The Edinburgh Investment Trust Plc Annual Financial Report 2022 - Flipbook - Page 3
THE EDINBURGH INVESTMENT TRUST PLC / OVERVIEW / 1
Investment Objective
£1,176m
Net assets
634.00p
Share price
3.9%
Dividend Yield
(7.7)%
Discount*
0.52%
Ongoing charges ratio*
4.4%
Gearing (net)*
Comparative figures for last year are
given on page 2
* Alternative Performance Measures
as defined on pages 83 to 85
The Edinburgh Investment Trust plc (‘The Company’) is an investment trust whose investment
objective is to invest primarily in UK securities with the long term objective of achieving:
1.an increase of the Net Asset Value per share in excess
of the growth in the FTSE All-Share Index; and
2.growth in dividends per share in excess of the rate of
UK inflation.
The Company will generally invest in companies quoted on a recognised stock exchange in the UK.
The Company may also invest up to 20% of the portfolio in securities listed on stock exchanges
outside the UK. The portfolio is selected on the basis of assessment of fundamental value of individual
securities and is not structured on the basis of industry weightings.
Nature of the Company
The Company is a public listed Investment Company whose shares are traded on the London Stock
Exchange. The business of the Company consists of investing the pooled funds of its shareholders,
according to a specified investment objective and policy (set out on page 14), with the aim of
spreading investment risk and generating a return for shareholders.
The Company uses borrowing to enhance returns to shareholders. This increases the risk to
shareholders should the value of investments fall.
The Company has contracted an external manager, Liontrust Fund Partners LLP (‘LFP’ or the Manager,
formerly Majedie Asset Management Limited) as Alternative Investment Fund Manager (‘AIFM’) to
manage its investments. Liontrust Asset Management PLC acquired Majedie Asset Management
Limited on 1 April 2022. Other administrative functions are contracted to external services providers.
The Company has a Board of non-executive directors who oversee and monitor the activities of the
Manager and other service providers on behalf of shareholders and ensure that the investment
objective and policy are adhered to. The Company has no employees.