Scottish Oriental Smaller Companies

LN: SST

£297.2m market cap

995p last close

SST’s objective is to provide shareholders with long-term capital growth through investment in smaller Asian (excluding Japanese) quoted companies. Its assets are invested in a diversified portfolio of securities, substantially in the form of equities, although other listed investment companies and equity-related securities such as convertible bonds and warrants are permitted.

Investment summary

Scottish Oriental Smaller Companies Trust (SST) aims to deliver long-term capital growth from investing in smaller companies listed in Asia ex-Japan. The investment approach is bottom-up to find quality companies with sustainable growth that are reasonably valued. Unconstrained by the benchmark, the well-diversified portfolio of c 60 stocks represents the manager’s highest-conviction ideas, with a preference for domestically oriented businesses in less-developed economies, which can benefit from structural growth drivers. SST has a strong, long-term performance track record and over 10 years has delivered an annualised NAV total return of 18.5%. The trust’s current 14.9% discount to cum-income NAV is deeper than its three-year average, in part reflecting a more risk-averse market sentiment. There is scope for this discount to narrow should sentiment towards Asian equities, and small-caps in particular, improve.

Share price graph
Price performance
%
1m
3m
12m
Actual 3.3 6.1 2.4
Relative* 1.0 (3.2) (0.8)
52-week high/low 1040.0p/840.0p
*% relative to local index
Key management
James Ferguson Chairman

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