Average discounts to nav improving

Over the last six months the average discount to net asset value (NAV) across the investment trust s...

Over the last six months the average discount to net asset value (NAV) across the investment trust sector has narrowed from almost -14% to just under -10%, and since mid 2000 the average discount has never dropped below -14%. This is good news for an industry that has suffered from setbacks such as the split cap debacle and the bear markets between 2000 and 2003. The industry has also developed mechanisms to help control discounts, such as market buy backs, tender offers and treasury shares. Still, the industry has further to go - solving problems such as improving investor access to resea...