MURRAY INTERNATIONAL TRUST PLC

HALF YEARLY REPORT FOR THE SIX MONTHS ENDED 30 JUNE 2016

The Directors of Murray International Trust PLC report the unaudited results of the Company for the six months ended 30 June 2016.

INTERIM BOARD REPORT

Background

The influence of sentiment and interest rate expectations dominated financial markets over the period under review. Widespread uncertainty initially prevailed as falling oil and commodity prices coupled with anxiety over potential higher short term interest rates induced significant market volatility. Constant evidence of lower than expected global growth and benign inflation contradicted consensus opinion of the need for tighter policy. The UK's Referendum on Europe produced a result unanticipated by pollsters or the markets, and an immediate period of market turmoil ensued, the most important outcome of which, for the Company, has been a sharp deterioration in the value of Sterling. For now, policy makers have reacted by retreating from any imminent policy tightening and offering conciliatory statements on monetary policy. Consequently, bond yields have sunk to even deeper historical lows and a tentative mood of optimism has returned to financial markets.

Performance and Dividends

The net asset value ('NAV') total return, with net income reinvested, for the six months to 30 June 2016 increased by 30.1% compared with a total return of 10.0% on the Company's benchmark (40% FTSE World UK and 60% FTSE World ex UK). Over the six month period the share price total return increased by 22.7% reflecting a move from a premium to a discount to NAV on which the shares traded.

Two interim dividends of 10.5p (2015: 10.5p) have been declared in respect of the period to 30 June 2016. The first interim dividend is payable on 17 August 2016 to shareholders on the register on 8 July 2016 and the second interim dividend will be paid on 17 November 2016 to shareholders on the register on 7 October 2016.

By far the largest contributing factor to positive overall portfolio returns was Sterling's weakness; with close to ninety percent of net assets invested internationally, the currency's depreciation proved positive for returns. In addition, increased portfolio diversification from constant recycling of profits over the past two years contributed both positive absolute and relative performance. This proved particularly relevant within the fixed income portfolio where recently established Emerging Market bonds significantly enhanced returns. On a regional basis within equity exposures, significant overweight positions in Asia and Latin America were positive from an asset allocation basis as both regional indices significantly increased in Sterling terms. Positive stock selection in Thailand, Taiwan, Singapore, Hong Kong, Chile and Brazil produced solid capital gains in excess of benchmark indices, as did defensively orientated exposures to the UK and North America. Despite negative local currency returns from Japan and European markets, the portfolio's exposure to selective companies in these regions produced strong capital returns, further enhancing overall absolute and relative outperformance.

Management of Premium and Discount

The Board has continued to seek to manage the liquidity in the Company's shares. During the period under review, this has resulted in the Company purchasing in the market for treasury 756,163 Ordinary shares at a discount to the prevailing NAV (excluding income) and issuing 140,000 new Ordinary shares at a premium to the prevailing NAV (including income) per Ordinary share. Subsequent to the period end an additional 311,300 Ordinary shares have been purchased for treasury. As at the close of business on 15 August 2016, the exclusive of income NAV per share was 1136.1p and the share price was 1089.0p equating to a discount of 4.2% per Ordinary share.

The Board continues to believe that it is appropriate to seek to address temporary imbalances of supply and demand for the Company's shares which might otherwise result in a recurring material discount or premium. Subject to existing shareholder permissions (given at the last AGM) and prevailing market conditions over time, the Board intends to continue to buy back shares and issue new shares (or sell shares from treasury) if shares trade at a persistent significant discount to NAV (excluding income) or premium to NAV (including income). The Board believes that this process is in all shareholders' interests as it seeks to reduce volatility in the premium or discount to underlying NAV whilst also making a small positive contribution to the NAV.

Gearing

In May 2016 the Company agreed a new £15 million loan facility with The Royal Bank of Scotland plc ('RBS') which was drawn in full on 16 May 2016 and fixed for three years at an all-in rate of 1.467%. The new facility has been used to repay a maturing £15 million loan with RBS. At the same time the Company also repaid from its cash balances the YEN 1.6 billion loan with ING Bank N.V. At the period end the Company had net gearing of 11.9%.

Final Conversion of B Ordinary Shares

Following receipt of approval from shareholders at the general meetings held in April 2016, all remaining B Ordinary shares in issue on 30 June 2016 were converted into Ordinary shares with effect from 1 July 2016 and there was a bonus issue of one new Ordinary share for every 100 B Ordinary shares held. The final conversion and bonus issue resulted in the issue of 948,124 new Ordinary shares on 1 July 2016. Going forward the Board believes that the Company's capital structure is now simpler and more straightforward for shareholders and potential shareholders to understand and there will be future cost savings achieved from the exercise.

Directorate

I would like to reiterate the Board's sincere thanks to Lady Balfour of Burleigh, CBE, following her retirement at the AGM held in April 2016. I would also like to take this opportunity to welcome Mrs Alexandra Mackesy to the Board following her appointment on 1 May 2016. Alexandra is a former investment equity research analyst by background and, having spent the majority of her executive career in Asia, she brings further global perspective to the Board.

Outlook

Previously both the Manager and I have highlighted the extreme distortions in the financial landscape that monetary policy choices have produced over the past eight years. It is now estimated that some thirteen trillion US dollars equivalent of sovereign and corporate bonds trade at negative yields. This is unprecedented and scarcely explicable. It remains to be seen how this will play out in financial markets and the global economy, but policy makers seem certain to find it a struggle to navigate successfully the environment we are now in.

Corporate earnings globally, but particularly in the developed markets, are under some pressure, and prospects are more than usually opaque as consumers are wary of the prevailing economic and interest rate environments they are facing. The Company's portfolio emphasises holdings in nations that have favourable demographics, with reasonable growth and prosperity potential. This fact, in combination with maintained stock selection disciplines, underpins the investment positioning of the portfolio.

Kevin Carter

Chairman

16 August 2016

Principal Risks and Uncertainties

The Board has adopted a matrix of the key risks that affect the business. The major financial risks associated with the Company are detailed in note 17 to the Annual Report and Financial Statements for the year ended 31 December 2015 ('2015 Annual Report') and the other principal risks are summarised below. These risks represent the principal risks for the remaining six months of the year.

Details of the management of the risks and the Company's internal controls are disclosed on pages 9 and 10 of the 2015 Annual Report. They can be summarised as follows:

Investment strategy and objectives;

Investment portfolio, investment management;

Financial obligations;

Financial and Regulatory; and,

Operational.

The result of the UK's referendum on membership of the EU may affect the Company's risk profile by introducing potentially significant new uncertainties and instability in financial markets as the United Kingdom negotiates its exit from the EU. These uncertainties could have a material direct or indirect effect on the Company, its financial condition and operations although the extent is not quantifiable at this time.

Related Party Transactions

AFML acts as Alternative Investment Fund Manager, AAM acts as Investment Manager and Aberdeen Asset Management PLC acts as Company Secretary to the Company; details of the service and fee arrangements can be found in the 2015 Annual Report, a copy of which is available on the Company's website. Details of the fees payable to Aberdeen group companies are disclosed in note 11 to the financial statements.

Going Concern

In accordance with the Financial Reporting Council's Guidance on Risk Management, Internal Control and Related Financial and Business Reporting issued in September 2014, the Directors have undertaken a rigorous review and consider both that there are no material uncertainties and that the adoption of the going concern basis of accounting is appropriate. The Company's assets consist of a diverse portfolio of listed equities and bonds which in most circumstances are realisable within a very short timescale. The Directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.

Directors' Responsibility Statement

The Directors are responsible for preparing the Half-Yearly Financial Report in accordance with applicable law and regulations. The Directors confirm that to the best of their knowledge:

- the condensed set of Financial Statements has been prepared in accordance with Financial Reporting Standard 104 (Interim Financial Reporting);

- the Half-Yearly Board Report includes a fair review of the information required by rule 4.2.7R of the Disclosure and Transparency Rules (being an indication of important events that have occurred during the first six months of the financial year and their impact on the condensed set of Financial Statements and a description of the principal risks and uncertainties for the remaining six months of the financial year); and

- the Half-Yearly Board Report includes a fair review of the information required by 4.2.8R (being related party transactions that have taken place during the first six months of the financial year and that have materially affected the financial position of the Company during that period; and any changes in the related party transactions described in the last Annual Report that could do so).

The Half-Yearly Financial Report for the six months ended 30 June 2016 comprises the Half-Yearly Board Report, the Directors' Responsibility Statement and a condensed set of Financial Statements.

For and on behalf of the Board of Murray International Trust PLC

Kevin Carter

Chairman

16 August 2016

HIGHLIGHTS

30 June 2016

31 December 2015

% change

Total assets{A} (£'000)

1,557,471

1,285,193

+21.2

Equity shareholders' funds (£'000)

1,372,321

1,091,019

+25.8

Share price - Ordinary share

987.5p

829.5p

+19.0

Share price - B Ordinary share{B}

825.0p

725.0p

+13.8

Net asset value per Ordinary and B Ordinary share

1072.8p

849.0p

+26.4

Discount to net asset value per Ordinary share

8.0%

2.3%

{A} Represents total assets less current liabilities (excluding bank loans).

{B} Subsequent to the period end all the B Ordinary shares in issue were converted into Ordinary shares.

PERFORMANCE (TOTAL RETURN)

Six months ended
30 June 2016

Year ended
31 December 2015

Share price{A}

+22.7%

-15.2%

Net asset value per Ordinary and B Ordinary share

+30.1%

-7.8%

Benchmark

+10.0%

+2.6%

{A} Mid to mid.

Total return represents the capital return plus dividends reinvested.

Source: Aberdeen Asset Management, Morningstar & Lipper

CONDENSED STATEMENT OF COMPREHENSIVE INCOME

Six months ended

Six months ended

30 June 2016

30 June 2015

(unaudited)

(unaudited)

Revenue

Capital

Total

Revenue

Capital

Total

Note

£'000

£'000

£'000

£'000

£'000

£'000

Gains/(losses) on investments

-

283,687

283,687

-

(63,572)

(63,572)

Income

3

45,056

-

45,056

41,096

-

41,096

Investment management fees

11

(1,029)

(2,402)

(3,431)

(1,074)

(2,507)

(3,581)

Other expenses

(1,004)

-

(1,004)

(1,027)

-

(1,027)

Currency losses

-

(171)

(171)

-

(182)

(182)

_______

_______

_______

_______

_______

_______

Net return before finance costs and taxation

43,023

281,114

324,137

38,995

(66,261)

(27,266)

Finance costs

(683)

(1,593)

(2,276)

(719)

(1,678)

(2,397)

_______

_______

_______

_______

_______

_______

Return on ordinary activities before tax

42,340

279,521

321,861

38,276

(67,939)

(29,663)

Tax on ordinary activities

2

(3,582)

357

(3,225)

(1,453)

955

(498)

_______

_______

_______

_______

_______

_______

Return attributable to equity shareholders

38,758

279,878

318,636

36,823

(66,984)

(30,161)

_______

_______

_______

_______

_______

_______

Return per Ordinary share assuming full conversion of the B Ordinary shares (pence)

5

30.3

218.6

248.9

28.7

(52.2)

(23.5)

_______

_______

_______

_______

_______

_______

The total column of the Condensed Statement of Comprehensive Income is the profit and loss account of the Company.

All revenue and capital items in the above statement derive from continuing operations.

CONDENSED STATEMENT OF FINANCIAL POSITION

As at

As at

30 June 2016

31 December 2015

(unaudited)

(audited)

Notes

£'000

£'000

Non-current assets

Investments at fair value through profit or loss

1,535,228

1,273,121

_______

_______

Current assets

Debtors

15,606

10,013

Cash and short-term deposits

9,595

4,648

_______

_______

25,201

14,661

_______

_______

Creditors: amounts falling due within one year

Bank loans

(60,000)

(24,024)

Other creditors

(2,958)

(2,589)

_______

_______

(62,958)

(26,613)

_______

_______

Net current liabilities

(37,757)

(11,952)

_______

_______

Total assets less current liabilities

1,497,471

1,261,169

Creditors: amounts falling due after more than one year

Bank loans and Debentures

(125,150)

(170,150)

_______

_______

Net assets

1,372,321

1,091,019

_______

_______

Capital and reserves

Called-up share capital

32,135

32,128

Share premium account

349,541

349,338

Capital redemption reserve

8,230

8,230

Capital reserve

6

911,326

636,556

Revenue reserve

71,089

64,767

_______

_______

Equity shareholders' funds

1,372,321

1,091,019

_______

_______

Net asset value per Ordinary and B Ordinary share (pence)

7

1072.8

849.0

_______

_______

CONDENSED STATEMENT OF CHANGES IN EQUITY

Six months ended 30 June 2016 (unaudited)

Share

Capital

Share

premium

redemption

Capital

Revenue

capital

account

reserve

reserve

reserve

Total

£'000

£'000

£'000

£'000

£'000

£'000

Balance at 31 December 2015

32,128

349,338

8,230

636,556

64,767

1,091,019

Return on ordinary activities after taxation

-

-

-

279,878

38,758

318,636

Dividends paid (see note 4)

-

-

-

-

(32,436)

(32,436)

Purchase of own shares

-

-

-

(6,224)

-

(6,224)

Issue of new shares

7

203

-

1,116

-

1,326

_______

_______

_______

_______

_______

_______

Balance at 30 June 2016

32,135

349,541

8,230

911,326

71,089

1,372,321

_______

_______

_______

_______

_______

_______

Six months ended 30 June 2015 (unaudited)

Share

Capital

Share

premium

redemption

Capital

Revenue

capital

account

reserve

reserve

reserve

Total

£'000

£'000

£'000

£'000

£'000

£'000

Balance at 31 December 2014

32,084

348,045

8,230

787,488

64,690

1,240,537

Return on ordinary activities after taxation

-

-

-

(66,984)

36,823

(30,161)

Dividends paid (see note 4)

-

-

-

-

(31,843)

(31,843)

Issue of new shares

39

1,293

-

(6)

-

1,326

_______

_______

_______

_______

_______

_______

Balance at 30 June 2015

32,123

349,338

8,230

720,498

69,670

1,179,859

_______

_______

_______

_______

_______

_______

CONDENSED STATEMENT OF CASH FLOWS

Six months ended

Six months ended

30 June 2016

30 June 2015

(unaudited)

(unaudited)

£'000

£'000

Net return before finance costs and taxation

324,137

(27,266)

(Decrease)/increase in accrued expenses

(12)

73

Overseas withholding tax

(3,414)

(1,762)

Interest income

(1)

(215)

Dividend income

(35,454)

(31,425)

Fixed interest income

(9,601)

(7,751)

Realised losses/(gains) on foreign exchange transactions

1,536

(389)

Fixed interest income received

8,989

8,059

Dividends received

30,291

26,762

Interest received

1

215

Interest paid

(2,384)

(2,431)

(Gains)/losses on investments

(283,687)

63,572

Amortisation of fixed income book cost

(416)

(1,222)

Decrease in other debtors

19

26

Stock dividends included in investment income

-

(1,704)

_______

_______

Net cash flow from operating activities

30,004

24,542

Investing activities

Purchases of investments

(118,437)

(24,862)

Sales of investments

140,923

12,570

_______

_______

Net cash from/(used in) investing activities

22,486

(12,292)

Financing activities

Equity dividends paid

(32,436)

(31,843)

Share issue

1,326

1,326

Buyback of Ordinary shares

(6,224)

-

Loan repayment

(10,209)

(45,007)

Loan drawdown

-

50,000

_______

_______

Net cash used in financing activities

(47,543)

(25,524)

_______

_______

Increase/(decrease) in cash

4,947

(13,274)

_______

_______

Analysis of changes in cash during the period

Opening balance

4,648

17,766

Increase/(decrease) in cash as above

4,947

(13,274)

_______

_______

Closing balances

9,595

4,492

_______

_______

NOTES TO THE FINANCIAL STATEMENTS

1.

Accounting policies

Basis of preparation

The condensed financial statements have been prepared in accordance with Financial Reporting Standard 104 (Interim Financial Reporting) and with the Statement of Recommended Practice for 'Financial Statements of Investment Trust Companies and Venture Capital Trusts'. They have also been prepared on a going concern basis and on the assumption that approval as an investment trust will continue to be granted.

The condensed interim financial statements have been prepared using the same accounting policies as the preceding annual financial statements with the following exception; the Company has early adopted Amendments to FRS 102 - Fair value hierarchy disclosures issued by the Financial Reporting Council in March 2016.

2.

Taxation

The taxation expense reflected in the Condensed Statement of Comprehensive Income is based on the estimated annual tax rate expected for the full financial year. The estimated annual corporation tax rate used for the year to 31 December 2016 is an effective rate of 20%. This is in line with the current corporation tax rate of 20%.

Six months ended

Six months ended

30 June 2016

30 June 2015

3.

Income

£'000

£'000

Income from investments

UK dividends

4,107

3,549

Overseas dividends

31,347

27,876

Overseas interest

9,601

7,751

Stock dividends

-

1,705

_______

_______

45,055

40,881

_______

_______

Interest

Deposit interest

1

215

_______

_______

Total income

45,056

41,096

_______

_______

Six months ended

Six months ended

30 June 2016

30 June 2015

4.

Ordinary dividends on equity shares

£'000

£'000

Third interim dividend 2015 of 10.50p (2014 - 10.00p)

13,398

12,736

Final dividend 2015 of 15.00p (2014 - 15.00p)

19,038

19,107

_______

_______

32,436

31,843

_______

_______

A first interim dividend for 2016 of 10.50p (2015 - 10.50p) will be paid on 17 August 2016 to shareholders on the register on 8 July 2016. The ex-dividend date was 7 July 2016.

A second interim dividend for 2016 of 10.50p (2015 - 10.50p) will be paid on 17 November 2016 to shareholders on the register on 7 October 2016. The ex-dividend date is 6 October 2016.

Six months ended

Six months ended

30 June 2016

30 June 2015

5.

Returns per share

£'000

£'000

Based on the following figures:

Revenue return

38,758

36,823

Capital return

279,878

(66,984)

_______

_______

Total return

318,636

(30,161)

_______

_______

Weighted average number of Ordinary shares

127,110,700

127,388,586

Weighted average number of B Ordinary shares

923,100

986,204

_______

_______

Weighted average number of Ordinary shares assuming conversion of B Ordinary shares

128,033,800

128,374,790

___________

___________

6.

Capital reserves

The capital reserve reflected in the Condensed Statement of Financial Position at 30 June 2016 includes gains of £414,903,000 (31 December 2015 - gains of £160,847,000) which relate to the revaluation of investments held at the reporting date.

7.

Net asset value

The net asset value per share and the net asset value attributable to the Ordinary shares (including conversion of the B Ordinary shares) at the period end calculated in accordance with the Articles of Association were as follows:

As at

As at

30 June 2016

31 December 2015

Attributable net assets (£'000)

1,372,321

1,091,019

___________

___________

Number of shares in issue:

Ordinary shares

126,985,789

127,601,952

B Ordinary shares

938,892

910,364

___________

___________

127,924,681

128,512,316

Net asset value per share (pence)

1,072.8

849.0

8.

Transaction costs

During the period expenses were incurred in acquiring or disposing of investments classified as fair value through profit or loss. These have been expensed through capital and are included within gains/(losses) on investments in the Condensed Statement of Comprehensive Income. The total costs were as follows:

Six months ended

Six months ended

30 June 2016

30 June 2015

£'000

£'000

Purchases

91

26

Sales

112

17

_______

_______

203

43

_______

_______

9.

Fair value hierarchy

FRS 102 requires an entity to classify fair value measurements using a fair value hierarchy that reflects the significance of the inputs used in making the measurements. The Company has early adopted Amendments to FRS 102 - Fair value hierarchy disclosures issued by the Financial Reporting Council in March 2016. This has not resulted in any reclassifications in levelling and the prior year comparative has been disclosed under the new hierarchy. The fair value hierarchy shall have the following classifications:

Level 1: unadjusted quoted prices in an active market for identical assets or liabilities that the entity can access at the measurement date.

Level 2: inputs other than quoted prices included within Level 1 that are observable (ie developed using market data) for the asset or liability, either directly or indirectly.

Level 3: inputs are unobservable (ie for which market data is unavailable) for the asset or liability.

The financial assets and liabilities measured at fair value in the Condensed Statement of Financial Position are grouped into the fair value hierarchy at the reporting date as follows:

Level 1

Level 2

Level 3

Total

As at 30 June 2016

Note

£'000

£'000

£'000

£'000

Financial assets at fair value through profit or loss

Quoted equities

a)

1,302,664

-

-

1,302,664

Quoted preference shares

a)

6,823

-

-

6,823

Quoted bonds

b)

196,685

29,056

-

225,741

_______

_______

_______

_______

Total

1,506,172

29,056

-

1,535,228

_______

_______

_______

_______

Net fair value

1,506,172

29,056

-

1,535,228

_______

_______

_______

_______

Level 1

Level 2

Level 3

Total

As at 31 December 2015

Note

£'000

£'000

£'000

£'000

Financial assets at fair value through profit or loss

Quoted equities

a)

1,107,402

-

-

1,107,402

Quoted preference shares

a)

6,875

-

-

6,875

Quoted bonds

b)

127,326

31,518

-

158,844

Foreign exchange forward contracts

c)

-

351

-

351

_______

_______

_______

_______

Total

1,241,603

31,869

-

1,273,472

_______

_______

_______

_______

Net fair value

1,241,603

31,869

-

1,273,472

_______

_______

_______

_______

a)

Quoted equities and preference shares

The fair value of the Company's investments in quoted equities and preference shares has been determined by reference to their quoted bid prices at the reporting date. Quoted equities and preference shares included in Fair Value Level 1 are actively traded on recognised stock exchanges.

b)

Quoted bonds

The fair value of the Company's investments in quoted bonds has been determined by reference to their quoted bid prices at the reporting date. Bonds included in Fair Value Levels 1 and 2 include Government Bonds and Corporate Bonds. Investments categorised as Level 2 are not considered to trade in active markets.

c)

Foreign exchange forward contracts

The fair value of the Company's investment in foreign exchange forward contracts has been determined in relation to models using observable market inputs and hence are categorised in Fair Value Level 2.

10.

Share capital

As at 30 June 2016 there were 126,985,789 (31 December 2015 - 127,601,952) Ordinary shares of 25p each in issue and 938,892 (31 December 2015 - 910,364) B Ordinary shares of 25p each in issue.

Subsequent to the period end 311,300 Ordinary shares have been bought back for treasury and, as detailed in the Interim Board Report, all remaining B Ordinary shares in issue on 30 June 2016 were converted into Ordinary shares with effect from 1 July 2016 and there was a bonus issue of one new Ordinary share for every 100 B Ordinary shares held. The final conversion and bonus issue resulted in the issue of 948,124 new Ordinary shares on 1 July 2016.

Following the share buybacks and conversion there were 127,622,613 Ordinary shares in issue at the date this Report was approved.

11.

Transactions with the Manager

The Company has agreements with Aberdeen Fund Managers Limited ('AFML' or the 'Manager') for the provision of investment management, secretarial, accounting and administration and promotional activity services.

With effect from 1 January 2016, the Board and the Manager agreed a new basis for calculating the Company's management fees payable to AFML. The performance fee was discontinued and the annual management fee is now charged on net assets (i.e. excluding borrowings for investment purposes) averaged over the six previous quarters ('Net Assets'), on a tiered basis. The annual management fee is now charged at 0.575% of Net Assets up to £1,200 million, 0.5% of Net Assets between £1,200 million and £1,400 million, and 0.425% of Net Assets above £1,400 million. A fee of 1.5% per annum remains chargeable on the value of any unlisted investments. The investment management fee is chargeable 30% against revenue and 70% against realised capital reserves. During the period £3,431,000 (30 June 2015 - £3,581,000) of investment management fees were payable to the Manager, with a balance of £1,696,000 (30 June 2015 - £1,785,000) being payable to AFML at the period end.

Included in the charge above is a secretarial fee of £100,000 per annum which is chargeable 100% to revenue. During the period £50,000 (30 June 2015 - £50,000) of secretarial fees was payable to the Manager, with a balance of £25,000 (30 June 2015 - £25,000) being payable to AFML at the period end.

No fees are charged in the case of investments managed or advised by the Aberdeen Asset Management Group. The management agreement may be terminated by either party on the expiry of six month's written notice. On termination the Manager is entitled to receive fees which would otherwise have been due up to that date.

The promotional activities fee is based on a current annual amount of £425,000 (30 June 2015 - £500,000), payable quarterly in arrears. During the period £214,000 (30 June 2015 - £252,000) of fees was payable, with a balance of £105,000 (30 June 2015 - £124,000) being payable to AFML at the period end.

12.

Related party transactions

With effect from 1 January 2016, the Board and the Manager agreed a new basis for calculating the Company's management fees payable to AFML. Details of the new basis can be found in note 11.

The changes to the management fee arrangements constitute a smaller related party transaction for the purpose of LR 11.1.10 R of the Financial Conduct Authority's Listing Rules.

13.

Segmental information

The Company is engaged in a single segment of business, which is to invest in equity securities and debt instruments. All of the Company's activities are interrelated, and each activity is dependent on the others. Accordingly, all significant operating decisions are based on the Company as one segment.

14.

The financial information in this Report does not comprise statutory accounts within the meaning of Section 434 - 436 of the Companies Act 2006. The financial information for the year ended 31 December 2015 has been extracted from published accounts that have been delivered to the Registrar of Companies and on which the report of the Company's auditor was unqualified and contained no statement under Section 498 (2), (3) or (4) of the Companies Act 2006. The condensed interim financial statements have been prepared using the same accounting policies as contained within the preceding annual financial statements.

The financial information for the six months ended 30 June 2016 has not been audited or reviewed by the Company's auditor. The financial information for the six months ended 30 June 2015 was reviewed by the Company's auditor.

15.

This Half-Yearly Financial Report was approved by the Board on 16 August 2016.

The Half Yearly Report will be printed and issued to shareholders and further copies will be available to the public at the registered office of the Company, 40 Princes Street, Edinburgh EH2 2BY and on the Company's web site murray-intl.co.uk*.

* Neither the Company's website nor the content of any website accessible from hyperlinks on it (or any other website) is (or is deemed to be) incorporated into, or forms (or is deemed to form) part of this announcement.

By order of the Board

ABERDEEN ASSET MANAGEMENT PLC, SECRETARY

16 August 2016

SUMMARY OF INVESTMENT CHANGES

Valuation

Appreciation

Valuation

30 June 2016

(depreciation)

Transactions

31 December 2015

£'000

%

£'000

£'000

£'000

%

Equities

United Kingdom

160,387

10.3

22,594

-

137,793

10.7

North America

237,858

15.3

47,023

(27,304)

218,139

17.0

Europe ex UK

192,773

12.4

11,149

(51,894)

233,518

18.2

Japan

67,922

4.4

19,935

-

47,987

3.7

Asia Pacific ex Japan

377,393

24.2

71,984

44,850

260,559

20.3

Latin America

250,271

16.1

60,771

(7,105)

196,605

15.3

Africa

16,060

1.0

3,259

-

12,801

1.0

_______

_______

_______

_______

_______

_______

1,302,664

83.7

236,715

(41,453)

1,107,402

86.2

_______

_______

_______

_______

_______

_______

Fixed income

United Kingdom

6,823

0.4

(52)

-

6,875

0.5

Asia Pacific ex Japan

75,962

4.9

13,194

10,506

52,262

4.1

Latin America

133,033

8.5

30,359

9,298

93,376

7.3

Africa

16,746

1.1

3,482

58

13,206

1.0

_______

_______

_______

_______

_______

_______

232,564

14.9

46,983

19,862

165,719

12.9

_______

_______

_______

_______

_______

_______

Other net assets

22,243

1.4

10,171

-

12,072

0.9

_______

_______

_______

_______

_______

_______

Total assets{A}

1,557,471

100.0

293,869

(21,591)

1,285,193

100.0

_______

_______

_______

_______

_______

_______

{A} Figure for 30 June 2016 excludes bank loan of £60,000,000 (31 December 2015 - £24,024,000) which is shown as a current liability in the Condensed Statement of Financial Position.

SUMMARY OF NET ASSETS

Valuation

Valuation

30 June 2016

31 December 2015

£'000

%

£'000

%

Equities

1,302,664

94.9

1,107,402

101.5

Fixed income

232,564

17.0

165,719

15.2

Other net assets{A}

22,243

1.6

12,072

1.1

Bank loans and Debentures

(185,150)

(13.5)

(194,174)

(17.8)

_______

_______

_______

_______

1,372,321

100.0

1,091,019

100.0

_______

_______

_______

_______

{A} Excluding short-term bank loans.

INVESTMENT PORTFOLIO

AS AT 30 JUNE 2016

Valuation

Total assets

Security

Country

£'000

%

British American Tobacco{A}

UK & Malaysia

74,915

4.8

Aeroportuario del Sureste ADS

Mexico

71,490

4.6

Taiwan Semiconductor Manufacturing

Taiwan

65,367

4.2

Unilever Indonesia

Indonesia

63,801

4.1

Philip Morris International

USA

59,352

3.8

Taiwan Mobile

Taiwan

54,542

3.5

Daito Trust Construction

Japan

48,475

3.1

Verizon Communications

USA

44,194

2.9

Singapore Telecommunications

Singapore

43,508

2.8

Roche Holdings

Switzerland

39,315

2.5

Top ten investments

564,959

36.3

Telus

Canada

38,311

2.5

Total

France

36,047

2.3

Sociedad Quimica Y Minera De Chile

Chile

32,335

2.1

Pepsico

USA

31,700

2.0

Banco Bradesco{B}

Brazil

30,914

2.0

Fomento Economico Mexicano

Mexico

30,446

1.9

Kimberly Clark de Mexico

Mexico

29,695

1.9

Royal Dutch Shell

UK

28,043

1.8

Public Bank

Malaysia

27,661

1.8

Johnson & Johnson

USA

27,217

1.7

Top twenty investments

877,328

56.3

Tenaris ADR

Mexico

23,731

1.5

Casino

France

23,580

1.5

Swire Pacific 'B'

Hong Kong

23,543

1.5

Vale do Rio Doce{C}

Brazil & USA

23,525

1.5

CME Group

USA

23,301

1.5

Telefonica Brasil

Brazil

23,094

1.5

ENI

Italy

22,549

1.5

Petroleos Mexicanos 5.5% 27/06/44

Mexico

20,277

1.3

Japan Tobacco

Japan

19,447

1.3

HSBC

UK

19,102

1.2

Top thirty investments

1,099,477

70.6

Standard Chartered

UK

18,874

1.2

Novartis

Switzerland

18,452

1.2

Federal Republic of Brazil 10% 01/01/17

Brazil

18,344

1.2

Siam Commercial Bank

Thailand

17,690

1.1

MTR

Hong Kong

17,009

1.1

Republic of South Africa 7% 28/02/31

South Africa

16,746

1.1

MTN

South Africa

16,061

1.0

Vodafone Group

UK

15,936

1.0

Engie

France

15,183

1.0

BHP Billiton

Australia

15,085

1.0

Top forty investments

1,268,857

81.5

Republic of Indonesia 6.125% 15/05/28

Indonesia

14,882

1.0

Oversea-Chinese Bank

Singapore

14,473

0.9

Republic of Indonesia 7.0% 15/05/22

Indonesia

14,388

0.9

Petroleos De Venezuela 5.25% 12/04/17

Venezuela

14,080

0.9

Auckland International Airport

New Zealand

13,841

0.9

Potash Corporation of Saskatchewan

Canada

13,783

0.9

Bharti Airtel International 5.125% 11/03/23

India

13,742

0.9

Bayer

Germany

13,067

0.9

Atlas Copco

Sweden

13,038

0.8

Coca-Cola Amatil

Australia

12,863

0.8

Top fifty investments

1,407,014

90.4

Other investments

128,214

8.2

Total investments

1,535,228

98.6

Net current assets excluding bank loans

22,243

1.4

Total assets

1,557,471

100.0

{A} Holding comprises equity holdings in both UK and Malaysia, split £51,820,000 and £23,095,000 respectively.

{B} Holding comprises equity and fixed income securities, split £20,025,000 and £10,889,000 respectively.

{C} Holding comprises equity and fixed income securities, split £8,549,000 and £14,976,000 respectively.

Murray International Trust plc published this content on 17 August 2016 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 17 August 2016 06:05:02 UTC.

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