Self-described ethical fund manager Hunter Hall has seen its listed investment company (LIC), Hunter Hall Global, post a $4.88 million profit after tax for the six months to 31 December 2015.
The result is down 88 per cent on the prior corresponding period, the six months to 31 December 2014, which saw the LIC post a profit of $41.23 million.
Speaking to InvestorDaily, Hunter Hall chief financial officer Paula Ferrao said the movements in global equity markets are the main reason behind the fall in profits.
"It's purely attributable to volatility in equity markets ... the comparable period we had a really good absolute performance. It's been a massive shift year-on-year," she said.
In the 12 months to 31 December 2015, Hunter Hall Global Value returned 12.1 per cent after fees and expenses.
As at 31 December 2015 the LIC's portfolio as follows: 48 per cent international equities, 30 per cent Australian equities, and 22 per cent cash.
Hunter Hall chief investment office Peter Hall said the LIC had delivered a "solid result" for investors in a "challenging investment environment".
"We actively seek out investments that have the potential to increase in value multiple times and exciting investment opportunities are emerging," Mr Hall said.
The LIC's largest investment, gold miner St Barbara, was the best performing company in the All ordinaries index last year, with its share price increasing 1,257 per cent.
Hunter Hall's board of directors announced a fully franked dividend of 3 cents per share on 20 January 2016.
Fortnum hires former Centric Wealth CEO
SMSF Association names new chair
Avenir Capital hires investment director
A correction, not a turning point
Why bond covenants matter
Striking a balance between security and innovation