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The Company currently conducts its affairs so that securities issued by New India Investment Trust PLC can be recommended by financial advisers to ordinary retail investors in accordance with the FCA’s rules in relation to non-mainstream pooled investment products (NMPIs) and intends to continue to do so for the foreseeable future.
The Company’s securities are excluded from the FCA’s restrictions which apply to non-mainstream investment products because they are securities in an investment trust.
The Alternative Investment Fund Manager Directive (“AIFMD”) requires Aberdeen Fund Managers Limited, as the alternative investment fund manager of New India Investment Trust PLC, to make available to investors certain information prior to such investors’ investment in the Company.
The AIFMD is intended to offer increased protection to investors in investment products that do not fall under the existing European Union regime for regulation of investment products known as “UCITS”.
At close 02-Jul-2015Ord
Source: Morningstar, NAV = Net Asset Value, excluding income.
The value of investments and the income from them may go down as well as up and investors may get back less than the amount invested. The tax benefits relating to ISA investments may not be maintained. Please refer to the Key Facts documents contained in the ISA/Share Plan Brochure & Application form for general and specific investment risks attaching to the individual trusts.Read the detailed Risk Warning
Past performance is not a guide to future results.
See latest monthly factsheet below for performance history.
Holdings are subject to change at any time. Holdings should not be relied upon in making investment decisions and should not be construed as research or investment advice regarding specific securities. By accessing the portfolio holdings, you agree not to reproduce, distribute or disseminate the portfolio holdings, in whole or in part.
Bow Bells House,
1 Bread Street,
Registered in England and Wales as an Investment Company Number 2902424
To achieve long-term capital appreciation by investing in companies which are incorporated in India or which derive significant revenue or profit from India, with dividend yield from the company being of secondary importance. This emphasis on long-term capital appreciation will be demonstrated by benchmarking the Company’s net asset performance against the Morgan Stanley Capital International India Index (in Sterling terms).
In this webcast Adrian Lim gives an update on a range of subjects including performance, sector breakdown, political environment, twenty largest investments and an outlook for the Trust.
India equities rose in May, despite disappointing earnings and concerns that a US interest rate rise could be imminent. The return of foreign asset managers after the recent selling spree supported wider investor sentiment, along with slackening oil and gold prices.
The reserve bank cut interest rates again, as expected. It also lowered its fiscal year growth forecast by 2 basis points to 7.6%. Meanwhile, business confidence fell to its lowest in12 months in May.
ITC’s fourth-quarter results were lacklustre on subdued growth in its cigarette division, following the hike in duties. However, profits were up an encouraging 13% in fast-moving consumer goods, despite slack demand and intense competition. We topped up the stock on weakness as we believe its fundamentals remain compelling over the long-term. Elsewhere, Hindustan Unilever’s sales volumes grew by 6%, while margins improved on lower input costs.
Hero MotoCorp’s earnings suffered from its partnership with US-based Erik Buell Racing, which filed for bankruptcy. While disappointing, the company assured there would be no impact on product development. Excluding this one-off hit, quarterly and full-year profits rose by 13% and 20% respectively, even amid a decelerating rural economy.
Our small-cap holdings were relatively resilient. Kansai Nerolac’s earnings improved, while margins benefited from benign costs. Softer raw material costs also boosted Castrol’s profits, despite weakness in its automotive and industrial divisions, while Sanofi India benefitted from better margins and its focus on volumes.
Piramal Enterprises posted a profit on decent performance across its core businesses, coupled with gains from asset sales (including Vodafone). Mphasis’s digital risk business recovered, as expected, although its HP channel remained under pressure.
In May, Modi celebrated his first anniversary in the seat of power. In that time, India’s economy has improved on several measures: inflation has fallen dramatically, the current account achieved its first surplus in seven years and the fiscally-responsible government managed to stick to the full-year deficit target. However, the economic recovery has been patchy and notable headwinds remain. Previously jubilant investors have revised their sky-high expectations that the new government would be India’s quick fix, which has tempered enthusiasm for local equities. Political jostling remains particularly irksome for the BJP; most recently the opposition-controlled upper house waylaid two pivotal bills, covering land acquisitions and the unified goods and services tax. If Modi can navigate these key reforms through the political minefield and into law in a timely manner, markets could well rally around him again.
Source: Monthly Factsheet Aberdeen Asset Managers Limited