AVI Global Trust (AGT) H1 2025 earnings summary

Executive summary

• Portfolio is highly concentrated, benchmark agnostic, with top 10 holdings making up nearly 60% of assets and a strong tilt toward ex-U.S. markets, especially Europe and Japan, which now represent 23% of NAV.

• NAV total return per share rose 1.0% and share price total return was 0.8% for the six months to 31 March 2025, underperforming the benchmark's 1.5% return.

• Portfolio construction focuses on less efficient market areas, seeking high-quality, undervalued assets with clear catalysts for value realization, often through active engagement or activism.

• Activism and engagement are core to the strategy, with most efforts remaining private but tailored to each market and company type.

• Market volatility driven by US trade policy and geopolitical uncertainty impacted performance and outlook.

Financial highlights

• Portfolio average discount to NAV is about 38.5%, historically wide and near crisis levels, with a 39% portfolio weighted average discount.

• Net asset value per share (total return) up 1.0% year-over-year; share price total return up 0.8%.

• Interim dividend increased to 1.50p per share; Board targets a total of at least 4.05p for the year.

• 12.7 million shares (2.9% of shares in issue) were bought back, adding 0.3% to NAV and helping manage the share price discount.

• Profitable exits from several holdings, with new investments primarily in Europe and Japan.

Outlook and guidance

• Confident in compelling investment returns driven by NAV growth and discount narrowing, supported by activism.

• Expect continued focus on ex-U.S. markets, with growing exposure to Asia and Korea as governance reforms progress.

• Board aims to at least maintain the final dividend, with a minimum total dividend of 4.05p for the year, barring unforeseen events.

• Management remains focused on bottom-up opportunities and unlocking value through activism and engagement.

• Near-term market outlook is uncertain due to elevated geopolitical and macroeconomic risks.