
Ordinary Shares

Price (p)	149.00
Published NAV	170.30
Yield	3.89
Discount	-13.91

Prices correct as of close 2010-09-06. Last Published NAV is as at the previous business day. Source: Trustnet

Sigma Shares

Price (p)	66.70
Published NAV	88.10
Yield	3.00
Discount	-24.69

Prices correct as of close 2010-09-06. Last Published NAV is as at the previous business day. Source: Trustnet

For Sigma Shares

September 2008
Small cap real estate stocks suffered alongside the rest of the market. One disturbing feature of the very small cap stocks in current markets is their tendency to travel sideways on near zero volume, only to lurch downwards when somebody accepts a need rather than desire to sell and is forced to take a fire-sale price from an opportunistic buyer. These price movements often bear no relation to fundamentals and do not necessarily correlate with the direction of the wider market. We have managed to avoid the majority of such price falls. Harder to get right, however, is judging when (or whether) to attempt to catch the falling knife. To date we have remained cautious. However during the month we did reduce cash to 13.4% from 17.4%, largely by selectively adding to existing positions in the larger small caps, where liquidity is good and where we felt that the market was pricing stocks at discounts to our forward looking adjusted NAVs. For the moment we remain comfortable with cash at over 10% of net assets and are deploying this equity sparingly in the short term.
The benchmark, FTSE EPRA/NAREIT Europe (in GBP) price only return was -9.21% in the month. Sigma’s NAV fell -9.3% and the share price declined by 15.8%. The share price discount to NAV widened substantially over the month and the fund bought back 260,000 shares (for cancellation) at an average discount of over 30%.

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