May 17, 2021
Sagicor Select Funds Limited (SELECTF), for the three months ended March 31, 2021 reported net investment loss of $48.71 million relative to a loss of $1.46 billion booked March 31, 2020. This is comprised of:
Interest income which amounted to $281,000 (2020: $363,000).
Dividend income which closed at $16.15 million (2020: $21.73 million). SELECTF noted, “Dividend income continues to reflect the impact of COVID-19 on financial companies, particularly deposit-taking institutions. Reduced dividend income reflects, in part, companies reserving payments to buffer their cash holdings due to possible fall-out.”
Net changes in fair value on financial assets through profit or loss reported a loss of $65.15 million versus a loss of $1.48 billion booked for the comparable period in 2020.
Net foreign currency gains or losses and other income closed the three months period at $97,000 (2020: $32,000).
Total expenses for the three months period closed at $6.09 million, while for the same quarter in 2020, total expenses totalled $15.34 million. Of this, administration expenses equalled $6.09 million, (2020: $15.34 million) for the three months ended March 2021. Management noted that, “This reduction was due largely to: Fund Managers effort to reduce cost and expenses in the corresponding quarter of 2020 included cost associated with corporate action done in 2019.”
Consequently, net loss closed the three months period at $54.70 million, compared to a net loss of $1.48 billion reported for the first quarter ended March 31, 2020. The Company highlighted, “The performance for Q1 2021 was impacted by a downward movement in the price for some financial stocks on the market.”
Loss per share for the period under review amounted to $0.01, while for 2020 first quarter, loss per share totalled $0.29. The trailing twelve months loss per share amounted to $0.032. The number of shares used in this calculation was 5,100,000,000 shares. SelectF price was last traded at a price of $0.65 on May 14, 2021.
Balance Sheet Highlights:
Total assets, as at March 2021, amounted to $4.31 billion (2020: $4.47 billion), a 4% decline. Of this, Cash and Cash Equivalents closed at $64.74 million (2020: $93.20 million), ‘Receivables’ amounted to $5.99 million (2020: $27,000) while ‘Financial assets at fair value through profit or loss’ totalled $4.24 billion (2020: $4.38 billion).
SelectF, as at March 31, 2021, booked shareholders’ equity of $4.30 billion versus $4.46 billion booked 2020. Net asset value per share for the three months amounted to $0.84 (2020: $0.88).
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