Henderson Eurotrust HNE Interim Management Statement

  Henderson Eurotrust (HNE) - Interim Management Statement

RNS Number : 2616R
Henderson Eurotrust PLC
15 November 2012






HENDERSON EUROTRUST PLC





15 November 2012

                                      

                                      

                           HENDERSON EUROTRUST PLC

                                      

                         Interim Management Statement

          Review of the period from 1 August 2012 to 31 October 2012





The Directors of Henderson EuroTrust plc hereby announce the following:



MATERIAL EVENTS OR TRANSACTIONS DURING THE PERIOD



Comments from our Portfolio Manager:



Sentiment towards European shares has improved considerably since 31 July, the
end of our financial year. Markets have rallied - and although the Company has
rallied as well, the performance of the NAV has lagged that of the FTSE World
Europe (ex UK) Index in our first three months. This has largely been due to
our underweight position in banks, even though this is now not as marked as it
was at the year end, due to the addition of three bank positions, all of which
have risen strongly.



The improvement in markets has been due mainly to the encouraging feeling that
the Euro will not collapse. Strong words followed by a relatively decisive
commitment to buy sovereign bonds, provided relevant governments commit to a
programme overseen by the EU/IMF, has been enough, for now, to stop the
inexorable rise in some peripheral bond yields.



The economic news, and to some extent earnings results, have both continued to
be poor. This had largely been expected however, so has had only a limited
impact on markets. We would expect a gradual improvement in both economic and
earnings news to begin over the next three to six months, and have therefore
begun to utilise some of the available gearing. Of the £15million available
facility, we had around £7million drawn down at 31 October, and would expect
to continue this trend of adding to existing holdings on bad days over the
next three to six months.



Tim Stevenson

Portfolio Manager





Gearing: At the end of the quarter the Company was 7.7% geared on a net basis
(at 31 July 2012: 1.7%)



Annual General Meeting: The AGM was held on 14 November 2012 and all
resolutions were duly passed.



Dividends: Following shareholder  approval at  the AGM, a  final dividend  of 
11.5p (2011: 11.0p) per  ordinary share will  be paid on  20 November 2012  to 
shareholders on  the register  on  19 October  2012.  The shares  were  quoted 
ex-dividend on 17 October 2012.



Discount: The share price discount to net  asset value at 31 October 2012  was 
8.7% (at 31 July 2012: 12.7%)



There are no other material events or transactions to report.



                                      



                                    -MORE-

                                      

                                  - Page 2 -



                                                                             



PERFORMANCE AND FINANCIAL HIGHLIGHTS



Performance at 31 October 2012 (total return % change)

                3 months 6 months 1 year 3 years 5 years
Net asset value    5.00%    5.81%  9.60%  24.66%  18.56%
Share price       10.16%   11.54% 13.03%  19.63%  20.07%
Benchmark *        7.70%    7.31%  6.33%   6.69%  -7.46%

(Source: Morningstar/Funddata) * The benchmark is the FTSE World
Europe (ex UK) Index





Financial Position (excluding current                                       
financial year revenue items)
                                            at 31 October 2012 at 31 July 2012
Ordinary share price                                   546.00p         506.25p
Discount                                                  8.7%           12.7%
Gross total assets                                       £129m           £120m
Net asset value (cum income)                            598.0p          580.2p
Net asset value (ex income)                             597.9p          568.2p
Net gearing                                               7.7%           1.7%
Yield                                                    2.93%           3.16%
Ongoing Charges (ex performance fee)                     0.91%           0.91%
Ongoing Charges (inc performance fee)                    1.76%           1.76%

(Source: Henderson/Factset/AIC)







THE PORTFOLIO (Source: Henderson/Factset)



Top 10 Investments at 31 October           Top 10 Investments at 31
2012                                       July 2012
                                    % of                           % of total
                                                                        assets
                                    total

                                  assets
Deutsche Post                         4.8  Deutsche Post                   4.9
BIC                                   3.0  Fresenius                       3.6
Fresenius                             3.0  Amadeus                         3.5
SAP                                   2.8  Ericsson                        3.0
Deutsche Telekom                      2.5  BIC                             2.8
ENI                                   2.5  Dassault Systèmes               2.7
Adecco                                2.3  ASML Holdings                   2.6
Dufry                                 2.3  Deutsche Telekom                2.5
Deutsche Boerse                       2.2  Swedish Match                   2.5
Linde                                 2.2  Adecco                          2.4
                                  -------                              -------
                                     27.6                                 30.5
                                     ====                                 ====



















                                    -MORE-



                                  - Page 3 -

                                      





Geographic Breakdown            % at          % at

                     31 October 2012 31 July 2012
                                               

Germany                         31.8          28.4
Switzerland                     20.8          19.0
France                          17.4          19.0
Sweden                           8.4          11.1
Italy                            6.6           6.4
Netherlands                      4.8           5.5
Denmark                          3.5           3.6
Spain                            3.5           5.1
Norway                           1.8           1.9
Austria                          1.4             -
                              ------        ------
                               100.0         100.0
Total                           ====          ====





Sector Breakdown

                              % at          % at

                   31 October 2012 31 July 2012

                                               
Industrials                   23.4          27.0
Consumer Goods                15.9          12.5
Health Care                   15.1          15.7
Financials                    14.9          10.0
Technology                     9.6          10.6
Oil & Gas                      7.5           8.2
Consumer Services              6.8           7.3
Telecommunications             3.4           3.2
Basic Materials                3.4           5.5
                            ------       -------
Total                        100.0         100.0

                              ====          ====







The objective of Henderson EuroTrust plc  is to invest predominantly in  large 
and medium sized companies  which are perceived to  be undervalued in view  of 
their growth prospects or on account of a significant change in management  or 
structure. The Company's  aim is to  achieve a superior  total return from  a 
portfolio of high quality European investments.



The Manager is  Henderson Global Investors  Limited. Further information  on 
the Company,  including  an  up  to  date net  asset  value  and  share  price 
information,    can    be    found    on    the    Company's    website     at 
www.hendersoneurotrust.com.



                                      

For further information, please contact:



Tim Stevenson

Fund Manager

Henderson EuroTrust plc

Telephone: 020 7818 4342
                                                                            

                                                                            

  
                                   -MORE-



                                 - Page 4 -

                                                                           



James de Sausmarez

Head of Investment Trusts

Henderson Global Investors

Telephone: 020 7818 3349


Sarah Gibbons-Cook

Investor Relations and PR Manager

Henderson Global Investors

Telephone: 020 7818 3198



                                      

                                      

                                      

                                 - ENDS -

                                      

Neither the contents of the Company's website nor the contents of any  website 
accessible from hyperlinks on the Company's website (or any other website)  is 
incorporated into, or forms part of, this announcement.

                                      

                                      

                     This information is provided by RNS
           The company news service from the London Stock Exchange

END


IMSZMMMMKKKGZZM -0- Nov/15/2012 15:28 GMT
 
Press spacebar to pause and continue. Press esc to stop.