Trust discounts hit fresh record low at end of June

Investment trust discounts have hit a fresh historic low, according to new figures from the Association of Investment Companies (AIC).

The industry average discount at the end of June sat at 2.2%, the lowest seen since records began in the 1970s, the AIC said in its half-yearly report. It follows previous record lows of 3.3% set in early 2014 and the previous record of 2.7% set at the end of December. Discounts did briefly widen earlier on in the first half of the year, particularly for UK trusts suffering from pre-election market uncertainty. However, they have since narrowed further. The growing popularity of discount control mechanisms and generally healthy global markets have both contributed to the trend. ...