Karachi, July 06: National Investment Trust Limited (NITL) has declared payouts for all Funds under its management for the year ended on 30th June 2010 after its Board of Directors approved the accounts of all Funds; this was stated by Managing Director – NIT, Mr. Wazir Ali Khoja in a press release issued on July 05, 2010.

NI(U)T Fund

NITL has declared a dividend @ Rs. 2.25 per unit for unit holders of NI(U)T for the year ended on June 30, 2010. The payment of dividend @ Rs. 2.25 per unit would involve a total payout of Rs. 2,409 million among its unit holders.

The Net Asset Value of units of NI(U)T increased from Rs. 23.89 as on June 30, 2009 (Ex Dividend) to Rs. 28.17 as on June 30, 2010, thus depicting a total return of around 18%.

MD – NIT stated that the Fund has registered a healthy growth of 15% in capital gains realized which increased to Rs. 737 million during the year ended on 30th June 2010 from Rs. 642 million realized by the Fund during the year ended June 30, 2009.

Referring to the results of FY10, the MD stated that NI(U)T Fund has earned a dividend income of Rs. 1,548 million. Though the dividend income earned by the Fund is slightly lower than the dividend income of Rs. 1,746 million earned by the Fund in FY09, the decline is primarily due to lower than expected payouts from few of the blue chip companies in the portfolio.

During FY10, NI(U)T has earned a net income (including unrealized gains) of Rs. 2,608 million against a loss of Rs. 13,028 million incurred by the Fund in the corresponding period of last year. This net income translates into a per unit earning of Rs. 2.44 in FY10 against a per unit loss of Rs. 12.75 incurred by NI(U)T in FY09. However, excluding unrealized gains, NI(U)T has earned a net profit of Rs. 2,316 million in FY10 which translates into per unit earning of Rs. 2.16.

Furthermore, during the period, gross sale of NI(U)T units (including CIPs) was recorded at Rs. 6,748 million as compared to units worth Rs. 6,886 million sold in FY09.

NIT State Enterprise Fund (NIT-SEF):

NITL has declared a final bonus @ 30% on the face value of Rs. 50/- for unit holder of NIT-SEF for the year ended on 30th June 2010. This payout of bonus @ 30% (which translates into Rs. 15/- per unit) is in addition to an interim bonus of 8.24% (which translated into Rs. 4.12 per unit) declared by the Fund on February 13, 2010, thus making a total payout in the form of bonus @ 38.24% (translating into Rs. 19.12 per unit) on the face value of Rs. 50/-. This was stated by MD – NIT, Mr. Wazir Ali Khoja while unveiling the results of NIT – State Enterprise Fund.

NIT-SEF has outperformed the benchmark of KSE-100 Index by a good margin of 7.66% where Net Asset Value of NIT-SEF unit increased by 43.40% (including adjustment of Bonus) from Rs 71.50 as on June 30, 2009 (Ex- Dividend) to Rs 98.41 as on June 30, 2010 against an increase of 35.74% in KSE-100 index during the period under review. Furthermore, if the performance of the Fund since its inception till 30th June 2010 is compared with its benchmark of KSE-100 Index, the Fund has given a staggering outperformance of 56%.

MD- NIT further mentioned that in FY10, the Fund has realized the capital gains of Rs 1.74 billion whereas the dividend income earned by the Fund stood at Rs. 1.1 billion. Referring to the results of NIT-SEF of FY10, MD said that the Fund has earned a Net Income of Rs. 5.07 billion which translates into per unit earning of Rs. 21.86. It would be pertinent to mention that as on 30th June 2010, the unrealized capital gains available in books of accounts of NIT-SEF stand at Rs. 8.13 billion.

NIT Equity Market Opportunity Fund (NIT-EMOF):

While presenting the results of NIT-Equity Market Opportunity Fund (NIT-EMOF) the MD said the Board of Directors of NITL has declared bonus @Rs. 3/- per unit for unit holders of NIT-EMOF.

It may be mentioned here that NIT-EMOF has started investment in equity market on 25th July 2008, however, the Fund was registered as notified entity on September 14, 2009 after completing all necessary formalities.

Since launching of Fund on 25th July 2008, NAV of the Fund has increased by 4.45% whereas its benchmark of KSE-100 Index is down by 12.86%. This resulted a healthy outperformance of 17.31% over its benchmark.

He further mentioned that since formal registration of the Fund till June 30, 2010 the Fund has realized capital gains of Rs 139 million whereas the dividend income earned by the Fund stood at Rs. 250 million. During FY 2009-10 the Fund earned a net Income of Rs. 149 million which translates into per unit earning of Rs. 2.79.

INCOME FUNDS

During the fiscal year 2010, National Investment Trust Ltd. successfully launched two Income Funds. NIT Government Bond Fund was launched in November 2009 whereas NIT Income Fund was launched in February 2010.

NIT Government Bond Fund (NIT GBF)

The Board of Directors of NITL has approved a per unit distribution of Rs. 0.65 for unit holders of NIT Government Bond Fund for the year ended on June 30, 2010. Those who have opted for growth units with the option to receive bonus will be issued units at the ex-dividend NAV and those who have opted for cash dividend would be paid the dividend accordingly. This was stated by Managing Director – NIT, Mr. Wazir Ali Khoja while presenting the results of NIT Government Bond Fund.

The NAV of NIT Government Bond Fund increased from Rs.10.00 as on November 18, 2009 to Rs.10.6480 as on 30th June 2010, thus yielded an annualized return of 10.77% against the benchmark return of 10.41%. Thus the fund has outperformed its benchmark by 36 bps. Since launching on November 18, 2009 till June 30 2010, the fund has earned a net income of Rs. 232 million which translates into an earning of Rs.0.66 per unit. A per unit distribution of Rs. 0.65 would incur a total payout of Rs.228 million for unit holders of NIT GBF. It would be worth mentioning that within a short span of 7 months the net assets of NIT GBF has posted a substantial growth of 48% and increased from Rs.2.5bln as on 13.Nov.09 to Rs.3.7bln as on 30.Jun.10. This shows the confidence posed by investors on NITL.

NIT Income Fund (NIT IF)

In case of NIT Income Fund the board of directors of NITL has approved a per unit distribution of Rs. 0.35 for the year ended 30th June 2010. Those who have opted for growth units with the option to receive bonus will be issued units at the ex-dividend NAV whereas those who have opted for cash dividend would be paid the dividend accordingly.

The NAV of NIT Income Fund increased from Rs.10.00 as on February 19, 2010 to Rs.10.3438 as on 30th June 2010, thus yielded an annualized return of 9.88% whereas the benchmark return stood at 12.35%. Since launching till June 30, 2010, the Fund has earned a net income of Rs.86 million which translates into an earning of Rs.0.39 per unit. A distribution of Rs. 0.35 per unit would incur a total payout of Rs. 78 million among the unit holders of NIT IF. As on 30th June 2010, the net asset of NIT Income Fund stood at Rs. 2.3 billion. The Fund was launched on 19th February 2010 and having been 4 months since its inception, NIT IF is in the process of building a portfolio of high quality fixed income securities which will help in improving its return.