Witan Investment Trust posts impressive returns

The FTSE 250 group saw a net asset value total return of 6.4%, outperforming the benchmark return of 3.5%. Its NAV total return over the last five years was 51%.

Witan reported a share price averave premium to NAV of 0.1%, and issued 10.5m shares at a premium to NAV, raising more than £83m.

Its board said £75m of long-term debt was issued at under 3.5% per annum.

"2015 was another year when market sentiment was changeable, with no consistent market direction. Active investment selection was particularly important," said chairman Harry Henderson.

"During the year our managers outperformed their benchmarks significantly overall, with a modest additional contribution from the company's use of gearing. Eight of our external managers outperformed their benchmarks during the year, four of them by margins of over 5%," he explained.

Henderson said as a result, Witan's shareholders enjoyed a successful year, with a net asset value premium of 2.9% over benchmark. He added that the shares moved from a small premium at the end of 2014 to a 0.2% discount at the end of 2015.

"The dividend for the year has been increased by 10.4% to 17.0 pence per share, while adding £2.4m to our revenue reserves. A fourth interim dividend of 5.45 pence was declared in February 2016, payable on 1 April 2016. This marks the 41st consecutive year of rising dividends at Witan," Henderson said.

Witan's income statement showed total investment income during the year of £111.8m, down slightly from £118.8m in 2014. Profit before tax totalled £85.5m, down from £96.5m, with earnings per ordinary share of 43.03p, compared with 50.35p in 2014.

The group's total equity on 31 December was £1.58bn, up from £1.44bn a year earlier.