SPECIALIST lending fund the Honeycomb Investment Trust has reported its best monthly net asset value (NAV) return in five months, bringing its year-to-date return to 1.81 per cent.
The London-listed trust, which invests in consumer, property and small business loans, delivered a NAV return per share of 0.67 per cent in March, equating to 8.1 per cent on an annualised basis.
Read more: Honeycomb NAV dips due to “short month”
The performance of the underlying portfolio during the month was strong, with an income yield of 11.2 per cent, bad debt expense of 1.5 per cent, and a risk-adjusted yield of 9.7 per cent.
Assets ticked up slightly from £603m to £610m, with assets predominantly put into structured loan facilities.
The investment manager also reported a strong pipeline of new opportunities for the trust.
There are around 75,000 loans in the portfolio with an average balance of £5,000 and an interest rate of 11.4 per cent. It has a mix of property, SME and equity assets, and reports broadly consistent growth across all three sectors.