Reports and accounts

View full 2016 annual reports and accounts Annual Report Archive

Extract from the Chairman’s Statement 2016

This report covers the period from 1 October 2015 to 30 September 2016.

As in previous years, we have elected to include the Chairman’s Statement in the Strategic Report in order to minimise duplication.

I reported last year that Joe Bauernfreund became the portfolio manager of British Empire on the first day of the accounting year under review. Joe is also the Chief Executive of our Investment Manager, AVI.

I am pleased to say that, having achieved a return of 5.6% at the half year, the performance in the second half has again been encouraging. British Empire outperformed its benchmark by 6.2%, the peer group by 7.2% and the World Index by 6% over the second half of the year. The NAV increased over the full year by 29.1%, resulting in a NAV total return of 31.0% for the year, some 3% better than the benchmark index.

The Investment Manager’s report sets out in detail the reasons for this encouraging performance.

Following Joe’s appointment, there have been some important changes in emphasis in the portfolio, but there has been no change in British Empire’s fundamental value investing philosophy and no “style drift”.

Stock selection was a major contributor to outperformance. With a significant proportion of its portfolio exposed to non-Sterling assets, British Empire has also benefited from Sterling’s weakness following the Referendum vote to leave the EU.


Strone Macpherson, Chairman


Electronic Address For Receipt Of Proxies

The Companies Act 2006 (as amended) requires British Empire to provide an electronic address for the receipt of any document or information relating to proxies for a general meeting.

For these purposes, documents relating to proxies include:

  • appointment of a proxy
  • any document necessary to show the validity of, or otherwise relating to, the appointment of the proxy
  • notice of the termination of a proxy’s authority.

The Annual General Meeting (“AGM”) takes place each year in December. You will receive a Proxy Form prior to the AGM taking place, should you wish to appoint a proxy to vote at the AGM in accordance with your directions you will need to complete the Proxy Form and submit the same via post or via email to the Registrars at

Please ensure that that all identification numbers and any information completed by you on the Proxy Form is clearly legible, otherwise the Form may be rejected and your proxy instructions will not be accepted.


* Net Liquidity is: the fixed income investments less the Debenture (at par value) plus or minus the net current assets/(liabilities), divided by the net assets of the Company.