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The principal objective of the Company is to provide shareholders with an attractive income yield and the prospect of income and capital growth through investing in a portfolio of predominantly UK equities.


FSA Share Fraud Warning

Fraudsters use persuasive and high-pressure tactics to lure investors into scams. They may offer to sell shares that turn out to be worthless or non-existent, or to buy shares at an inflated price in return for an upfront payment.

While high profits are promised, if you buy or sell shares in this way you will probably lose your money.

Please click here to access a copy of the new FCA Share Fraud Warning leaflet, published August 2013


Purchasing shares

The Company have now appointed Equiniti, to offer ISA and Investment Account schemes for individuals. Application forms can be requested from Personal Assets Trust Administration Company on 0131 538 6610 or you can apply online.  Please click here to be directed to the relevant website at Equiniti.

Manager's Monthly Report

August Commentary

During the period the Trust delivered a Net Asset Value (NAV) total return of +2.4% and share price total return of +3.1%. The FTSE All Share Index returned +2.2%.

When Royal Mail listed late last year the cornerstone investors, chosen to underpin the initial public offering and provide stability to the shareholder register, were allocated 22% of the company’s shares. The sovereign wealth and hedge funds who comprised this select group of investors proved largely inappropriate and worryingly short term. Many took a quick profit as the hype surrounding the IPO faded and the result has been a retracement of the share price over the last six months.

We believe many of the headwinds that meant these anchor investors were seen as critical to a successful IPO (the prospect of industrial action, new competition, uncertain regulation and the growth of email) were overstated. Email growth has been accompanied by a boom in ecommerce which is driving growth in parcel volumes, the regulatory environment will benefit from the precedents set by the partial deregulation of the European postal sector, and most importantly Ofcom has a duty to ensure Royal Mail can earn an economic return on sales, even in a more competitive market.

Finally, once the current strategic transformation is completed Royal Mail will become increasingly cash generative and should be able to grow the proportion of earnings that it pays out as a dividend. We believe that while priced at less that 13x earnings and yielding nearly 5% this stock is currently too cheap. As a result we have started to build a holding for the Trust.

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