Extra Material from August 2026 Newsletter

We had an extra paragraph that we were unable to squeeze into the August newsletter, which is coming out this weekend. We reproduce this extra material below.

Herald Investment Trust (HRI, 2957.5p) has completed its tender offer for up to 66% of its shares. This was effectively a way of removing Saba Capital from its share register and allowing the trust to move forward with essentially its long-standing investment strategy, albeit with a management move to Aberdeen. In the event, just over 60% of the shares were tendered, but Herald says that if Saba and other short-term players are excluded, as well as index trackers, only around 10% of the shares were tendered. Regardless of those who have chosen to exit, the remaining trust is a decent size, still at around £615m worth of assets, and it can now get back to business, which is undoubtedly a better outcome here than for Edinburgh Worldwide (EWI, 240.25p) or for Impax Environmental Markets (IEM, 433.25p).  On that topic, IEM has given notice of termination to the investment managers, but there is a 12-month notice period and we doubt whether the managers have any reason to accept a shortening of that term unless they are adequately compensated.