‘Volatility creates opportunity’, says investment expert

Dundee’s Alliance Trust have returned an increased dividend for their investors in what directors called a “strong performance in a volatile market”.

The Dundeeheadquartered investment and financial services company held its AGM at the city’s Apex City Quay Hotel, following last year’s annual meeting at the V&A.

For the 57 th year in a row the company has increased its dividend.

The multi-billion-pound portfolio is overseen by Willis Towers Watson, who were appointed in 2017.

Dean Buckley took on the role of chair of the board of directors in 2023, after his predecessor Gregor Stewart stepped down.

He told the meeting of around 100 investors the company had performed well in the last financial year.

Alliance Trust delivered a net asset value total return of 21.6%. This comfortably outperformed its benchmark, the MSCI All Country World Index, which returned 15.3%.

He said: “The company has delivered a very strong performance in 2023.

“There was a 5% year-onyear dividend increase. There was a yield of 2.3%.

“We have returned an increase in dividend compared to the year before for the 57th year in a row.”

Craig

“We have returned an increase for the 57th year in a row

Baker, of

Willis

Towers Watson, which manages the trust, added: “This was a strong performance in a volatile market.

“We outperformed our peer investment trusts by about 9%.

“Stock selection is the driver for Alliance Trust and we are one of the best performing trusts in the three and five year markets. We are also one of the lowest risk.”

Mr Baker told attendees the focus on stock selection meant Alliance Trust would allow the company to weather future volatility in the markets, adding it “created opportunity” if “you know where to look”.

But he did warn the macro economic outlook remained a high risk.

Despite this he said he was “confident” the investment trust could continue its record of increasing the dividend annually “for some time”.

All ordinary and special resolutions were passed at the AGM.

OUTLOOK: Craig Baker said focused stock selection would allow Alliance Trust to weather future market volatility.