- Companies investor Witan Investment Trust posted a positive first-half performance that beat its benchmark and lifted its dividend.

The company's net asset value total return per share for the six months through June was 12.4%, pipping a composite global benchmark return of 11.4%.

Witan Investment Trust declared a second interim quarterly dividend of 1.36p per share, brining first-half dividends 2.72p, up from 2.68p year-on-year.

'The first half of the year has seen fluctuating fortunes between sectors and regions, as hopes for economic recovery were affected by countries' differing success in tackling the pandemic,' it said.

'Investors are also uncertain how much of the increase in inflation rates is driven by transitory factors such as the bounce in energy prices from low levels and current disruptions to supply chains.'

'If inflation shows a sustained rise, some investors fear a rise in interest rates that could cut short the economic recovery, affecting the performance of cyclically sensitive sectors.'

'Other investors fear that if central banks tolerated a rise in inflation, in order to foster economic recovery, it would lead to a rise in government bond yields, undermining the valuation of highly rated growth stocks.'

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