Finding
Undiscovered
Value.

Annual Report 2025

The hummingbird embodies agility through rapid wingbeats, precision in its ability to hover and extract nectar from tiny flowers, and adaptability by thriving across diverse environments – perfectly reflecting our approach to uncovering opportunities.

Our investment philosophy

The investment philosophy employed by Asset Value Investors (AVI), the manager of AVI Global Trust, strives to identify durable businesses that are growing in value, trading at discounted valuations, with catalysts to unlock and grow value.

1

Investing in companies trading at a discount to their net asset value

2

Identifying good-quality underlying assets with appreciation potential at compelling values

3

Focusing on bottom-up stock piling

4

Looking for catalysts to narrow discounts

5

Focusing on balance sheet strength

How we invest

Closed-ended Funds
Asset-backed Special Situations
Holding Companies

About us

AVI Global Trust plc (AGT or the Company) was established in 1889. The Company’s investment objective is to achieve capital growth through a focused portfolio of investments, particularly in companies whose shares stand at a discount to estimated underlying net asset value.

Net assets

£1.1 billion*

LAUNCH DATE

1 July 1889

ANNUALISED NAV TOTAL RETURN SINCE 1985

11.6%** (2025: 11.6%)

Ongoing Charges Ratio

0.85%*** (2025: 0.87%)

*
As at 30 September 2025.
**
Source: Morningstar, performance period 30 June 1985 to 30 September 2025, total return net of fees, GBP. The current approach to investment was adopted in 1985.
***
As at 30 September 2025, includes: management fee, marketing and administration costs.

For all Alternative Performance Measures and other definitions refer to the Glossary on pages 110 to 114.

Our Purpose

The Company is an investment trust. Its investment objective is to achieve capital growth through a focused portfolio of mainly listed investments, particularly in companies whose shares stand at a discount to estimated underlying net asset value.

Finding compelling opportunities

Our underlying investments provide global exposure.

North America

15%
2025: 22%

United Kingdom

12%
2025: 11%

Europe

36%
2025: 34%

Other

7%
2025: 7%

Asia

7%
2025: 8%

Japan

16%
2025: 18%

South Korea

7%
2025: -%

North America

29%
2025: 22%

United Kingdom

3%
2025: 5%

Europe

33%
2025: 5%

Other

7%
2025: 7%

Asia

10%
2025: 5%

Japan

18%
2025: 5%

South Korea

1%
2025: 5%
The Company’s net asset value and share price compared to the MSCI All Country World Index
(£ adjusted total return)*
* The current approach to investment was adopted in 1985.
Dividend track-record (£)*
* Restated for Share Split.
** Relates to proposed dividends for the current year.

Key performance indicators (KPIs)

The Company uses KPIs as an effective measurement of the development, performance or position of the Company’s business, in order to set and measure performance reliably. These are net asset value total return, share price discount to net asset value and the Ongoing Charges Ratio.

NET ASSET VALUE Total return*
For the period to 30 September 2025

+ 0.0
0.2
0.7
1.2
1.7
2.2
2.7
3.2
3.7
4.2
4.7
5.2
5.7
6.2
6.7
7.2
7.7
8.2
8.7
9.2
9.7
10.2
10.7
11.2
11.7
12.4
13.7
%

Ongoing Charges Ratio*
For the period to 30 September 2025

0.00
0.02
0.07
0.12
0.17
0.22
0.27
0.32
0.37
0.42
0.47
0.52
0.57
0.62
0.67
0.72
0.77
0.82
0.85
0.87
%

Discount*
As at 30 September 2025

0.0
0.4
0.9
1.4
1.9
2.4
2.9
3.4
3.9
4.4
4.9
5.4
5.9
6.4
6.7
9.0
%

AVI’s responsible approach

AVI considers the integration of ESG and sustainability factors into our investment strategy as essential; both for gaining a comprehensive understanding of each investment’s potential to generate long-term value and for upholding our values as responsible investors.

Source / Galeanu Mihai via iStock

Aligned with the PRI

AVI is aligned with the UN-supported Principles for Responsible Investment (PRI)’s view that a sustainable and economically efficient global financial system is essential for long-term value creation. Such a system promotes responsible, long-term investment and delivers benefits to society and the environment. AVI became a signatory to the PRI on 9 April 2021.

Active Ownership

AVI’s ESG monitoring framework enables us to identify potential weaknesses within a company and equips us to engage effectively where appropriate. Through constructive dialogue, we encourage and expect our investee companies to take meaningful steps to address these issues in support of long-term value creation.

OUR CORE VALUES

Unique

A unique portfolio investing in holding companies, closed-ended funds and asset-backed special situations unlikely to be found in other funds.

Diversified

A select portfolio of 45 stocks, but with broad diversification of sectors and companies as a result of the holding structures which give exposure to multiple underlying companies.

Engaged

Seeking out good quality, misunderstood companies and engaging to improve shareholder value.

Active

Finding complex, inefficient and overlooked investment opportunities.

Global

Bottom-up stock picking, seeking the best investment opportunities across the globe.

Chairman’s Statement

Over five years, our net asset value total return has been +86.0%.

Graham Kitchen
Independent Non-Executive Chairman

About Asset Value Investors

*
Refer to Glossary on pages 110 to 114 of the Annual Report.

Our edge

Asset Value Investors specialises in finding companies which have been overlooked or under-researched by other investors. Investments that for one reason or another are priced below their true value but can be made into profitable performers.

AVI believes its strategy and investment style differentiate it from other managers in the market because of the following
1.

40 years’ experience of long-term outperformance following our distinctive investment style (annualised NAV total returns of +11.6% since 1985*).

2.

AVI actively looks for the catalyst within a company which will drive fundamental change.

3.

AVI seeks to improve corporate governance through active engagement to unlock potential shareholder value.

Joe Bauernfreund
CEO & CIO
  • How does AVI Global Trust give investors diversification by investing off the “beaten track”?

    Over the past decade, the global equity market has become narrower with a handful of mega-cap stocks in the US driving returns. We have not been investors in these companies and have always focused on the misunderstood and under-researched parts of the market prone to pricing inefficiency. If you look at AGT’s top 10 holdings, you will find names that are rarely found in other global strategies. This offers an important level of diversification to investors.

  • Can you give an example of how investors can benefit from your strategy of investing off the “beaten track”?

    South Korea is a good example of an undiscovered market, with the KOSPI index trading at a -39% and -67% discount to emerging and developed markets, respectively. We see a long-term re-rating opportunity in the corporate governance reform that is currently taking place in South Korea.

    In the same way that we approached Japan over 10 years ago, we have conducted in-depth, bottom-up research to identify a universe of under-researched and undervalued companies. Our South Korean names now make up c.8% of AGT’s portfolio, and trade at a weighted average discount of 54%**.

    ** As at 30 September 2025.

  • You have been following this strategy for decades now, how does your team go about executing this strategy of investing off the “beaten track”?

    Unlocking value through active involvement is a big part of what we do. We start with an incredible amount of fundamental research on the target companies. We have in place a proprietary database that is customised to track our universe of companies. Not only does the team spend a lot of time researching the companies, but we also then engage with the companies in ways that many other investors won’t or can’t. Engaging on corporate governance and balance sheet items are some common areas but our involvement is bespoke and company-specific dependent on the needs. Activism and engagement are integral to AGT’s approach, going beyond the balance sheet.

    The investment team has many years of experience researching and engaging with companies and this has stood us in good stead to deliver strong long-term returns to AGT shareholders.

  • You say activism and engagement are integral to your approach. How does it work with such a diverse and varied portfolio?

    Yes, our portfolio is diverse as we look in the under-researched parts of the market. This means that the level of activism or engagement will vary greatly for each company. Many of the companies we have in the portfolio are complex and challenging to understand but we embrace the complexity. We dig down to understand their governance structures, incentives, succession plans, hidden assets on the balance sheet and the drivers of their earnings. We can then engage with the companies on the areas that we think will help the company to be recognised by the market for their true value. It may be a dialogue on corporate governance concerns, or a discussion on exiting a minor line of business that is detracting resources from their main business. It can be as basic as engagement on how a company can improve their public image. We believe that these are valuable companies with durable businesses, and we work to uncover that hidden value.

Ten Largest Investments

The top ten investments make up 56.6% of the net assets*, with underlying businesses spread across a diverse range of sectors and regions.

All discounts are estimated by AVI as at 30 September 2025, based on AVI’s estimate of each company’s net asset value.

*
For definitions, see Glossary on pages 110 to 114 of the Annual Report.
56.6%
1 2 3 4 5 6 7 8 9 10
50.3%
1. Chrysalis Investments
Classification
Closed-ended Fund
2. NEWS CORP
Classification
Holding Company
3. Vivendi
Classification
Holding Company
4. D’Ieteren Group
Classification
Holding Company
5. Harbourvest Global Private Equity
Classification
Closed-ended Fund
6. Oakley Capital Investments
Classification
Closed-ended Fund
7. Cordiant Digital Infrastructure
Classification
Closed-ended Fund
8. ROHTO PHARMACEUTICAL
Classification
Asset-backed Special Situation
9. Partners Group Private Equity
Classification
Closed-ended Fund
10. Aker ASA
Classification
Holding Company
1. D’IETEREN GROUP
Classification
Holding Company
2. NEWS CORP
Classification
Closed-ended Fund
3. OAKLEY CAPITAL INVESTMENTS
Classification
Closed-ended Fund
4. CHRYSALIS INVESTMENTS
Classification
Closed-ended Fund
5. PARTNERS GROUP PRIVATE EQUITY
Classification
Closed-ended Fund
6. BOLLORE
Classification
Holding Company
7. CORDIANT DIGITAL INFRASTRUCTURE
Classification
Holding Company
8. ROHTO PHARMACEUTICAL
Classification
Asset-backed Special Situation
9. FEMSA
Classification
Holding Company
10. RECKITT BENCKISER GROUP
Classification
Holding Company

Investment Manager’s Report

As we look ahead, we remain cautiously optimistic. Valuations remain highly compelling, with numerous catalysts and events across the portfolio to help narrow discounts.

Joe Bauernfreund
Chief Executive Officer,
Chief Investment Officer

Case studies

REVISITING VIVENDI

The names Bolloré and Vivendi will sound familiar to long-term followers of AVI Global.

CUCKOO HOLDINGS

In South Korean homes, there’s a sound which marks the moment when rice has reached cooking completion and dinner is ready to be served: the distinctive two-note call of the Cuckoo bird.

TOYOTA INDUSTRIES

It is difficult to overstate the significance of Toyota Motor in Japanese corporate culture. It is not simply because of its size or global importance as the world’s largest automaker, but because it has long embodied the ideals and core values of Japan Inc.

D’IETEREN / BELRON

Belron is the global number one operator in the Vehicle Glass Repair, Replacement, and Recalibration industry.

HIPGNOSIS SONGS FUND

We sold out of our shares in Hipgnosis Songs Fund (SONG) in May 2025, marking the conclusion of a highly successful engagement campaign and investment for AGT.

Chrysalis Investments

Chrysalis Investments (Chrysalis) is a London-listed closed-ended fund which owns a concentrated portfolio of late-stage, technology-driven private companies.

Portfolio Review

Source / TVH
Source / Aker Solutions ASA
Copyright / Klarna Group PLC

Portfolio Review

D’Ieteren Group

D’Ieteren was the standout performer adding +240bps to NAV, with the position returning +21% including £35m of dividends received.

% of net assets

6.5%

Portfolio Review

Aker ASA

Having been one of the largest detractors from performance in the last two financial years, Aker was the second largest contributor to returns in 2025. Over the course of the year, shares in Aker returned +59% on a total return basis, which was split roughly evenly between NAV growth (+31%) and discount narrowing (from 25% to 12%).

% of net assets

4.1%

Portfolio Review

Chrysalis Investments

Chrysalis was the third largest contributor to NAV in FY25, adding +208bps. Over the period, Chrysalis’ shares generated a total return on the position of +29% for AGT, driven by a +17% appreciation in the NAV and a tightening of the discount from -36% to -29%.

% of net assets

8.3%

Awards

Citywire Investment Trust
Awards 2023

Winner

Global Equities

AIC Shareholder Communication
Awards 2024

Winner

Best Report and Accounts (Generalist)

Investment Week Investment Company of the Year
Awards 2023

Winner

Global Equities