony Townsend
Chairman
Glossary of Terms
AIC
Association of Investment Companies.
AIFMD
The Alternative Investment Fund Manager Directive (the "Directive") is a
European Union Directive that entered into force on 22 July 2013. The Directive
regulates EU fund managers that manage alternative investment funds (this
includes investment trusts).
AIFM Rules
AIFMD and all applicable rules and regulations implementing AIFMD in the UK,
including without prejudice to the generality of the foregoing the Alternative
Investment Fund Managers Regulations 2013 (SI2013/1773) and all relevant
provisions of the FCA Handbook.
Discount or Premium
A description of the difference between the share price and the net asset value
per share. The size of the discount or premium is calculated by subtracting the
share price from the net asset value per share and is usually expressed as a
percentage (%) of the net asset value per share. If the share price is higher
than the net asset value per share the result is a premium. If the share price
is lower than the net asset value per share, the shares are trading at a
discount.
FTSE Disclaimer
"FTSE©" is a trade mark of the London Stock Exchange Group companies and is
used by FTSE International Limited under licence. All rights in the FTSE
indices and/or FTSE ratings vest in FTSE and/or its licensors. Neither FTSE nor
its licensors accept any liability for any errors or omissions in the FTSE
indices and/or FTSE ratings or underlying data. No further distributions of
FTSE Data is permitted without FTSE's express written consent.
Gearing
Gearing is calculated by dividing total assets (less cash/cash equivalents) by
shareholders' funds, expressed as a percentage (equivalent to AIC definition of
net gearing).
Leverage
The AIFM Directive (the "Directive") has introduced the obligation on the
Company and its AIFM in relation to leverage as defined by the Directive. The
Directive leverage definition is slightly different to the Association of
- More to follow, for following part double click ID:nPRr54C14bRecent news on Finsbury Growth & Income Trust
See all newsREG-Finsbury Growth & Income Trust Plc: Net Asset Value(s)
AnnouncementREG-Finsbury Growth & Income Trust Plc: Transaction in Own Shares
AnnouncementREG-Finsbury Growth & Income Trust Plc: Appointment of Auditor
AnnouncementREG-Finsbury Growth & Income Trust Plc: Total Voting Rights
AnnouncementREG-Finsbury Growth & Income Trust Plc: Transaction in Own Shares
Announcement