Independent Investment Trust outperforms UK market

24th Jan 2011 15:53

The Independent Investment Trust (IIT) increased its net asset value by 20.3% to 234.5p a share in the year to November 2010. That compares with an 8% rise in the FTSE All Share index. The outperformance has been thanks to a cautious approach which combines defensive investments and cash in the bank with exposure to investments more exposed to economic recovery. Exposure to the energy sector has been reduced while IIT is rebuilding its investments in housebuilding. There has been a strong recovery in the trust's retail investments, helped by an investment in SuperGroup when it floated in March. IIT says that it is the best performer in the Thomson Datastream/JP Morgan Cazenove global growth sector over the past 10 years - based on net asset value total return. It has produced an NAV total return of 195% over the 10 years. IIT is paying a total dividend of 5p a share, down from 8p a share the previous year but that included a 3p a share special dividend. IIT's latest net asset value is 246.17p a share - including current year income. The immediate outlook is dependent on what happens with the global economy.