
Ordinary Shares

Price (p)	149.40
Published NAV	171.60
Yield	3.89
Discount	-13.84

Prices correct as of close 2010-09-09. Last Published NAV is as at the previous business day. Source: Trustnet

Sigma Shares

Price (p)	66.90
Published NAV	88.60
Yield	2.99
Discount	-25.20

Prices correct as of close 2010-09-09. Last Published NAV is as at the previous business day. Source: Trustnet

For Ordinary Shares

January 2007
It was a poor month for UK property shares and for the Trust, which continues to be overweight in the largest UK property stocks. The net asset value fell by 3.04% while the benchmark fell only 1.82%. The share price declined by 3.9% as the discount widened to 9.9%. January saw the arrival of the long awaited UK REIT regime and its appearance was greeted by substantial correction in the market, driven by a widely held view amongst UK generalist investors and journalists that property cannot continue to outperform and that the actual arrival of REITs marked an ideal selling opportunity. The shock base rate rise on Jan 10 served to push up swap rates and push share prices down further. By mid-month the major UK stock had fallen 8% in a fortnight. In Europe, totally different sentiment prevailed and prices rose steadily across the Continent with particular strength in Austria, Germany and Greece. There were some bright spots in our portfolio – Riofisa rose 20% on receipt of a cash takeover bid at €44, (which compares to our entry price last summer of €18) and we also saw an agreed cash bid for our Foncia holding. We took the opportunity to add modestly to our Slough Estates holding, selling more Metrovacesa in Spain and lightening the Fonciere des Regions holding. We accepted Derwent London’s paper for the whole of our London Merchant holding. Reflecting lower values, the Trust's gearing rose slightly from 12.0% to 12.6% and total debt was £118.3m