Alliance Trust posted a net asset value (NAV) total return of 8.1 per cent in its full-year 2014 results as it revealed it had cut its ongoing charges ratio by 20 per cent to 0.60 per cent.
The company reported its total dividend for the year had risen by 14.3 per cent, including a special dividend of 2.546p.
Alliance Trust Investments (ATI) still ended the year with a loss, although it had reduced losses by 23 per cent to £3.2m, citing “tight control over costs”.
Third party assets under management at ATI reached £1.9bn last year, boosted by net inflows of £88m.
In its results statement, Alliance Trust pointed to the “greater emphasis” it has placed on responsible investing and environmental, social and governance factors across its portfolios, with the launch of risk-profiled Sustainable and Responsible funds.
The company also saw inflows into its major fixed income funds last year, the Monthly Income Bond fund and the Dynamic Bond fund.
It revealed that 80 per cent of the funds it manages which have a three-year track record are ranked above median relative to their peer group over time.
Katherine Garrett-Cox (pictured), chief executive of Alliance Trust, said: “We are confident that superior performance and our specialist product range will continue to attract third party investment.
“We also see numerous opportunities for the investment portfolio in the years ahead. The investment team will position the portfolio to take account of any market volatility resulting from economic and geo-political developments relating to the euro, the conflicts in Ukraine and the Middle East, and the UK general election.”
Alliance Trust made changes to its investment team in September last year when it appointed Peter Michaelis as head of equities and Simon Clements as equity manager of the portfolio.
