Monks Investment Trust sees NAV decline

Monks Investment Trust has been battered by the ill winds of the Eurozone crisis in the 12 months to the end of April.

The trust, which is managed by Baillie Gifford & Co in Edinburgh, saw its net asset value (including capital and income) drop 4.5%. The share price total return fell 6.2% compared to the company's benchmark FTSE World Index which came in 2.6% down on the prior year.

The company's largest stake is in IP Group, of which Monks is a 3% stakeholder. That stock did well during the year but a series of investments in gold miners were a major problem, as well as an investment in poor old Research In Motion.

Try 6 free issues of MoneyWeek today

Get unparalleled financial insight, analysis and expert opinion you can profit from.

Start your trial

Sign up for MoneyWeek’s free twice-daily newsletter.

Join more than 165,000 subscribers and keep yourself informed with latest financial news, insights and expert analysis to help you understand what really matters when it comes to your finances.

Join more than 165,000 subscribers and keep yourself informed with latest financial news, insights and expert analysis to help you understand what really matters when it comes to your finances.

Sign up

The total dividend for the year has been announced as 3.95p per share, up from the 3p seen in 2011.

Monks is now very cautious on the direction of markets, saying today that: "Notwithstanding the attraction of many individual investment opportunities, significant risks remain of a systemic nature."

Over the 12 months until the end of April Monks' share price dropped 7%, since then the stock has fallen a further 2.8%.

BS