In QuotedData’s morning briefing 17 December 2024:

• The Global Smaller Companies Trust (GSCT) announced its interim report for the six months to 31 October 2024. The company delivered a NAV total return of 2.7% compared to the benchmark total return of 5.7%. The share price ended the period at 160.6p, delivering a total return to shareholders of 1.6%. The discount was 9.49% at the time of publishing. The company announced an interim dividend of 0.70p per share, an increase of 2.9%. Commenting on conditions throughout the year, the managed noted: “In the US, the economy was supported by a robust services sector. A resilient labour market underpinned consumer confidence, although signs of stress did emerge within the lower income cohort and this led to some earnings disappointments from consumer facing companies. Global manufacturing has been in the doldrums for almost two years now. Encouragingly though, recent data showed signs of stabilisation in the UK and China. Germany struggled, especially its auto sector because of sluggish demand in the face of lower subsidies for electric vehicles and increased competition from Chinese imports. Growth remained strong in India. In China, the malaise in the property sector spread to the consumer and this necessitated vast amounts of fiscal and monetary intervention by the authorities in order to lift sentiment.” Regarding the outlook, the manager added: “Inflation has come down significantly, however, expansionary fiscal policies, tight labour markets, ongoing wars and plans to restrict immigration and trade all have the potential to rouse inflation. This would present a dilemma to central banks. Rising fiscal deficits have been talked about for many years. With the recent rise in government bond yields despite the start of an interest rate cutting cycle we may be reaching the point where fiscal deficits do start to matter. There are many uncertainties today, yet we have seen the valuation of equities expand and spreads on corporate bonds narrow. It looks like complacency is setting in and so we think it is right to proceed with caution but to take advantage of any opportunities that present themselves.”
• Sirius Real Estate (SRE) has completed the acquisition of a development site in Munich, immediately adjacent to the company’s Munich-Neuaubing business park, for €13.3m. The site allows the company to secure the final corner of a well-located 130,000 sqm estate in the Bavarian capital, presenting it with a number of value add and development options in the future (including residential redevelopment). The new asset comes with day one rent roll of €740,000 per annum.

We also have annual results from Ecofin Global Utilities and Infrastructure, and updates from Land Securities and Phoenix Spree Deutschland.