During the 3 month period, the Company's net asset value and share price total return dipped 1.7% and 0.9% respectively, underperforming the Company's benchmark, the MSCI All Country Asia ex Japan Index, which rose by 2.3%. The trust was also behind its peer group.
Manila Water's share price was hit as the market became more concerned about the impact of regulatory uncertainty on the company. Marico's share price fell following a period of slow overseas sales.
The First State management team see these setbacks as temporary and is retaining exposure to both companies.
The trust is eighth out of 14 trusts in the sector over the past five years in NAV terms with short-term performance weaker, while long-term performance remains strong. The relative short-term weakness has also been seen in First State's open-ended Asia Pacific fund, which is mid-table over one year. The group has a quality bias, which has not suited the more cyclically-focused equity markets.
The trust remains well-supported by analysts. Oriel's Tom Tuite Dalton has backed the trust as a good pick on its current discount of around 8%.
