July 02, 2008	Wednesday	Jamadi-us-Sani 27, 1429

KARACHI, July 1: National Investment Trust (NIT) announced cash dividend at Rs6.50 per unit on Tuesday, which represented highest ever dividend paid by the Trust to its unit holders (both for LOC and Non-LOC Funds).

The dividend for the year ended on June 30 would entail payout of a sum of Rs10,490 million, reflecting an increase over Rs10,034 million distributed to unit holders the previous year. Chairman & MD of NIT Mohammad Nawaz Tishna told the press following a meeting of the Board of Directors of NIT held on Tuesday that the graph of dividend payout by NIT had shown a consistent upward trend during the last eight years.

In a press release issued later, the NIT stated that it had out-performed the benchmark KSE-100 Index by a good margin of 4.4 per cent, given that the Net Asset Value of NIT unit had declined by 6.4pc from Rs56.18 as on June 30, 2007 (ex-dividend) to Rs52.58 on June 30, 2008, against a drop of 10.8pc in KSE-100 index during the same period.

The chairman stated that the Fund (LOC & Non-LOC) had registered a growth of nine per cent in dividend income which increased to Rs3,344 million during the year ended on June 30, 2008, from Rs3,082 million in the previous year.

He further mentioned that the Trust had realised capital gains of Rs929 million in FY08.

Net Income earned by the Trust amounted to Rs4,013 million for the year ended on June 30, 2008. The net income of Rs19,812 million the previous year had included capital gains of Rs15,655 million earned by the Fund through right-sizing of HFT & AFS portfolios and block sale of NIT’s holding in few stocks.

The sale of NIT units (including CIPs) during the year ended on June 30, 2008, stood at Rs21,748 million as against the sale of NIT units worth Rs14,736 million the previous year, showing an increase of 47.6pc in sale of units. During the year, redemptions worth Rs23,022 million were lodged which were successfully met.

NIT chairman stated that the FY-08 and in particular the last quarter reflected intense volatility in the stock market, mainly due to apprehensions about the budget; tight monetary measures and political situation in the country.