The Edinburgh Worldwide Investment trust rose its share price by 26.1% in the year to 31 October as it heads towards a vote that could remove current board members pushed by Saba Capital.
Current chair Jonathan Simpson-Dent took on the role in March 2024 and began a review of the process and management following a period of turmoil for the trust.
Across the past three years, the trust has lost 18.8% in share price total return, compared to a sector average loss of 8.8%, according to the AIC. However, in the past year to 20 January, the trust has a share price total return gain of 31.6%.
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The trust has also seen a turnaround in its discount, which narrowed from 17.4% in October 2023 to 7.6% in October 2024. This was aided by share buybacks of 14.7m shares for £21.8m, representing 3.8% of the company. As of 20 January, the discount stands at 2.82%, according to the AIC.
Changes to the management of the fund included the appointment of Luke Ward and Svetlana Viteva becoming co-managers alongside Douglas Brodie. The company continues to invest over a quarter of its assets in private companies, including SpaceX.
A requisitioned general meeting will be held on 14 February which could result in the removal of the current board, including Simpson-Dent and the newly-elected Gregory Eckersley.
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“Edinburgh Worldwide is run solely and independently for you, our shareholders. You have chosen Edinburgh Worldwide for its unique and early access to hidden gems, ground-breaking businesses which in many cases are not available on the public markets. Let’s not let Saba take that away. This is about consumer choice, allowing you the freedom to decide how, where and when to invest your money,” Simpson-Dent said.
“I am deeply troubled by Saba’s proposals. Investment trusts are extremely democratic by construction – Saba’s proposals are not. Saba’s overt land grab for its own end game exploits our long-standing retail Shareholder base, who usually do not vote.”