Take on Trusts – October 2025

In October, Edison’s investment companies team covered the Diverse Income Trust (DIVI), whose managers are the most bullish they have been in 30 years, citing ‘absurdly low valuations’ in UK small-caps and anticipating a UK market super cycle. Pfizer's Metsera acquisition has potentially transformational implications for IP Group, which is entitled to low single-digit royalties from Metsera compounds that could generate multi-billion-dollar revenues. Novo Nordisk recently announced a competing bid for Metsera. Molten Ventures expects to deliver a 7.2% NAV total return according to its H126 update, while BB Biotech (BION) delivered robust Q325 results with 24.0% NAV growth in CHF terms, benefiting from improving macroeconomic conditions, like the Federal Reserve’s September rate cut. Lowland Investment Company (LWI) generated a 20.8% NAV total return in FY25, 460bp ahead of its benchmark, and Georgia Capital (GCAP) posted strong H125 results with NAV per share up 31% in Georgian lari, driven by its stake in Lion Finance Group. Until next month, the Edison investment companies team.

Until next month, the Edison investment companies team.