The Diverse Income Trust Plc - Annual Financial Report
PR Newswire
LONDON, United Kingdom, August 13
THE DIVERSE INCOME TRUST PLC
ANNUAL REPORT AND ACCOUNTS FOR THE YEAR TO 31 MAY 2025
AND
NOTICE OF ANNUAL GENERAL MEETING
The Diverse Income Trust plc (the "Company", "Diverse" or the "Trust") announces its annual results for the year ended 31 May 2025 and the publication of its annual report and accounts for the same period (the "Annual Report"), which includes the notice of Annual General Meeting.
THE KEY PERFORMANCE INDICATORS
Net Asset Value - Year to 31 May 2025*14 | 2025% | 2024% |
NAV Total Return | 12.8 | 16.5 |
Deutsche Numis All Share (Comparator Index) | 9.7 | 15.6 |
Peer Group2 | 8.8 | 15.6 |
Average discount to NAV+14 | Period | % |
| Year to 31 May 2025 | (7.1) |
| Year to 31 May 2024 | (7.1) |
| Since launch to 31 May 2025 | (1.2) |
Dividend growth+1 ?5.9% |
|
|
| Year to 31 May 2025 | 4.50 |
| Year to 31 May 2024 | 4.25 |
Ongoing charges+14 ?(0.01)% |
|
|
| Year to 31 May 2025 | 1.13 |
| Year to 31 May 2024 | 1.14 |
NAV per ordinary share+ ?7.9% |
|
|
| Year to 31 May 2025 | 106.69 |
| Year to 31 May 2024 | 98.87 |
Net Asset Value Total Return - Since launch to 31 May 2025* | % |
NAV total return | 264.6 |
Deutsche Numis All Share (Comparator Index) | 140.1 |
Peer Group2 | 210.4 |
Share price total return*3 ?8.1% |
|
|
| Year to 31 May 2025 | 20.8 |
| Year to 31 May 2024 | 12.7 |
Revenue return per ordinary share+4 ?11.4% |
|
|
| Year to 31 May 2025 | 4.9 |
| Year to 31 May 2024 | 4.4 |
* Source: Morningstar.
† Source: Company.
1 KPI, defined in the Glossary.
2 Defined in the Glossary.
3 Defined in the Glossary.
4 Alternative performance measure.
CHAIR'S STATEMENT
"The Company delivered a net asset value total return of 12.8%, ahead of the UK market's total return of 9.7%, alongside a 5.9% rise in the total dividend, which exceeded the 3.4% rise in UK consumer price inflation."
Introduction
The past year has seen 2024's limited green shoots in the UK economy wilt under the influences of tax increases and other confidence-sapping policy initiatives by the Labour government, allied to uncertainties on the world stage centred on the US government's planned or imagined changes in import tariffs.
The overall effect has been to put a brake on companies' plans to hire and invest, owing to the lack of clarity over government attitudes to business and the uncertainties affecting global trade. Repeated policy gyrations have encouraged equity markets to put aside much of the bluster in the tariff debate, with a degree of rotation out of the hitherto dominant US market, allied to weakness in the US dollar, enabling the UK and other European markets to deliver more competitive total returns. Declining interest rates have improved financial conditions, while a sharp rise in the UK consumer's saving rate offers potential for an improvement in domestic growth, assuming the increase is not eaten up by further tax rises.
Returns to shareholders and performance
The Company delivered a net asset value total return of 12.8%, strong in absolute terms and ahead of the UK market's total return (as measured by the Deutsche Numis All Share index) of 9.7% and that of the Company's peer group (the Morningstar UK Equity Income sector) which returned 8.8%. The share price total return of 20.8% was also better than the peer group's (12.4%).
The Trust's Revenue Earnings per Share increased by 12.0% this year to 4.87p. The Trust increased its dividend to shareholders by 5.9% this year from 4.25p to 4.50p, which includes the three interim payments already declared and a recommended final dividend of 1.35p to be approved at the AGM. The rise is well ahead of the 3.4% rate of UK consumer price inflation to May 2025.
This return was achieved despite smaller companies and AIM stocks, in which much of the Company's portfolio is typically invested, continuing to lag the wider market and underlines the importance of stock selection even in the more positive conditions that have begun to characterise the UK market's absolute and relative performance during the second half of the reporting period.
Smaller capitalisation stocks delivered only half as much (+5.0%), while AIM stocks continued to be sidelined, the Deutsche Numis AIM index seeing a decline of 6.4%.
Twelve month total returns of the Trust and various Deutsche Numis indices
| % |
NAV Total Return | 12.8 |
Deutsche Numis All Share Index | 9.7 |
Deutsche Numis Small Cap Index ex ICs** | 5.0 |
Deutsche Numis Alternative Markets Index ex ICs** | (6.4) |
** Investment Companies Source: Morningstar
Market valuation and share redemptions
Although the disinvesting trend from UK equities by domestic investors has not materially improved, increases in UK allocations by international investors have contributed to an improved relative performance by the UK market, spreading beyond the main internal sectors dominant in the top 100 index. Some, at least, are beginning to see opportunity in the UK's laggard status, rather than chasing the momentum available elsewhere.
With the improved sentiment towards UK equities, together with a number of shareholder activists taking advantage of prevailing wide discounts in the investment trust sector, discounts narrowed somewhat from the wide levels seen in mid-2024. The Company's annual redemption opportunity means that shareholders have been protected from the more extreme widening seen elsewhere but the improving overall trend saw the Trust's discount* narrow from 9.6% to 3.5% over the year to 31 May 2025, helped by a strong performance.
Each year the board offers shareholders a voluntary redemption opportunity. This year, the date was moved from a redemption point at the end of May to the end of August, in order to avoid accounting and administrative complications over the Company's year-end. At 29th July 2025, 72,822,392 shares were offered for redemption, representing 30.8% of the Trust's equity. A further announcement setting out the redemption details will be made shortly after the redemption point, being 29th August 2025.
Since the Trust was launched in 2011, the voluntary redemption mechanism has worked effectively, with the Trust's share price on average trading at a 1.6% discount to its NAV.
*Alternative performance measure
Board succession
Calum Thomson, the Chair of the Audit Committee, will reach nine years as a Director during the Trust's current financial year and will stand down at the AGM in October 2026. Accordingly, the Board expects to initiate a formal search process for a successor early in 2026.
Prospects
The initial market reaction to President Trump's April 2nd announcement of widespread tariffs on imports from its trading partners was sharply negative. This reflected the rational view that precipitately changing the rules of international trade would be disruptive to trade patterns and individual businesses in unpredictable ways, as well as increasing inflation in the US. The subsequent recovery in equity markets has been in reaction to the US concluding deals with a number of trading partners as well as rowing back on the extent and timing of the proposed tariffs.
The recovery in markets is broadly rational, with the significant caveat that misjudgements may be made by the US or others in treating international diplomacy as a game of bluff and negotiating tactics. A recession or a rise in inflation could be the result.
The rise in defence spending and the general global decline in interest rates are tailwinds for economic activity and risk-taking, while recent US policy changes appear to have encouraged investors to diversify their investments more widely beyond the expensively rated US equity market and, within it, the premium rated major technology companies. This has been to the benefit of non-US global markets, including the UK (and, more recently, the smaller companies within it).
From launch in April 2011 to the end of May 2025, Diverse Income Trust has delivered a NAV total return of 264.6% and a share price total return of 239.9%, while by comparison the UK equity market's total return was 140.1% over the same period and UK consumer prices rose 48.5%. The Company would be a particular beneficiary of a revival in UK small cap, and particularly AIM, stocks, both markets where valuations have fallen to historically low levels. Whilst everyone should do their own research, our managers believe that valuation, fund flows and fundamentals are particularly well aligned to reward our investors in coming years, with outperformance resuming more recently, after the uncertainties spanning the Brexit process, the Covid crisis and the peak in the US tech boom, all of which led investors to focus elsewhere.
Andrew Bell
Chair
12 August 2025
MANAGER'S REPORT
Who are the fund managers that have day-to-day responsibility for the makeup of the Trust's portfolio?
Gervais Williams
Gervais joined Miton in March 2011 and is now Head of Equities in Premier Miton. He has been an equity fund manager since 1985, including 17 years at Gartmore. He was named Fund Manager of the Year by What Investment? in 2014. Gervais is also the President of the Quoted Companies Alliance member of the AIM Advisory Council.
Martin Turner
Martin joined Miton in May 2011. Martin and Gervais have had a close working relationship since 2004, with complementary expertise that led them to back a series of successful companies. Martin qualified as a Chartered Accountant with Arthur Anderson and had senior roles and extensive experience at Merrill Lynch and Collins Stewart.
Market trends over the past decade
Over the last ten years, global stock markets may have risen, but their returns look rather pedestrian when compared with the returns of very large US technology stocks. The seven largest, known as the Magnificent Seven, 'Mag 7', have risen by a giant 2,589.6% in Sterling terms over the period. Returns of this magnitude have depressed the returns of all comparators, as investors have withdrawn capital from all other global equities to participate in this rise.
In addition, in rapidly rising markets, the returns from equity income stocks often appreciate less rapidly than the more volatile share prices of growth-oriented companies, with the result that the UK stock market, as measured by the Deutsche Numis All Share Index, has risen only 78.3% over the last ten years. With capital being withdrawn to participate in the Mag7, the returns from UK-quoted small caps were even more modest, with the Deutsche Numis Mid Cap and Small Cap Indices rising by only 64.9% and 71.1% respectively, and the Deutsche Numis Alternative Markets Index up just 9.7% (all indices quoted in total return terms).
Market trends over the year to May 2025
Over the 12 months to May 2025, the return from the Mag7 was 21.4% but followed a return of 26.1% in the first six months to November 2024. In other words, Mag7 returns have been much weaker since 'Liberation Day' on 2 April when President Trump set out the trade tariffs he intended to charge on US imports.
Even as US stock market returns became less buoyant over the last few months of the Trust's financial year, UK OEIC redemptions have persisted. Hence, over the period under review, the Deutsche Numis Small Cap plus AIM Index ex ICs Index appreciated by only 1.1%, with the Deutsche Numis All Share Index up 9.7%.
Changes to the portfolio
During the year, with the number of UK takeovers increasing, the holdings in I3 Energy, Inspired Energy and wealth manager STM Group were sold from the portfolio. In addition, significant profits were taken from positions in BAE Systems, IG Group - an online financial trading company - Mears Group (local authority housing maintenance), packaging group Smurfit Kappa, and System1, a global market research provider.
The largest new holding bought in the period was Greatland Gold, a UK listed, Australian gold miner, together with Lloyds Bank, and OSB Group, formerly known as One Savings Bank. Other significant new holdings were Aberdeen Group, (owners of interactive investor), B&M European Value Retail, Gaming Realms, Natwest Group, and Thor Exploration, a gold exploration company operating in West Africa.
The portfolio was made up of 97 stocks at the year end, compared to a total of 117 holdings twelve months earlier.
Changes to the portfolio industry sector weightings
Over the year to May, the weighting in the Financial Industry sector rose from 35% to 41%, in part as a result of the strong performance of a number of individual stocks. The change was also due to an increase in the weighting of the Banks sub sector from 1% to 5%. Interestingly, the global industry classification standard, "GICS", includes neither the new OSB holding nor the holding in Vanquis Banking Group, a credit card and loan provider, both of which we consider to be Banks, so the portfolio's weighting in Banks may be considered to have increased to 7%. The weightings in the other Financial industry sector categories - Financial Services and Insurance - were only modestly higher.
Consumer Discretionary weightings also increased from 6% to 9%, as many small holdings started in the previous year were built up into full holdings. Examples include AO World, which sells home appliances, the radiator manufacturer, Stelrad, Victorian Plumbing and Wickes.
The portfolio weighting in Energy fell from 11% to 8% in part due to disappointing returns from oil and gas company Savannah Energy, which failed in its attempt to make an acquisition that had been expected to greatly enhance earnings.
The Real Estate weighting fell from 5% to 3% as holdings in LondonMetric, Property Franchise and Helical were sold.
The Trust's returns
As highlighted above, over the year to May 2025, UK-quoted small caps have underperformed the UK majors. Had the large proportion of Trust's portfolio invested in UK-quoted small caps performed in line with the small cap indices, then its return would have considerably lagged behind that of the Peer Group.
As it was, over the year to May 2025, the NAV total return of the Trust bucked this trend and rose 12.8%, which compares favourably with the Deutsche Numis All Share Index total return of 9.7%, the Deutsche Numis Smaller Companies Plus AIM Index return of 1.1% and the UK Equity Income Peer Group, return of 8.8%.
The underperformance of UK-quoted small caps in the main over the last few years has built up to a point where, since the Trust's launch in April 2011, the Deutsche Numis Smaller Companies Plus AIM Index has generated a total return of only ex ICs 113.2%, compared with the Deutsche Numis All Share total return of 140.1%.
As with the year under review, since launch the Trust's portfolio has generated considerable added value, and hence its return since April 2011 has been 264.6%. This also compares favourably with the 210.4% return from the Peer Group. As their portfolios, in general, have many fewer small cap holdings, their added value would appear to have been considerably less.
What were the principal contributors and detractors to the Trust's performance during the 2025 financial year?
Largest 5 contributors to performance | % |
Pan African Resources Plc | 1.86 |
Greatland Gold Plc | 1.62 |
Galliford TryHoldings Plc | 1.51 |
Concurrant Technologies Plc | 1.49 |
XPS Pensions Group Plc | 1.49 |
|
|
Largest 5 detractors from performance
| % |
Savannah Energy Plc | (1.75) |
Zotefoams Plc | (0.70) |
Conygar Investment Company Plc | (0.64) |
CT Automotive Group Plc | (0.57) |
Man Group Plc/Jersey | (0.56) |
Source: Premier Miton |
|
Outlook
Traditionally, global economies have periods of expansion, with intervening periods of recession. Investment in productivity improvement is tested during recessions, such that only the genuinely productive survive. The cycle of expansion and setback usually favours better managed corporates and in doing so drives long-term improvement. Importantly, ongoing long-term productivity improvements are then reflected in wage growth that exceeds inflation.
The economic pattern has been different during globalisation. In general, the near unlimited surge of low-cost imports has offset local service price inflation, such that in many developed economies inflation has been benign for decades.
During economic setbacks, for instance the Global Financial Crisis in 2008, and Covid in 2020, inflationary pressures were not generally feared, and central banks resolved these crises by injecting substantial financial stimulus, with the result that relatively few corporates failed. The net effect was that during globalisation, global productivity improvement was sub-normal. Furthermore, following the widespread introduction of the policy of Quantitative Easing in 2009, the additional distortion this brought to market prices may explain why productivity has generally flatlined subsequently.
Furthermore, given the absence of meaningful productivity improvements since 2008, the wages of many staff have not increased ahead of inflation. In our view it is the absence of wage improvement that explains why, even prior to Covid, many of the electorate started voting against the status quo. Over recent years, with the surge in inflationary pressures, many voters now believe that a major change in government policy is even more urgent.
Given this background, we believe that the economic trends that drove the outstanding returns of the US technology megacaps have come to an end. Furthermore, we also believe there will be weighty consequences to come from the introduction of US trade tariffs. Indeed, given the scale of the proposals, we anticipate equally meaningful unintended consequences.
Whilst the timings of specifics are somewhat unknowable, we believe that in the absence of near-unlimited deflating goods, central banks will routinely have to address periods of both excess inflation and deflation. These will lead either to a major setback in corporate profit margins or a derating of equities, possibly both. From a business perspective this implies a much more severe period of corporate insolvency, with even some of the survivors potentially delivering poor returns.
Equity income stocks have a disproportionate advantage when equity market liquidity is tight. Whilst most corporates need to focus on cashflow survival, companies generating surplus cashflow can acquire overindebted, but otherwise solvent companies, debt-free from the receiver, for almost nothing. As a result, during recessions we anticipate many quoted equity income stocks will accelerate their earnings growth via acquisition. And as the maths works so much better down the market capitalisation range, certain small caps will make relatively substantial acquisitions at almost no cost, potentially delivering transformational upgrades in their earnings.
The bottom line is that in contrast to much of the period to date, we believe the Trust's strategy will be the beneficiary of a strong market tailwind in future. Furthermore, if we can continue to add further value via careful stock selection, then the Trust's investment case appears to be immensely strong. We believe it is the best we have seen for thirty years.
"As globalization fades, Trusts that deliver a major proportion of their return via cash dividends, such as Diverse, appear set to outpace those with greater reliance on buoyant stock markets and NAV appreciation."
The Investment Managers' view of benefits and opportunities in the UK
Q. Why was the Trust set up with a focus on equity income stocks?
Stock market share prices fluctuate all the time. Hence, over an annual reporting cycle, the NAV of a trust may increase by a large percentage, or suffer a setback, with rises in some years offset in part by falls in others.
Importantly in this context, the return provided by the Trust's stream of dividend payments provides a sustained and - to date - an ever-increasing stream of dividend cashflow, helping to ensure both strength and consistency of total return.
Q. Given your focus on the Trust's dividend income, how has its trajectory compared with that of the UK stock market?
The Trust's ordinary dividends have grown steadily since launch. In 2020-2021, when many portfolio companies cut their dividends as a result of the pandemic leading to a decline in the Trust's annual
revenue, this temporary setback was countered by drawing upon reserves built up in prior years, enabling the Trust to continue to pay increased dividends. Since that date the Trust's revenue has fully recovered, and its annual revenue and dividends have continued to grow. This is in contrast to dividend income paid by the UK stock market, which, having fallen in 2020, has not yet recovered to its 2019 peak.
Q. To what degree might the Trust's potential long-term total return be compromised by pursuing a good and growing income strategy?
During recessions companies often run short of ready cash, which may force them to sell parts of the group at distressed valuations. In the most indebted cases, insolvency may result, leading them to be sold debt-free, often for a nominal sum, by the receiver. Companies with an abundance of surplus cash with which to acquire such businesses may see their own growth rates accelerate, leading in turn to strong outperformance.
During periods of economic expansion, and the benign inflation that prevailed during globalisation, central banks and governments were able to shelter corporates deploying more aggressive tactics during economic setbacks, such that relatively few ran short of cash. We would argue that the potential downside risks that come with these more aggressive strategies have not been apparent for many years.
With the resurgence in nationalism, however, more testing economic downturns may once more become a regular feature.
In this environment, we believe that the benefits of an equity income strategy will become better appreciated, especially if it outperforms those with more aggressive characteristics by a wide margin.
We believe that the success of an investment strategy can only be properly assessed following a testing economic setback as well as during periods of growth, and that as such the full advantages of the Trust's strategy have yet to become apparent. Nonetheless, since issue the Trust has been one of the best performers in its Peer Group, but with the advent of nationalism we are now even more upbeat about its potential.
Q. What do you think are the key benefits of the Trust's multi cap strategy?
The Trust's strategy allows us to consider potential investments in large quoted companies as well as medium-sized and smaller ones, including many listed on the Alternative Investment Market. This broad investment universe includes many younger, immature companies that we expect will succeed in growing their dividends more rapidly than the market overall.
We believe that the Trust's multicap strategy has enhanced the growth of its dividend stream and hence helped it to outperform its Peer Group since issue.
When corporate expansion is prolific, the risks of restricting the investment portfolio to a limited universe of quoted companies may not be particularly evident. If global growth becomes less stable however, then fewer equity income stocks will be able to continue to pay out good and growing income. Against such a background we believe that employing a multicap approach has conspicuous advantages not just in terms of generating a stronger dividend outcome but also delivering a better total return.
Q. So is that why you also consider the industry sector diversification of the Trust's portfolio to be important?
There are major risks in relying on a small number of very large holdings to fund a good and growing stream of dividends. Were even a limited number of individual stocks to cut their dividends, then the Trust might be forced to do the same in turn. Investing across the full range of industry sectors typically results in a broader list of portfolio holdings, helps dilute stock specific risk, and in turn drives greater resilience in the trust's revenue stream and dividends.
All the industry sectors are usually represented in the portfolio. During the pandemic for example, the Trust's holdings in industry sectors such gold mining and financial asset transactional companies greatly boosted its revenue and dividend income. A principal reason why the Trust was able to continue to pay growing dividends was in other words its unusually broad portfolio diversification by industry sector.
Q. With large and mega cap stocks outperforming small caps by such a wide margin over recent years, do you worry that the Trust's portfolio holds too large a weighting in quoted small caps?
Over the ten years to May 2025, global stock market indices have risen around three-fold, which is not unusual. What has been unusual is the supernormal growth of a small number of global technology mega caps, the Magnificent Seven. Further boosted by a rise in valuations as capital has flooded into them, this group has outperformed global stock markets dramatically.
Capital flows into the mega caps have typically been funded by withdrawing capital from other parts of the global stock market. This has depressed the returns of many mid and large caps, but it has been the valuations of small caps that have suffered the most.
Brexit uncertainties also led many local investors to reallocate UK equity capital overseas. The combined effect of major capital flows out of small caps, and out of UK listed equities has consistently weakened the returns of UK-quoted small caps over recent years.
Persistent small cap underperformance of this magnitude is highly unusual. Whilst the returns of small caps may be outpaced by larger companies at times, over the longer term it has usually been the case that the smaller a company's market capitalisation, the greater its return. Given the scale of small cap underperformance, some question whether past stock market patterns have permanently broken down.
We argue not. We are greatly reassured by the fact that many small cap stocks have continued to generate good and growing dividend growth, at odds with the drawdown of their share prices. We are currently meeting companies whose share prices we believe could easily rise by three- or five-fold. In our view, small caps are overdue a giant performance catch-up, and with a majority of the Trust's portfolio so invested it should outperform in scale when that occurs.
Q. But does a Trust that principally invests in UK equities really have the capacity to outperform global stock markets on a long-term basis?
While recent returns from the UK stock market have been greatly outpaced by international stock markets, especially those with technology growth mega caps, leaving it standing on an unusually low valuation, in our view, it has the potential to become one of the best performing global stock markets globally. This is due to the dominance of good and growing income stocks.
Prior to globalisation it was the UK stock market's equity income bias that in our view led it to outperform the US. Better still, during these economically unsettled years, UK smallcaps also greatly outperformed mainstream stocks.
So as economic patterns evolve beyond globalisation, we believe that markets are likely to return to this earlier trend. If so, we believe the Trust has the potential to greatly outpace the returns of most international comparatives, including the US.
For the avoidance of doubt, our confidence is not based on belief that the prospects for the UK economy or the UK Government are significantly better, but is due to the different makeup of the UK stock exchange. It is this factor that we believe will enhance its returns in a new stock market trend that could, in our view, last for decades.
"We believe that the Trust's multicap strategy has enhanced the growth of its dividend stream and hence helped it to outperform the Peer Group since issue."
Q. Finally, why is meeting company management so important to you in terms of the make-up of portfolio? You say it has very real benefits.
We allocate a huge amount of our time to face-to-face meetings with company management. Large companies often meet professional investors in group meetings, which do not facilitate real insight. Posing and noting how management react to uncomfortable questions - difficult to do in a group meeting - can add real understanding. Fortunately, further down the market capitalisation range one-to-one meetings are readily available, and often therefore yield greater insight as a result.
Meetings with our current holdings provide an opportunity to test our conviction in the light of events that have occurred since purchase. Meetings with other management teams may offer extra insight into current market conditions, prompting adjustments to existing holdings. We also meet companies operating in industry sectors with prospects that are less correlated with the rest of portfolio, providing a different perspective, and further enhancing portfolio diversification.
We also place considerable emphasis on helping management teams to better explain the upside potential of their businesses. If successfully communicated, this can drive improved valuations, in turn making it easier to accelerate expansion plans through share issues.
By pursuing an intensive meeting programme and gathering as much information about the portfolio holdings as we do, sometimes we are comfortable taking a risk that others may perceive as excessive, a risk that based on our additional insight, we consider to be only moderate. And vice versa. We believe that it is a deeper appreciation of absolute risk that helps us to scale back unnecessary systemic uncertainty from the portfolio. This is why we place such a high priority on face-to-face company meetings. It is also why we have such deep conviction that the Trust has a far stronger chance of continuing to deliver a return well ahead of its Peer Group, as it has done in the past.
"We believe that the best opportunity for adding value is via listening and then questioning corporate management teams directly. We therefore seek to maximise the time we engage with quoted company leadership teams."
Gervais Williams and Martin Turner
12 August 2025
PORTFOLIO INFORMATION
As at 31 May 2025
Rank Company | Sector & main activity | Valuation £000 | % of net assets | Yield* % |
1 Galliford Try | Industrials | 8,341 | 3.4 | 4.1 |
2 TP ICAP | Financials | 7,252 | 3.0 | 6.1 |
3 CMC Markets | Financials | 7,060 | 2.8 | 3.7 |
4 Concurrent Technologies** | Technology | 6,549 | 2.6 | 0.5 |
5 AVIVA | Financials | 6,342 | 2.5 | 5.8 |
6 XPS Pensions | Financials | 6,151 | 2.4 | 2.7 |
7 PayPoint | Financials | 6,113 | 2.4 | 5.4 |
8 Pan African Resources** | Basic Materials | 5,967 | 2.4 | 2.1 |
9 Secure Trust Bank | Financials | 5,350 | 2.1 | 4.8 |
10 Plus500 | Financials | 4,853 | 1.9 | 5.1 |
Top 10 investments |
| 63,978 | 25.5 |
|
11 Phoenix | Financials | 4,796 | 1.9 | 8.5 |
12 NewRiver REIT | Real Estate | 4,775 | 1.9 | 7.8 |
13 Kenmare Resources | Basic Materials | 4,616 | 1.8 | 6.3 |
14 H&T** | Financials | 4,527 | 1.8 | 2.8 |
15 BT | Telecommunications | 4,360 | 1.7 | 4.5 |
16 Sainsbury (J) | Consumer Staples | 4,133 | 1.6 | 7.8 |
17 Greatland Gold** | Basic Materials | 4,129 | 1.6 | - |
18 Diversified Energy | Energy | 4,046 | 1.6 | 8.5 |
19 Legal and General | Financials | 3,911 | 1.6 | 8.6 |
20 Victorian Plumbing** | Consumer Discretionary | 3,897 | 1.5 | 0.7 |
Top 20 investments |
| 107,168 | 42.5 |
|
21 Yu Group** | Utilities | 3,788 | 1.5 | 3.9 |
22 Ithaca Energy | Energy | 3,745 | 1.5 | 18.5 |
23 ME Group International | Consumer Discretionary | 3,717 | 1.5 | 3.7 |
24 Lloyds Banking | Financials | 3,656 | 1.4 | 2.7 |
25 Sabre Insurance | Financials | 3,627 | 1.4 | 8.7 |
26 AO World | Consumer Discretionary | 3,534 | 1.4 | - |
27 M&G | Financials | 3,526 | 1.4 | 8.5 |
28 TruFin** | Financials | 3,494 | 1.4 | - |
29 Personal Group** | Financials | 3,429 | 1.4 | 5.7 |
30 MAN | Financials | 3,316 | 1.3 | 8.3 |
Top 30 investments |
| 143,000 | 56.7 |
|
31 National Grid | Utilities | 3,309 | 1.3 | 11.9 |
32 McBride | Consumer Staples | 3,176 | 1.3 | - |
33 Tesco | Consumer Staples | 3,094 | 1.2 | 3.5 |
34 Hunting | Energy | 3,045 | 1.2 | 3.4 |
35 Stelrad | Industrials | 2,986 | 1.2 | 5.4 |
36 Zotefoams | Basic Materials | 2,840 | 1.1 | 2.5 |
37 OSB Group | Financials | 2,811 | 1.1 | 4.7 |
38 Norcos | Industrials | 2,801 | 1.1 | 4.0 |
39 Admiral | Financials | 2,656 | 1.1 | 5.7 |
40 Vanquis Banking | Financials | 2,600 | 1.0 | - |
Top 40 investments |
| 172,318 | 68.3 |
|
Balance held in 57 equity investments |
| 74,161 | 29.4 |
|
Total investment portfolio |
| 246,479 | 97.7 |
|
Other net current liabilities |
| 5,738 | 2.3 |
|
Net assets |
| 252,217 | 100.0 |
|
A copy of the full portfolio of investments as at 31 May 2025 is available on the Company's website, www.diverseincometrust.com.
* Based on historical yields and therefore not representative of future yields. Includes special dividends where applicable.
** AIM/AQUIS listed.
Portfolio exposure by sector (%) | £246.5 million |
Financials | 41.2 |
Industrials | 11.7 |
Basic Materials | 10.4 |
Consumer Discretionary | 9.1 |
Energy | 8.6 |
Technology | 4.9 |
Consumer Staples | 4.2 |
Utilities | 3.4 |
Telecommunications | 3.0 |
Real Estate | 2.7 |
Health Care | 0.8 |
|
|
Income by sector (%) | £12.0 million |
Financials | 44.2 |
Energy | 11.4 |
Industrials | 11.3 |
Basic Materials | 7.5 |
Utilities | 5.1 |
Consumer Discretionary | 5.0 |
Telecommunications | 4.9 |
Real Estate | 3.8 |
Consumer Staples | 3.7 |
Technology | 1.6 |
Health Care | 1.5 |
NOTICE OF ANNUAL GENERAL MEETING
The thirteenth Annual General Meeting of the Company will be held on Wednesday, 8 October 2025 at 11.30 am at the offices of Stephenson Harwood LLP, 1 Finsbury Circus, London EC2M 7SH. The formal Notice of AGM can be found within the Annual Report.
FURTHER INFORMATION
The Diverse Income Trust Plc's annual report and accounts for the year ended 31 May 2025 (which includes the notice of meeting for the Company's AGM) will be available today on www.diverseincometrust.com.
It will also be submitted shortly in full unedited text to the Financial Conduct Authority's National Storage Mechanism and will be available for inspection at data.fca.org.uk/#/nsm/nationalstoragemechanism in accordance with DTR 6.3.5(1A) of the Financial Conduct Authority's Disclosure Guidance and Transparency Rules.
ENDS
Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on this announcement (or any other website) is incorporated into, or forms part of, this announcement.
LEI: 2138005QFXYHJM551U45
