May 2016 Financial News

Praetorian fund increases to $188m

May 18, 2016

For the six months ended March 31, overall net assets in the Praetorian Property Mutual Fund increased by just over four per cent from $181 million to 188 million. However, compared to the same period in 2015, that was a marginal decrease of two per cent.

In the latest report from the trustees of the fund, Carver Trim, of RBC Trust (T&T) Limited, said the increase in net assets was largely due to an appreciation in investment property value and rental income.

“The overall income position of the fund also improved when compared to the same period in 2015, primarily as a result of the impact of exchange rate changes on the income of the fund,” he said in the report which is posted on the T&T Stock Exchange.

“The fund’s expenses also decreased significantly in comparison to the previous year as investors begin to see the impact of the decision made by the fund’s portfolio managers over the last year to apply fees only on the value of the remaining property held in the fund.”

Trim said the fund’s net asset value closed off at $4.712—a significant premium on the trading price on the T&T Stock Exchange of $3 at as March 31.

He said regional property markets continue to see marginal improvements in demand, with increased activity mainly in the resort property space. However, there is evidence of increased interest in the commercial property sector.

Trim said: “The increased activity is driven by investors seeking to benefit from what is considered to be prices with considerable upside potential in the commercial space.

He said the portfolio managers continue to focus on opportunities to sell down the property portfolio of the fund.

“We are engaged in discussions with several parties which have expressed interest and we remain confident in securing the best value for investors of the fund.”

Source:
Trinidad Guardian
Wednesday May 18, 2016

http://www.guardian.co.tt/business/2016-05-18/praetorian-fund-increases-188m