AVI Global sees 'fertile hunting ground' in UK investment trust sector
The trust has continued to increase its stake in UK investment trusts, building new positions in Pantheon International and Princess Private Equity over the last year.
About 30% of the trust's portfolio is invested in UK investment investment trusts, which are facing the widest discounts since the depths of the Global Financial Crisis.
According to the Association of Investment Companies, the average discount across all investment trust sectors stood at 16.9% at the end of October, the widest discount for a month-end since December 2008, when it reached 17.7%, according to data from Morningstar.
In its annual results released today (10 November), the managers said they are excited about opportunities in the sector where they can add value as an «engaged and active shareholder».
Failed continuation vote leaves Hipgnosis Songs manager in a 'do or die' position
AVI Global has upped its stakes in UK investment trusts in light of the significant discounts, building new positions in Pantheon International and Princess Private Equity over the last year, while also «meaningfully adding to what was a small tail position» in Hipgnosis Songs fund.
This is was in addition to its existing holdings in other investment trusts such as Oakley Capital Investments, Third Point Investors, Pershing Square Holdings, Molten Ventures, JPEL Private Equity and Seraphim Space Investment.
Last month, Asset Value Investors began a campaign against the management of Hipgnosis, urging fellow shareholders to vote against the continuation of the company and the proposed $465m music catalogue sale, which ultimately failed.
«We urge undecided shareholders not to be swayed by a misleading narrative that a failure to pass the continuation resolution
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