'Many reasons to be positive' despite volatile first half for 133-year-old Edinburgh Investment Trust

The 133-year-old Edinburgh Investment Trust has said there are “many reasons to be positive” after a volatile first half that saw a drop in value amid global market turmoil.

The trust, one of Scotland’s oldest, saw total return net asset value - with debt at fair value - fall by 8.2 per cent in the six months to the end of September, compared with a decline of 8.3 per cent for the FTSE All-Share Index. A first interim dividend was declared on October 26, up 6.7 per cent from 2021 at 6.4p per share.

Trust chair Elisabeth Stheeman said: “This has been an active six months for the company. In addition to the normal day-to-day business of managing the portfolio, there have been changes to the debt structure, a first interim dividend announced and the welcome return of our in-person events for shareholders. There are many reasons to be positive and the company is in a strong position to take advantage of the attractive opportunities that are now arising.”

Fund manager James de Uphaugh said: “Equity markets gave up some ground over this six-month period. Part of that is the general weakness of global equity markets, part was self-made problems in the UK owing to the political uncertainty. However, hopefully the worst of it is behind us. The good news is that inflationary pressures are easing as commodity prices come off their highs. Supply problems are also easing. The UK economy is slowing, but a deep recession is not a certainty.”