For the second consecutive month, the portfolio discount ground tighter to end the month 50bps narrower at 30.4%. BTEM’s NAV was down -0.39%; the benchmark was down -0.96%.
Aker’s discount narrowed from 41% to 35% over the month to make it our largest contributor for a second month running. This contribution came despite headwinds from the weak Norwegian Kroner and a fall in its NAV with strong performance from E&P player DetNor insufficient to offset weakness in the other underlying listed holdings. We have been pleased to see this NAV weakness reverse in early June to continue Aker’s good run. A number of transactions took place at the beginning of June.
British Empire Securities and General Trust p.l.c is referred to as ‘British Empire’ throughout the website. British Empire’s investment managers, Asset Value Investors are referred to as ‘AVI’