- Murray International Trust said its performance in the first half of the year fell short of its benchmark amid rising geopolitical uncertainty and trade tensions.

For the six months to 30 June 2019, net asset value total return increased by 10.6%, below the total return of 15.5% for the company's benchmark (40% FTSE World UK and 60% FTSE World ex UK).

The share price total return increased by 4.3%, reflecting a move from trading at a premium to trading at a discount, the company said.

'The Company's very diversified investment exposure was unable to match the returns recorded in narrower, regional benchmark indices, but nevertheless, solid capital and income growth was achieved in line with desired long term investment objectives, Murray said.

'The sharp decline in global bond yields suggests that weaker global growth is likely to be on the horizon. At this stage of the cycle, not only will interest rate policy become increasingly ineffectual, but also the importance of faltering earnings growth will become progressively more influential,' it added.

'Valuation support, through solid earnings, strong balance sheets and well-covered dividends has been noticeably absent from investor considerations of late, but remains the fundamental prerequisite for capital preservation and growth over the long term.'

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