Murray Income Trust plc
Annual Report 30 June 2026
murray-income.co.uk
murray-income.co.uk
Murray Income Trust plc Annual Report 30 June 2026
Overview
Performance Highlights 1
Strategic Report
Chair’s Statement 3
Investment Manager’s Report 7
Performance 16
Financial Highlights and Dividends 17
Overview of Strategy 18
Promoting the Success of the Company 25
Portfolio
Ten Largest Investments 28
Portfolio 29
Sector Comparison with the Benchmark 31
Summary of Investment Changes During the Year 32
Governance
Board of Directors 34
Directors’ Report 36
Corporate Governance Statement 43
Directors’ Remuneration Report 44
Audit Committee Report 47
Statement of Directors’ Responsibilities 50
Independent Auditors’ Report to the
Members of Murray Income Trust plc 51
Financial Statements
Statement of Comprehensive Income 58
Statement of Financial Position 59
Statement of Changes in Equity 60
Statement of Cash Flows 61
Notes to the Financial Statements 62
Corporate Information
AIFMD Disclosures (Unaudited) 78
General
Alternative Performance Measures 80
Glossary of Terms 82
Notice of Annual General Meeting 83
Additional Shareholder Information 88
Contents
Investment Objective
The Company aims for a high and
growing income combined with
capital growth through investment
in a portfolio principally of UK
equities.
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Performance Highlights
+15.1%
2025: +2.7%
Net asset value total return
ABC
+19.2%
2025: +4.3%
Share price total return
AB
+21.9%
2025: +11.2%
Benchmark total return
AD
0.48%
2025: 0.48%
Ongoing charges
B
40.6p
2025: 38.6p
Earnings per share (revenue)
41.0p
2025: 40.0p
Dividend per share
6.7%
2025: 9.6%
Discount to net asset value
BC
4.2%
2025: 4.7%
Dividend yield
B
A
Total return as defined on page 81.
B
Considered to be an Alternative Performance Measure. Further details can be
found on pages 80 to 81.
C
With debt at fair value.
D
The Company’s benchmark is the FTSE All-Share Index.
Net Asset Value per share
c
At 30 June
944.8p
1045.0p
957.9p
911.7p
871.0p
Dividends per share
Year ended 30 June
41.00p
40.00p
38.50p
37.50p
36.00p
Mid-market price per share
At 30 June
975.0p
854.0p
857.0p
837.0p
832.0p
2026
2026
2026
2022
2023
2024
2025
2022
2022
2023
2023
2024
2024
2025
2025
1
Overview Strategic Report Portfolio
Financial
Statements
Corporate
Information GeneralGovernance
Strategic Report
2
Murray Income Trust Annual Report 2026
Chair’s Statement
Highlights
• Artemis was appointed as the new Manager
of the Company, following the completion of
a strategic review.
• Subsequent to their appointment on 2 March
2026, Artemis completed the majority of its
portfolio changes in March 2026.
• The Company negotiated a 9-month
management fee waiver with Artemis on
taking over the portfolio.
• Fees will now be charged on the lower of
market capitalisation or NAV.
• Over the year to end June 2026, the Net Asset
Value (“NAV”) total return was 15.1% and the
share price total return was 19.2%.
• The Benchmark increased by 21.9% over the
same period.
• After the transition of the portfolio in March,
the NAV and share price returned 9.1% and
11.5% respectively against a Benchmark return
of 4.7%.
• Annual dividend increased by 2.5%, the
53
rd
consecutive annual increase.
Overview
I am pleased to report important developments in the
management of your Company in the year to June 2026.
Atthestart of the year, the Board initiated a strategic review of
the management arrangements of the Company, resulting in
the appointment of Artemis Fund Managers Limited (“Artemis”)
from 2 March 2026. At the same time NSM Funds (UK) Limited
was appointed as the Company Secretary and Northern Trust
as the Depositary and Custodian. We look forward to working
closely with these colleagues in the years ahead. After a
significant level of preparatory work, the transition was effected
smoothly. My thanks for their assistance in this process go to my
fellow Board members, to our corporate broker Investec, legal
advisers Dickson Minto and PR consultants Camarco. My thanks
also to Artemis and NSM for their efforts during the transition
period itself.
The total costs of the review relating to legal, corporate and
administrative services, amounted to c.£600,000. The stamp duty
costs in relation to the transition of the portfolio were c.£3.9m.
These costs were, however, offset by a 9-month management
fee waiver on the annual management charges for the fund,
which will amount to about £3m, and a one-off additional
marketing contribution from Artemis of £150,000. At the end of
the 9-month fee waiver in December, management fees will be
charged at the lower of market capitalisation or NAV.
The year to end June was another year of significant
geo-political activity. The effects of US tariff policy and the
continuing war in Ukraine continued to be felt but the biggest
shock to the global economy was the joint US/Israeli attack on
Iran on 28 February 2026. This sent crude oil prices up from about
$70 per barrel to nearly $120per barrel at one point, as Iran
retaliated by closing the Strait of Hormuz, through which about
20% of the world’s supply of oil passes. The outbreak of hostilities
in Iran added to UK market volatility during March, at the time
when the portfolio was being transitioned by Artemis.
The impact on the UK economy was also significant. Before the
outbreak of hostilities, there was a good chance of UK inflation
heading down towards 2%, bank interest rates heading towards
3% and the 10-year bond yield heading towards 4%. At the time
of writing, however, inflation remains stuck at about 3%, base
rates have remained paused at 3.75%, and the 10-year bond
yield is hovering at around 5%.
Peter Tait, Chair
I am pleased to report important developments in the
management of your Company in the year to June 2026.
3
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information GeneralGovernance
One key result of the various geo-political events and their
effect on the UK economy, is likely to be that any thought of
lower UK interest rates this year has been put on ice. Despite
this, the UK stock market continued to make progress, rising by
21.9% in the year to end June, helped by strong returns from
the Financials and Metals & Mining sectors in particular. The
share price return from your portfolio was modestly behind that
of the UK benchmark over the year, but with that performance
gap closing significantly after the appointment of Artemis in
March of this year.
Investment Performance
Shareholders will find a detailed review of Artemis’s strategy
and details of their performance and outlook in the
Investment Manager’s Report. Headline performance figures
may be found in the table below.
Dividend
On 30 July 2026, the Board announced the Company’s 53
rd
consecutive year of growth of dividend payments. For the
year ended 30 June 2026, the dividend increased from 40.0p
to 41.0p per share, a rise of 2.5%. Revenue for the year was
40.6p per share, slightly below the total dividend of 41.0p per
share. However, share buybacks during the year reduced
the number of shares entitled to the later dividends, thereby
reducing their overall cost. Consequently, after allowing
for the fourth interim dividend, revenue reserves increased
slightly, and represented 56% of the annual dividend.
The Board intends to continue delivering a progressive
dividend. The fourth interim dividend of 12.5p was paid on
10September 2026 to shareholders on the register on 7August
2026. The ex-dividend date was 6August 2026.
Discount and Share Buybacks
After a number of years during which investment trusts
have traded at significant discounts to their underlying net
asset value, I am pleased to report that there has been
some narrowing of overall discount levels which, for general
equity investment trusts, have reduced fromaround 9%
toabout 7.5% over the past year. This trend is partly due to
more aggressive buyback policies from trust boards. Activist
investors have also sought to persuade trust boards to address
discount levels, whether through buybacks, continuation
votes, performance-related tender offers,corporate
restructurings, mergers, or a combination of all of these.
Whatever the cause or causes, boards have become much
more pro-active and consolidation in the trust sector has
continued apace.
Your Board has been pro-active in launching a strategic
review and employing a new investment and administration
team. It has also continued to monitor the discount on a
regular basis and has been active in buying back 4.6m shares,
4.7% of the opening share capital, over the past year at an
average discount of8.3%. The discount fell from 9.6% to 6.7%
over the year with the effect of buying back shares adding
a positive impact of 0.4% on the NAV total return. The Board
will continue to monitor the discount and will remain active as
and when it deems it necessary. As such, the Board will again
be requesting shareholder approval at the AGM to renew the
Company’s buyback and issuancepowers.
Performance Total Return
(annualised %)
Since
Appointment
3 Months (Post
Repositioning)
1 year to
30June 2026
3 Years to
30 June 2026
5 Years to
30 June 2026
10 Years to
30 June 2026
Share price
AB
(0.4) 11.5 19.2 10.2 6.9 8.4
Net asset value per Ordinary share
ABC
(1.2) 9.1 15.1 9.1 6.4 7.5
FTSE All-Share (2.3) 4.7 21.9 15.3 10.9 8.7
A
Total return as defined on page 81.
B
Considered to be an Alternative Performance Measure. Further details may be found on pages 80 to 81.
C
With debt at fair value.
Source: Lipper Limited/Artemis as at 30 June 2026. Figures show total returns with dividends reinvested, net of all charges. Performance does not take account of
any costs incurred when investors buy or sell the trust.
Investment Performance
Chair’s Statement continued
4
Murray Income Trust Annual Report 2026
The shares bought back are held in Treasury, meaning there
is the potential for them to be reissued should the Company
return to a sustained premium to NAV in the future. As at
30June 2026, there were 93,313,684 (2025: 97,912,184)
Ordinary 25p shares in issue with voting rights and26,215,848
(2025: 21,617,348) shares held in Treasury.
Gearing
Artemis, as the new Manager, intends to continue to utilise
gearing as a tool for enhancing portfolio performance. At the
time that Artemis took over the portfolio, gearing was 5.3% but
has risen modestly since then to 8.7% in line with the expected
average level of gearing of 8-10% anticipated by Artemis.
The Company has in place £100 million of long-term
borrowings made up of £40m loan notes redeemable at par
in November 2027 and £60 million loan notes redeemable
at par in May 2029. These combined have a weighted
interest cost of 3.6%. The Company also has a three-year
multi-currency revolving credit facility that runs to October
2027, but which can be reduced or terminated at short notice
at no extra cost.
In conjunction with Artemis, the Board has considered
whether Contracts for Difference (“CfDs”) can be used
for gearing the portfolio with greater flexibility and
potentially lower cost. CfDs are now used by a number of
well-established managers in the investment trust sector
and plans are currently being put in place to establish the
appropriate legal framework for such a development.
Investment, People and Process
The Artemis team which has managed the Company’s
investment portfolio since March of this year consists of Adrian
Frost, Andy Marsh and Nick Shenton who, between them,
have 57 years of experience in running UK equity income
portfolios. They will also be assisted by Investment Director
Josh Passmore and Portfolio Analyst Jamie Lindsay.
The Artemis investment process is based on a disciplined
long-term approach to value creation. It targets companies
that can consistently generate durable and increasing levels
of cash flow over the long term. They believe that investing in
companies with strong cash flow characteristics will, in turn,
lead to strong dividend growth. They build a diversified
portfolio of 45 - 50 stocks based on where the market is
deemed to be underestimating or undervaluing such cash
flow. Thinking like owners of the business builds a greater
understanding of the drivers of a company’s prospects and
allows for closer engagement with management teams over
how best capital should be allocated between re-investment
and dividend returns to shareholders. The Managers have a
total return mind-set and the portfolio is run on a truly active
basis. The investment process is not driven by style bias, by
sector classification or by benchmark weighting.
Board Composition
Having served nine years on the Board, I will be retiring as
Chair, and from the Board, at the AGM on 29 October 2026.
It is with great pleasure that I can confirm that Jane Lewis will
take over as Chair (if her election as a Director is approved
by shareholders) following that AGM. Jane joined the Board
as Chair-designate in May of this year and has considerable
current and previous investment trust board experience. I wish
her every success in her new role.
Taking Stock – Final Comments
As I look back on my nine years on the board of Murray
Income Trust – the past three as Chair – I can’t help but be
astonished by how much has happened. We have lived
through Brexit, a global Covid pandemic, Russia’s invasion of
Ukraine, recent conflicts in Gaza and Iran - and six British Prime
Ministers! The Company has also seen some major changes.
The merger with Perpetual Income and Growth Investment
Trust in 2020 doubled the size of the Company. More recently,
after a period of substantial underperformance, the Board
initiated a strategic review which resulted in the appointment
of Artemis as the Investment Manager of the Company.
No management change is easy, but one of the main
upsides of investment trusts for long-term investors is having
an independent board closely monitoring performance and
making these tough decisions. The closed-end structure gives
boards and managers the freedom to avoid short-termism
and enhance capital and income growth through the
judicious use of gearing and, in the case of your Company,
a progressive dividend policy. That’s why I recommend trusts
as the bedrock of any long-term savings plan and why, with
the appointment of Artemis, I have personally increased my
holdings in Murray Income Trust.
This is not to say that investment trusts do not face challenges.
We need to educate and attract a new generation of
investors. With the rise of AI, younger generations have more
access to information about investing than ever before - not
all of it wise counsel. My youngest daughter recently asked
an AI website for the best place to invest. It suggested “the
Magnificent Seven” – but this was after these stocks had
substantially outperformed, and with no thought to risk
management or control. We need to ensure that the sensible
benefits of balanced, diversified portfolios like Murray Income
Trust are not lost in the noise of AI.
5
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information GeneralGovernance
Over the past 10 years, the Murray Income Trust portfolio has
produced share price returns of over 8% per annum. At that
rate, your holding will double in value approximately every
nine years, compounding both capital and income at an
attractive rate.
I leave you in the hands of an experienced Board and
Management team, and look forward with great interest to
watching how the portfolio performs under the style-agnostic,
cashflow-driven investment process of the new Managers. The
signs are positive.
Online Retail Shareholder Presentation
The Company will hold an online presentation for retail
shareholders and interested parties at 11am on 13 October
2026. The Investment Manager and Chair will discuss
investment matters and the outlook for the Company. You
are welcome to submit questions during the presentation.
Further information on how to register can be found using the
link below:
Murray Income Trust Shareholder Presentation/Webinar
(please click here)
Annual General Meeting
The Company is holding its AGM at 12:00pm on Thursday
29October 2026 at the Balmoral Hotel, 1 Princes Street,
Edinburgh EH2 2EQ.
I always welcome questions from our shareholders at the
AGM. Alternatively, shareholders may submit questions prior to
the AGM by sending an email to: mut@nsm.group.
Shareholders will find enclosed with this Annual Report an
Invitation Card and Form of Proxy for use in relation to the AGM.
Whether or not you are attending the AGM, shareholders are
encouraged to complete the Form of Proxy, for which the latest
date of receipt by the registrar is 12:00pm on 27 October 2026.
Completion of a Form of Proxy does not prevent a shareholder
from attending and voting in person at the AGM.
Shareholders who wish to attend and/or vote at the AGM
and hold their shares via a platform will need to make
arrangements with the administrator of their platform.
Further details on how to attend and vote at company
meetings for holders of shares via platforms can be found at:
www.theaic.co.uk/aic/how-to-vote-your-shares.
Shareholders wishing to attend the AGM and who are
unsure how to register, are invited to send an email to:
mut@nsm.group.
Peter Tait
Chair
8 September 2026
Chair’s Statement continued
6
Murray Income Trust Annual Report 2026
Investment Manager’s Report
After a rigorous selection process that took place over several
months, we were immensely pleased to be notified by the
Board in November 2025 that we had been selected as the
next managers of Murray Income Trust PLC.
Needless to say, we were – and still are – absolutely delighted.
A closed end vehicle has felt like something of a ‘missing
piece’ for our clients for some time.
To be appointed to manage a company of Murray’s stature,
scale and longevity (our track record as a team extends
back a relatively lengthy 26 years; this is not even a quarter of
Murray’s life thus far!) is a real privilege and one that we will
seek to justify to our fellow investors.
We inherited the Murray portfolio on 2 March 2026, and the
portfolio underwent a significant repositioning so that by the
end of March it reflected our strategy and from thereon we
were fully accountable for the Murray assets. We enclose
some comments on our investment performance (for the
second quarter, covering the period post-portfolio transition to
30 June 2026) – as well as an outline of the portfolio transition
process – below.
Introduction to our Investment Process
To briefly introduce ourselves, we are the team that manages
Artemis Income, the largest open-ended equity income fund
focused on the UK, and for more than a quarter of a century, our
guiding principle has been cash flow first, dividends second.
This might seem counterintuitive. Why would an income
manager not start with the dividend? We have observed over
many years that if companies can generate attractive levels
of free cash flow over time, the dividends tend to take care of
themselves.
“For more than a quarter of a century, our
guiding principle has been cash flow first,
dividends second .”
We view free cash flow as the best measure of how an
investment is generating value for shareholders as it is a
factual number, not an accounting-based measure that
can be subject to estimates, judgement and occasionally
manipulation. Our definition of free cash flow is the cash
that is generated by a business after everyone has been
paid, including investment required in the business to at least
maintain its cash flow over the longer term. The cash that is
left over (the free cash flow) is then available to be allocated
to new incremental investments (such as acquisitions) or can
be distributed to shareholders through dividends.
What we are trying to do is find companies with free cash
flows that are underappreciated. In reality, this takes us to
lots of different areas in the stock market, which brings us
to another important part of our approach. We are style
agnostic investors. What do we mean by this? Some investors
will focus on a particular type of company – perhaps cheap
ones (‘value’), or perhaps those that are more expensive but
could grow more quickly (‘growth’). We simply go where the
opportunities are: in some cases these are companies that
can grow quickly, and in others where we find companies
that are on cheaper valuations but we think are less
challenged than their valuation implies.
“We are style agnostic investors: we
simply go where the opportunities are.”
What this results in is a portfolio that is difficult to paint with a
single investment style, but is more diversified – or style agnostic
– and the output of this is that we have generated good
returns for our clients as market leadership has changed and
different investment styles have had their moment in thesun.
Finally, we describe ourselves as long term investors, and
would point to our average investment being held for more
than eight years. In our view, this long term perspective allows
us to focus on what we believe to be the key determinants
of a company’s success or failure and take advantage
of opportunities presented by a market that seems to be
increasingly short term in its thinking. We also believe modest
gearing – which we have the ability to deploy in the Trust – is
well suited to a longer term approach like our own.
“We describe ourselves as long term
investors, and would point to our
average investment being held for
more than eightyears .”
The output of our investment process is a strategy that over a
26-year time horizon has returned more than 9% per year on
an annualised basis compared to the FTSE All-Share’s return of
6% per annum over the same period.
The same process is now being applied for the benefit of
shareholders in Murray Income Trust PLC.
7
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information GeneralGovernance
Market Overview
The reporting period in question was – to say the least – action
packed, and is difficult to summarise in short order.
Unusually, the performance of the UK equity market has been
disproportionately driven by factors at play elsewhere.
The dominant force throughout has been the sheer scale
of the capital expenditure by a handful of very large US
technology companies into building out their AI infrastructure.
These companies – the ‘hyperscalers’ – are expected to
spend more than $700bn this year, with some estimates this
could rise to $1tn in 2028.
This unprecedented capital spending has impacted all
corners of equity markets, with a wide range of companies
at various points in the AI supply chain. Beneficiaries include
semiconductors (also fuelling the outperformance of the
South Korean equity market, 50% of which is accounted for by
two chipmakers, Samsung Electronics and SK Hynix), mining
companies and power providers. Companies perceived to be
somewhat removed from AI disruption have also performed
well – those more exposed to asset intensive, old economy
industries. This proved a boon to the UK market, which is more
exposed to these areas than global peers.
This led to a significant period of underperformance for
these companies, with investors concerned that a sector
that has historically enjoyed high barriers to entry and
attractive financial characteristics for many years is potentially
vulnerable to disruption.
Elsewhere, bond yields have – through some volatility –
continued to climb, not only reflecting government finances
that look increasingly strained but concerns that the stop-start
conflict in the Middle East could increase inflationary pressures
through higher energy prices.
The UK has once again offered up some political volatility,
with a turbulent period for the Labour party resulting in the
resignation of Prime Minister Keir Starmer. Andy Burnham has
recently been confirmed as his successor; we will of course be
following policy developments with interest.
However, it follows from the above characterisation of our
investment process that we remain focused on finding
companies that we believe are good, long-term investments
in their own right, and that do not rely on external factors
(such as the policy choices of the incoming prime minister, for
example) to succeed.
Transition Review
The portfolio transition was completed in early April 2026.
In total 75% of the portfolio was traded, with the remaining
25% of the portfolio retained. The total traded value in the
transition was £1,601m, of which £813m was buys and £788m
was sells.
As we were transitioning the portfolio through March, markets
were volatile due to the conflict in the Middle East. All trading
was completed within a satisfactory timeframe.
The performance review below is focused on Q2 2026,
namely the period after which we had largely completed the
portfolio transition and the companies held in the Company
reflected our own investment views.
Top 10 Holdings
30 June 2026
% of Portfolio
NatWest Group
4.7%
Lloyds Banking Group
4.4%
Barclays
4.3%
Aviva
4.2%
GSK
4.2%
Tesco
4.1%
Informa
3.9%
IG Group Holdings
3.6%
Imperial Brands
3.5%
Pearson
3.4%
Top 10 Holdings
27 February 2026
% of Portfolio
AstraZeneca
6.4%
National Grid
5.6%
Unilever
4.7%
TotalEnergies
4.2%
RELX
4.1%
Haleon
3.7%
Reckitt Benckiser Group
3.4%
ConvaTec Group
3.4%
Experian
3.4%
HSBC Holdings
3.3%
Investment Manager’s Report continued
8
Murray Income Trust Annual Report 2026
Contributors Post Transition
Top 10 Contributors
Average
Weight % Return % Impact %
Shell
2.5 (17.4) 1.0
IG Group Holdings
3.8 29.3 0.8
SEGRO
2.8 35.9 0.7
Informa
3.9 23.2 0.6
Pearson
3.9 20.8 0.5
easyJet
1.2 60.6 0.5
BAE Systems
0.0 (15.3) 0.5
Barclays
4.2 30.1 0.4
NatWest Group
4.7 20.6 0.4
AstraZeneca
2.4 (4.1) 0.4
Source: FactSet
Note: performance period 1 April 2026 to 30 June 2026; bold indicates
stocks that were either underweight or not owned in the period.
IG Group (self directed trading platform) shares hit an all-time
high in May after a positive trading update. Assets under
administration passed £20bn and management upgraded
revenue growth guidance to between 10 and 15% for the full
year. Improvements in culture and innovation introduced by
IG’s relatively new management team which has been in situ
since 2024, are now manifesting in operational performance.
Revenue growth is accelerating and active customers have
increased for the fifth consecutive quarter. Chief executive
officer Breon Corcoran announced a strategic review in
March “to make sure IG maximises shareholder value”, which
was well received by investors. Notwithstanding some recent
profit taking thanks to a run of strong performance, we think
the setup going forward looks attractive. A 10% free cash flow
yield offers value we believe, especially with a strong balance
sheet and about 20% of the company’s market capitalisation
in cash in mind.
SEGRO (European warehouse, logistics and data centre
owner) shares performed strongly following an unsolicited bid
from US logistics giant Prologis. The bid took the form of an all-
paper offer at net asset value (NAV), to which the board raised
a robust and welcome defence. Several more bids followed,
however, and the SEGRO board eventually recommended
Prologis’ fourth approach – valuing SEGRO at around £14bn –
to shareholders. On the one hand, we are disappointed to see
a company in which, as a team, we have invested for more
than 15 years being taken out, particularly after we supported
the board’s efforts to achieve a higher price. SEGRO has a
portfolio of assets that would be very difficult, perhaps even
impossible, to replicate and which should generate an assured
and growing rental income over the long term. The only aspect
that counters this view is that we are mindful of heightened
investor enthusiasm for all things related to data centres, which
currently account for less than 10% of SEGRO’s rental income.
Informa (global business to business events owner-operator)
recovered as sentiment improved regarding its exposure
to the Middle East. We think the market underappreciates
(and perhaps misunderstands) the economics of Informa’s
industry events. These are long-term, highly profitable assets
with strong cash conversion. They also create huge amounts
of valuable and unique first-party data. Having invested
materially in its technology, Informa is beginning to monetise
this data by improving the customer value proposition at its
events and by offering digital lead generation. Informa has
an 8% free cashflow yield and a 13x forward P/E multiple.
We think this offers significant value, given high returns on
capital and its position as the global leader in an industry
underpinned by structural growth.
Pearson (digital media and learning company) has delivered
a better period of performance after a tougher period in
which it found itself in the majority of ‘AI disruption risk’ baskets.
Our assessment for some time has been that Pearson is one of
relatively few businesses that can benefit from the integration
of AI into its offering, thanks to its ownership of difficult to
replicate, proprietary data. Furthermore, two thirds of Pearson’s
cash flow is derived from its assessments & qualifications
business; surely – in a world that requires ever more proof and
verification – this becomes more valuable? We have taken
some profits however after a strong run for the shares.
easyJet (low cost airline) shares performed strongly after the
airline was approached by US private equity firm Castlelake.
easyJet rejected Castlelake’s first four proposals before
agreeing in principle to a sweetened offer in early July. Apollo
then entered the race on 8 July with a higher proposal,
which easyJet has backed. Our view – for some time – has
been that easyJet’s shares are materially undervalued (and
trade below the replacement cost of its fleet of planes,
ascribing no value to easyJet Holidays, its brand and slots at
capacity constrained airports) and we are reassured to see
more widespread recognition of this through Castlelake and
Apollo’s approaches.
Performance Review
Since
Appointment
3 Months (Post
Repositioning) 1 Year 3 Years 5 Years 10 Years
Murray Income Trust PLC (NAV) (1.2) 9.1 15.1 30 36.6 106.2
Murray Income Trust PLC (Share Price) (0.4) 11.5 19.2 33.8 39.3 124.5
Artemis Income I Inc GBP 1.7 8.9 14.8 60.7 73.6 146.5
FTSE All-Share TR (2.3) 4.7 21.9 53.1 67.9 129.8
Source: Lipper as at 30th June 2026
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Overview
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Financial
Statements
Corporate
Information GeneralGovernance
Detractors Post Transition
Top 10 Detractors
Average
Weight % Return % Impact %
HSBC Holdings
0.0 17.8 (1.0)
Rolls-Royce Holdings
0.0 28.2 (0.8)
Imperial Brands
3.9 (7.4) (0.4)
BP
4.2 (22.6) (0.3)
Smith & Nephew
2.6 (8.0) (0.3)
Standard Chartered
0.1 (0.1) (0.3)
Tesco
4.7 (1.0) (0.2)
London Stock Exchange Group
3.2 (6.9) (0.2)
Compass Group
0.0 17.6 (0.2)
GSK
4.6 (3.2) (0.1)
Source: FactSet
Note: performance period 1 April 2026 to 30 June 2026; bold indicates stocks that
were either underweight or not owned in the period.
Imperial Brands (tobacco company) shares were weak
with other ‘defensive’ parts of the market in the second
quarter, with a cautious trading update also playing its part.
We continue to scratch our heads over our allocation to
tobacco. On the one hand, valuations are undemanding,
cash generation remains substantial and shareholders stand
to make decent returns through a combination of dividends
and share buybacks (Imperial’s share count is down c.15%
over the past three years). On the other hand, we see
mounting risks of a more stringent regulatory environment
for next-generation products, particularly vapes, where a
growing number of studies point towards more acute health
risks than previously appreciated. At a free cashflow yield of
more than 10%, we believe that we are compensated for this
risk, but continue to follow the regulatory environment with
interest.
BP (oil and gas producer) shares were hamstrung by lower
oil prices (oil shares were weak across the board in the
second quarter). Currently, we have a larger allocation to
BP than to Shell. BP has a higher dividend yield (5% versus
3.7%) and leverage that is higher than peers but falling.
Thanks to exploration successes, BP has sufficient reserves to
maintain current production levels for longer than Shell, where
production is likely to begin to decline in 2030. In comparison
to the UK market, however, our oil & gas exposure is limited,
as is our weighting to commodities more broadly. These are
sectors where it is inherently difficult to forecast cash flow –
commodities are commodities after all! – and more often
than not we believe to have more of an ‘edge’ in other
areas.
Smith+Nephew (medical technology company) sold off
along with healthcare more broadly. We believe the market
continues to mis-analyse this company and is too focused
on its admittedly challenged orthopaedics business, which
contributes about 40% of Smith+Nephew’s revenues and
a third of its cashflow. However, its other divisions – sports
medicine and wound management – are high-quality,
high-margin businesses that are among the market leaders
in industries underpinned by structural growth. As these two
divisions continue to grow, they should account for an ever-
larger proportion of group sales, earnings and cashflows.
Furthermore, we have seen signs over the past 12 months that
the orthopaedics division is stabilising and we believe more
‘self-help’ measures could be enacted. All in all, we believe
the current valuation (a P/E of 14x and a 6% free cashflow
yield) offers attractive long-term risk/reward.
Portfolio Activity
Outside the transition process, we have made the following
changes to the portfolio:
We added two new positions in the second quarter: Reckitt
Benckiser (consumer health company) and Standard
Chartered (bank and wealth manager).
The market cap of Reckitt Benckiser fell by almost £15bn from
March to May, a drawdown of some 30%. Post this fall the shares
offered a dividend yield of close to 5% and traded at the lowest
P/E of the past two decades. We have owned Reckitt in the past
– selling the shares in 2017 – so we retain a working knowledge of
the business, and could see no new fundamental reason for the
share price to reflect an impaired outlook for the future. Indeed,
one explanation given was that Reckitt generating more than
40% of revenue from emerging markets was a bad thing, given
oil price sensitivity and the spike caused by the Iran conflict. We
look at it another way and think this exposure is a good thing
for long-term owners. We also note the amount of M&A in the
consumer goods sector and would not be surprised to see
Reckitt attracting interest for its portfolio of brands, category mix
and long-term growthpotential.
We bought shares in Standard Chartered given a strong
foothold in fast-growing economies in Asia. In particular, the
bank has an attractive position in wealth management. Plenty
of wealth is being created in Asia it seems, and it needs to
be managed - and as wealth (which is capital light and
generates higher returns) accounts for a larger proportion of
Standard Chartered’s profits going forward this should drive
an acceleration in returns on tangible equity (ROTE) in our
view. The shares have done well in recent years, but taking
into account management’s ambitions of mid/high teen ROTE
by 2030 and significant capital returns (some analysts project
c.25% of the market capitalisation will be returned through
dividends and share buybacks) then a current valuation of 1.3x
price to book does not look too demanding in our view.
Investment Manager’s Report continued
10
Murray Income Trust Annual Report 2026
We exited one position: Sage (business software provider).
Sage has historically traded at a significant valuation discount
to its closest US peer, Intuit, but that has now reversed, with Intuit
trading at a discount. Sage does not have the same ownership
of its data as other technology names in the portfolio and we
feel that AI is likely lowering barriers to entry. We had trimmed the
position materially but made the choice to fully exit Sage more
recently. We will continue to monitor the business closely as there
is an AI bull case which could manifest in time.
Discount
The Trust’s discount to NAV narrowed over the quarter, moving
from 8.6% as at 31 March 2026 to 6.7% as at 30 June 2026.
Gearing
Our approach to gearing is to apply it consistently, aiming for
a typical range of between 8-10%. Portfolio gearing was 8.7%
as at 30 June 2026; this compares with 5.3% as at 28 February
2026, before we inherited the portfolio.
Dividend
The fourth and final dividend of FY26 is 12.5p, compared to
FY25’s final dividend of 11.5p, representing year over year
growth of 9%. This brings the full year FY26 to 41p, compared
to FY25’s full year dividend of 40p, representing year over year
growth of 2.5%.
The portfolio derives its revenues – and therefore its income
– from many different places around the world, with more
revenue from overseas (58%) than in the UK (42%). This is
illustrative of an important point: the Murray Income portfolio
is not the UK economy, and is therefore not overly reliant on
the fortunes of the UK economy to deliver attractive income
and total returns for investors.
Outlook
The bids for SEGRO and easyJet as articulated above are
yet another sign of the undervaluation of parts of the UK
equity market in our view, and there are several more
names in our portfolio that we believe could be vulnerable
to an approach. This should underpin share prices as
M&A approaches once again look to be ticking up for UK
companies.
The macroeconomic noise – in the form of the Middle East,
tariffs, AI investment, a new prime minister, among much
more – continues, as it has done year after year. We continue
to focus on controlling what we can control, which is finding
a collection of companies that we believe are well equipped
to grow their cash flows over the medium to long term, and
working to make sure the portfolio remains well diversified
across industries, sectors and investment styles.
In aggregate, the portfolio trades on an undemanding
valuation of 12.4x earnings, a discount to the FTSE All-Share
(12.7x) and a steep discount to global equities, with the FTSE
World index currently trading on 23x earnings. We would
also point to the Trust’s yield premium to the All Share, and
a portfolio that we believe offers better quality than the
benchmark, as evidenced by higher cash conversion and
return on capital employed.
Combining these characteristics with the Trust’s gearing,
and discount, which is still at a level to create an attractive
investment entry point, we believe the setup for delivering
a growing income and attractive total returns for investors
going forward looks compelling.
Adrian Frost, Andy Marsh and Nick Shenton
Artemis Investment Management LLP
8 September 2026
Geographic revenue split (%)
Source: Artemis, FactSet as at 30 June 2026.
Africa
1.0%
Asia
10.1%
Europe
17.3%
Latin America
2.4%
Middle East
2.3%
North America
23.4%
Oceania
1.8%
UK
41.8%
North America
23.4%
11
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information GeneralGovernance
Andy Marsh – Fund Manager
Andy has worked on Artemis’s UK equity income strategies alongside Adrian Frost
and Nick Shenton since February 2018. He joined Artemis after more than a decade
managing money at Polar Capital where he was a partner. Having originally qualified
as an accountant in 1997 at Ernst & Young, Andy worked as an analyst for ING
Charterhouse and then for Merrill Lynch before a stint at Investec’s investment bank as
head of equity sales. Andy leads Artemis’s mentoring scheme.
Nick Shenton – Fund Manager
Nick joined Artemis in 2012 to run income mandates alongside Adrian Frost and Andy
Marsh. After studying Economics with French at the University of Nottingham, he started
his career at F&C Asset Management in 2003. He spent four years there as an analyst
and assistant fund manager on the UK and pan-European equities desks. In 2007, Nick
moved to Polar Capital as a fund manager on its UK long/short equity hedge fund.
Adrian Frost – Fund Manager
Adrian manages Artemis’s UK Equity Income strategies, alongside co-managers
Nick Shenton and Andy Marsh, and has done so since he joined the firm in January
2002. After graduating from Jesus College, Cambridge, Adrian began his investment
management career at Deutsche Asset Management (Morgan Grenfell) in 1983. He
was appointed a director there in 1990 and head of UK equities in 1996. In 2020, Adrian
received Investment Week’s ‘Outstanding Fund Manager Over 25 Years’ award.
Investment team profiles
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Murray Income Trust Annual Report 2026
Jamie Lindsay – Analyst
Jamie joined Artemis in March 2019 and is an analyst on the Artemis Income strategy.
Since joining Artemis he has worked on the Artemis Alpha Trust, Artemis European Select
strategy and Artemis Strategic Assets strategy. He graduated in 2014 from the University
of Oxford with a BA in History & Economics before joining Citigroup as an analyst. He
then moved to Pcubed as a management consultant, focusing on risk measurement &
reporting. Jamie is a CFA charterholder.
Josh Passmore – Investment Director
Josh is an investment director focusing on Artemis’s Income, Global Income, Global
Value and Monthly Distribution strategies. Prior to joining Artemis in March 2022,
Josh spent three years at RBC Global Asset Management in sales and relationship-
management roles covering UK and Irish financial institutions. Josh graduated from
Manchester University with a degree in politics, philosophy and economics in 2017
before joining the RBC Wealth Management graduate programme, rotating across the
wealth and asset management businesses. Josh is a CFA charterholder.
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Overview
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Financial
Statements
Corporate
Information GeneralGovernance
Introduction
Artemis believes stewardship activities
contribute to better performing
companies and therefore enhanced
returns for our clients.
Our stewardship activities encompass the integration of
material factors into investment processes, engagement
with investee companies, voting and participation in
industry initiatives. We assess a broad range of investment
factors which can impact a company’s value, including
environmental, social and governance (‘ESG’) considerations,
as we believe that ESG factors can be important drivers of risk
and opportunity for the companies weinvest in.
Our dedicated Stewardship team’s role is to provide specialist
insight, research, analysis and discussion on matters related
to ESG integration, engagement and voting, as well as
participation in industry wide initiatives to develop and
promote best practices internally and across the investment
management industry. In recognition of our commitment to
stewardship we are a signatory to the Financial Reporting
Council’s UK Stewardship Code. Our most recent Stewardship
report can be found on our website (www.artemisfunds.com).
Artemis’s stewardship approach and its
application to Murray Income Trust PLC
Our approach is to integrate ESG factors into our investment
process with the core objective of improving long-term value
creation and investment returns for our clients. ESG factors
are not assessed separately but form part of our analysis
ofacompany.
We seek companies with underappreciated cash flows
that we believe are equipped to deliver and grow cash
flow over the medium to long term. Companies that are
more responsible in their conduct – be this with respect to
environmental practices, the setting of a strong corporate
culture, fostering positive relationships with stakeholders and
more – tend to have a better chance of delivering long-term
cash flow growth.
Conversely, companies that are irresponsible and fail to
appreciate their wider responsibilities to their employees
and various stakeholders have more vulnerable cash flows,
especially over longer time horizons. It is therefore logical that
assessing ESG factors forms part of our process.
Furthermore, we are long term investors, with an average
stock holding period of more than 8 years running the Artemis
Income fund since 2000. This has afforded us good access to
companies at all levels, and allowed us to build partnerships
with management teams, manifesting in consistent and
regular input into corporate strategy and decision-making.
Engagement therefore forms an important part of our process
throughout the life cycle of an investment; you will find some
examples of our company engagements from the past 12
months below.
Voting – A measured approach
We vote on all of our holdings, unless restricted from doing so
by local market practices, laws or regulations. Voting decisions
are made by our fund managers, informed by their knowledge
of the company concerned, any engagement activity,
Artemis’s voting policy and input from external research
providers such as Institutional Shareholder Services (‘ISS’).
For us, voting forms an important part of our stewardship
responsibilities and we will vote against management when we
believe this will lead to a better outcome and is in the interests
of our clients.
Reporting – Meeting our clients’ evolving needs
ESG analysis continues to evolve and we are committed
to meeting the specific reporting needs of our clients. On
our website we share policies (Stewardship, Engagement,
Voting), detailed voting reports and regular ESG insights. On
an annual basis we publish our Stewardship Report which
offers a detailed account of stewardship at Artemis including
our firm’s progress on key initiatives, case studies of both
engagement and voting and descriptions of each strategy’s
ESG integration methods. We also publish Task force on
climate-related financial disclosures (“TCFD”) reports at Entity-
level and Fund-level.
Engagement examples for the period 1 July 2025 to
30June2026:
Artemis has been actively engaging with Barclays on climate
since 2020 when, following discussions with the Chairman, we
supported the management resolution at its AGM, which set
out Barclays’ ambition to become a net zero bank by 2050.
Artemis’s approach to ESG
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Murray Income Trust Annual Report 2026
In November 2024 we met with the Group Head of
Sustainable and Transition Finance, as part of our
regular engagement schedule. During this meeting we
discussed developments, notably the bank’s first Transition
Update which was in the process of being drafted. We
communicated the need to: closely link the narrative and
disclosures with the business case – including financial
metrics and client impact; provide detailed updates on
each of the sectors for which targets have been set; and be
transparent on both the opportunities and challenges posed
by the climate transition and Barclays’ ability to achieve the
articulated plan. We had update meetings during 2025 on
the newly released Client Transition Framework, a tool used to
evaluate progress towards business models aligned with the
low-carbon economy. We also met with the newly appointed
Head of Sustainability Group in October to talk about the
Barclays transition update: clients, capital and innovation
report which was published in July 2025. We think this is an
excellent report which covers in detail all the areas we had
discussed. The following week Artemis also presented at the
Barclays Sustainability offsite day.
We engaged with Whitbread, the owner of the budget hotel
brand Premier Inn, to understand how the management team
was approaching human capital management, resource
efficiency, and supply chain relationships. Whitbread’s
management of financially material ESG factors is in our
view robust, with comprehensive reporting and a strategy
that integrates these considerations into its core business
operations. The company has a significant focus on staff
training, employee engagement, and retention, leveraging
strong internal communication channels, structured career
progression, and a focus on employee experience as
competitive advantages. Investment in technology, and
in-house tools, supports operational efficiency and labour
management, with a commitment to optimising processes
and enhancing the workplace for employees.
The supply chain strategy emphasises long-term partnerships,
ethical sourcing, decarbonisation and participation in industry
initiatives that support suppliers. Resource efficiency measures
include energy and water savings, with ongoing efforts to
explore further improvements. The company also considers
climate risks and opportunities, integrating resilience and
sustainability into building lifecycles and governance. Senior
management support, and a mature sustainability programme
embedded across the business, underpin theseefforts.
15
Overview
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Financial
Statements
Corporate
Information GeneralGovernance
Performance
Ten Year Financial Record
As at 30 June 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026
Income (£’000)
26,667 25,987 25,597 22,804 35,979 51,018 48,879 43,899 42,224 42,070
Shareholders’
funds (£’000) 576,462 570,929 587,150 534,361 1,093,859 1,009,255 999,184 990,282 916,738 969,210
Per Ordinary share (p)
Net revenue return
34.9 33.6 34.9 30.5 33.7 40.5 38.7 37.4 38.6 40.6
Dividends
A
32.75 33.25 34.00 34.25 34.50 36.00 37.50 38.50 40.00 41.00
Net asset value
(capital only) 860.1 856.3 888.1 808.3 934.6 864.9 894.4 946.0 936.3 1,038.7
A
The figures for dividends per share reflect the years to which their declaration relates and not the years they were paid.
Total Return of NAV and Share Price vs FTSE All-Share Index (five years ended 30 June 2026)
-20%
-10%
0%
10%
20%
30%
40%
50%
60%
70%
80%
30/06/2021 30/06/2022 30/06/2023 30/06/2024 30/06/2025 30/06/2026
Murray Income Trust PLC (Share Price)
Murray Income Trust PLC (NAV debt at fair value)
FTSE All-Share TR
Source: Artemis & Lipper
Share Price Discount to NAV (debt at Fair Value) (five years ended 30 June 2026)
-14%
-12%
-10%
-8%
-6%
-4%
-2%
0%
Discount
30/06/2021 30/06/2022 30/06/2023 30/06/2024 30/06/2025 30/06/2026
Source: Artemis & Lipper
16
Murray Income Trust Annual Report 2026
Financial Highlights and Dividends
Financial Highlights
Year ended
30 June 2026
Year ended
30 June 2025 % change
Shareholders’ funds (£’000)
969,210 916,738 +5.7
Net asset value (“NAV”) per Ordinary share – debt at fair value
A
1,045.0p 944.8p +10.6
Net asset value per Ordinary share – debt at par
1,038.7p 936.3p +10.9
Market capitalisation (£’000)
909,808 836,170 +8.8
Share price of Ordinary share
975.0p 854.0p +14.2
Discount to net asset value on Ordinary shares – debt at fair value
A
6.7% 9.6%
Discount to net asset value on Ordinary shares – debt at par
A
6.1% 8.8%
Gearing (ratio of borrowing to shareholders’ funds)
Net gearing with debt at fair value
A
8.7% 11.0%
Dividends and earnings
Revenue return per share
40.6p 38.6p +5.2
Dividends per share
B
41.0p 40.0p +2.5
Dividend cover
A
1.0 times 0.97 times
Dividend yield
A
4.2% 4.7%
Revenue reserves (£’000)
Prior to payment of fourth interim dividend
C
32,936 32,464
After payment of fourth interim dividend
21,272 21,206
Operating costs
Ongoing charges ratio
A
0.48% 0.48%
A
Considered to be an Alternative Performance Measure. Further details can be found on page 80.
B
The figures for dividends per share reflect the years in which they were earned (see note 7).
C
As shown in the Statement of Financial Position on page 59.
Dividends
Rate XD date Record date Payment date
First interim
9.50p 13 Nov 2025 14 Nov 2025 11 Dec 2025
Second interim
9.50p 12 Feb 2026 13 Feb 2026 12 Mar 2026
Third interim
9.50p 21 May 2026 22 May 2026 18 Jun 2026
Fourth interim
12.50p 06 Aug 2026 07 Aug 2026 10 Sep 2026
Total dividends
41.00p
17
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information GeneralGovernance
Overview of Strategy
Business Model
Murray Income Trust plc (the “Company”) is an investment
trust whose Ordinary shares are listed on the London Stock
Exchange. The Company is limited by shares.
The Company is governed by a Board of Directors (the
“Board”), all of whom are non-executive, and has no
employees. The Board is responsible for determining the
Company’s investment objective and investment policy. Until
2 March 2026, the Board had outsourced the day-to-day
investment management and administration to Aberdeen.
Abrdn Fund Managers Limited was the alternative fund
manager, which delegated certain functions, including
administration of the investment policy to Abrdn Investments
Limited. Abrdn Fund Managers Limited further delegated
fund administration and custodian services to BNP Paribas
S.A.. Abrdn Holdings Limited was appointed as the Company
Secretary.
From 2 March 2026, the Board appointed Artemis Fund
Managers Limited to act as the Company’s alternative
investment fund manager (“AIFM”), who delegated portfolio
management to Artemis Investment Management LLP. The
AIFM further delegated fund administration and custodian
services to Northern Trust. Company secretarial services are
provided under a separate agreement with NSM Funds (UK)
Limited.
The Company complies with Section 1158 of the Corporation
Tax Act 2010 which permits the Company to operate as an
investment trust.
Investment Objective
The Company aims for a high and growing income combined
with capital growth through investment in a portfolio principally
of UK equities.
Investment Policy
In pursuit of the Company’s investment objective, the
Company’s investment policy is to invest in the shares of
companies that have potential for real earnings and dividend
growth, while at the same time providing an above-average
portfolio yield. The emphasis is on the management of risk and
on the absolute return and yield from the portfolio as a whole
rather than the individual companies which the Company
invests in, which is achieved by ensuring an appropriate
diversification of stocks and sectors within the portfolio with a
high proportion of assets in strong, well-researched companies.
The Company makes use of borrowing facilities to enhance
shareholder returns when appropriate.
Delivering the Investment Policy
The Company maintains a diversified portfolio of the equity
securities of UK and overseas companies with an emphasis on
investing in quality companies with good management, strong
cash flow, a sound balance sheet and which are generating a
reliable earnings stream.
The Manager follows a bottom-up investment process
based on a disciplined evaluation of a company’s cashflow
prospects. Top-down investment factors are not a primary
driver of the investment process with risk management
prioritised through diversification and limits on investment in any
one sector or company.
Board Investment Limits
The Board sets additional investment guidelines within which
the Manager must operate:
• the portfolio typically comprises between 40 and 70
holdings (but without restricting the Company from holding
a more or less concentrated portfolio from time to time);
• the Company may invest up to 100% of its gross assets in
UK-listed equities and other securities and is permitted to
invest up to 20% of its gross assets in other overseas-listed
equities and securities;
• the Manager may invest in any market sector, however, the
top five holdings may not exceed 40% of the total value of
the portfolio and the top three sectors represented in the
portfolio may not exceed 50%; and
• the Company may invest no more than 15% of its gross
assets in other listed investment companies (including
investment trusts).
The Company may use derivatives for the purpose of
enhancing portfolio returns and for hedging purposes in a
manner consistent with the Company’s broader investment
policy. TheManager is permitted to invest in options and in
structured products, provided that any structured product
issued in the form of a note or bond has a minimum credit
rating of “A”.
Gearing
The Board is responsible for setting the gearing policy of
the Company and for the limits on gearing. The Manager is
responsible for gearing within the limits set by the Board. The
Board has set its gearing limit at a maximum of 25% of NAV at
the time of draw down. Debt (both long and short term) and
derivatives such as contracts for differences can be used for
gearing. Gearing - borrowing money - is used selectively to
leverage the Company’s portfolio in order to enhance returns
where this is considered appropriate. Particular care is taken to
ensure that any financial covenants permit maximum flexibility
of investment policy. Significant changes to gearing levels are
communicated to shareholders.
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Murray Income Trust Annual Report 2026
Key Performance Indicators
At each Board meeting, the Directors consider a number of Key Performance Indicators (“KPIs”) to assess the Company’s success in
achieving its objectives. These KPIs are described below, with those also categorised as Alternative Performance Measures marked
with an asterisk (see also pages 80 to 81) and noting that NAV is calculated with debt at fair value:
KPI Description
NAV (total return)
A
relative to the Company’s
benchmark
The Board considers the Company’s NAV (total return), relative to the FTSE
All-Share Index, to be the best indicator of performance over different
time periods. A graph showing NAV total return over the past five years as
compared to the FTSE All-Share Index is shown on page 16.
Share price
A
(total return) The Board monitors share price performance relative to open-ended
and closed-ended competitor products, taking account of differing
investment objectives and policies pursued by those products.
The figures for share price (total return) for the year and for the past three,
five and ten years, as well as for the NAV (total return) per share, are
shown on page 4. A graph showing share price total return performance
against the FTSE All-Share Index over the past five years is shown on
page16.
Discount/premium to NAV
A
The discount/premium at which the Company’s share price trades relative
to the NAV per share is closely monitored by the Board. A graph showing
the discount/premium over the last five years is shown on page 16.
Earnings and dividends per share The Board regularly monitors the Company’s current and forecast
revenues as well as its revenue reserves. The Company’s revenue reserves
support the payment of a growing dividend where any year’s revenue
is insufficient to do so. Details are set out in Financial Highlights and
Dividends on page 17 in respect of earnings and dividends per share,
together with the level of revenue reserves, for the year and previous
year.
Ongoing charges
A
The Board monitors the Company’s operating costs and their composition
with a view to limiting increases wherever possible. Ongoing charges are
disclosed on page 81 for the year and the previous year and include look
through costs.
A
Considered to be an Alternative Performance Measure. Further details can be found on page 80 to 81.
Principal Risks and Uncertainties
There are a number of risks and uncertainties which, if realised,
could have a material adverse effect on the Company’s
business model, future performance and solvency. The Board,
through the Audit Committee, has put in place a robust
process to identify, assess and monitor these by means of
a risk assessment and internal controls system. This system
was reviewed during the year, as explained in the Audit
Committee Report on pages 47 to 49. As noted therein, the
Audit Committee has a risk register and uses a post-mitigation
heat risk map to identify principal, and emerging, risks.
The Audit Committee and the Board both consider emerging
risks as part of their normal review of factors which could
affect the Company both in the short and longer term.
The principal risks are set out in the following pages with a
high level summary of their management through mitigation
and an indication of any change in assessment during the
year. The principal risks faced by the Company have been
categorised under the headings as follows. Strategic and
Market; Investment Management; and Operational.
19
Overview
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Financial
Statements
Corporate
Information GeneralGovernance
Principal Risk Mitigating Action Risk
Strategic and Market
Discount control risk (unchanged)
The Company’s shares may trade at a discount to
their underlying net asset value. The level of discount is
determined by market supply and demand and may
fluctuate, potentially becoming wider during periods of
market uncertainty. Although the Company has authority to
repurchase its own shares with the objective of managing
discount volatility, there is no guarantee that such measures
will be successful in controlling the discount.
Discounts and premiums can fluctuate considerably
leading to more volatile returns for shareholders.
The Board monitors the discount at which the Company’s
shares trade, including comparison with peer group discounts,
and the Company will buy back or issue shares to try to
minimise the impact of any discount or premium volatility.
Whilst these measures seek to reduce volatility, they are not
guaranteed to do this.
During the year the Company bought back 4.6 million shares
(2025: 6.8 million) representing 4.7% (2025: 6.5%) of the shares
outstanding at the beginning of July 2025.
Market risk (increased)
Volatility in prices of the Company’s investments and the
potential loss the Company could suffer through realising
investments following negative market movements.
Changes in general economic or market conditions (such
as interest rates, exchange rates and inflation rates) as well
as global political events and trends, could substantially
and adversely affect the prices of securities and, as a
consequence, the value of the Company’s investment
portfolio, its prospects and share price.
Current heightened risks arise from factors such as the
increase in global armed conflict and the slowing of interest
rate cuts by central banks. The longer-term emergence of
the effects on investee companies of climate change, and
the regulatory environment around this, presents a further
risk.
To manage these risks the Board have appointed Artemis
to manage the portfolio within the remit of the investment
objective and policy, and imposed various guidelines, as
set out on page 18. These limits ensure that the portfolio is
diversified.
In addition, Artemis reports at each Board meeting on the
performance of the Company’s portfolio, including the
rationale for the investment decisions, the current portfolio
and the investment strategy.
The Board also considers sensitivity of the Company to
market prices and changing economic conditions and how
the portfolio would perform during a market crisis. In light of
the material effect that geopolitical events (such as global
armed conflicts and trade wars) have had on the Company’s
operating environment the Board has increased the market
risk rating.
The Board regularly reviews environmental/climate,
geopolitical and economic developments with the Manager,
along with the implications of these risks and events on
portfolio construction and the Company’s operations. ESG
considerations are incorporated into the investment process
of Artemis, as part of the drive to invest in companies with
long-term viability.
Overview of Strategy continued
20
Murray Income Trust Annual Report 2026
Principal Risk Mitigating Action Risk
Investment Management
Underperformance risk (unchanged)
Consistent underperformance by the Investment Manager
over short, medium and long term.
The Investment Manager’s style may result in the portfolio
being significantly over or underweight positions in stocks
and sectors compared to the benchmark and the
Company’s performance may deviate significantly from that
of the benchmark and peers, possibly for extended periods.
The Board evaluates performance at each Board meeting on
both an absolute and relative basis, against the Company’s
benchmark and peers, and across various periods: short,
medium and long term. Performance is also reviewed at the
annual strategy meeting.
The Company has a set of investment limits and Board
guidelines which ensure diversification of the portfolio. During
the year, the Board appointed Artemis Fund Managers
following a strategic review. The Board has evaluated
performance of the Manager since appointment in light of
significant change to the Company’s portfolio.
Loss of Key Staff (decreased)
Loss of key staff through natural loss or Manager
reorganisation and/or redundancy could lead to a
short-term deterioration in investment performance.
The Artemis team are responsible for managing the
Company’s investment portfolio since March of this year
and consists of Adrian Frost, Andy Marsh and Nick Shenton
providing a team approach that prepares for succession
planning. They are also assisted by Investment Director Josh
Passmore and Portfolio Analyst Jamie Lindsay. The Board
has concluded that the new investment manager manages
succession planning by implementing a team approach to
portfolio management and therefore the Board has reduced
the risk rating in the current year.
Operational
IT/Cyber Security risk (unchanged)
Failure to ensure Investment Manager is effectively
monitoring internal IT threats and failure to monitor the
information security policies, data protection and IT
monitoring procedures of key outsourced service providers.
The Audit Committee receives control reports, including
disaster recovery procedures, business continuity plans, and
confirmations from its key service providers regarding the
measures that they take in this regard. The IT and cyber security
policies of all key service providers have also been reviewed
by the Board. The Board has considered the increased risk of
cyber-attacks and received reports and assurance from the
Company’s key service providers regarding information security
in place.
The following are other risks identified by the Board which could have a major impact on the Company but due to mitigation
are not deemed to be principal risks.
Other Risks Mitigating Action Risk
Gearing risk (unchanged)
The Company uses both long term and short term
borrowings to increase the funds available for investment.
These arrangements increase the funds available for
investment and while this has the potential to enhance
investment returns in rising markets, in falling markets the
impact could be detrimental.
Gearing is monitored and strict restrictions on borrowings are
imposed: gearing continues to operate within pre-agreed
limits so as not to exceed 25% of NAV at the time of draw
down.
21
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information GeneralGovernance
Other Risks Mitigating Action Risk
Dividend risk (unchanged)
There is a risk that the Company fails to generate
sufficient income from its investment portfolio to meet the
Company’s dividend requirements. As the portfolio has only
recently been established, there is less historic evidence on
which to assess its income-generating characteristics and
the timing and sustainability of income from the underlying
holdings.
The Board reviews estimates of revenue income and
expenditure prepared by the Manager, which look forward
up to five years. The Company’s level of revenue reserves
is monitored and can be added to in years of surplus or
used to support the dividend in years where there is a
revenue deficit. Furthermore, the dividend risk is mitigated
by the Company’s ability to distribute realised capital gains
if required to meet any revenue shortfall. With the level
of income paid and the capital reserves in the year, the
Company has been able to raise its dividend.
The principal risks associated with an investment in the Company’s shares can be found in the pre-investment disclosure
document (“PIDD”) published by the Manager, which is available from the Company’s website: murray-income.co.uk.
Promotional Activities
The Board recognises the importance of promoting the Company to existing and prospective investors both for improving
liquidity and enhancing the rating of the Company’s shares. The Company, supported by the Manager, participates in an
investor relations programme which involves regional roadshows, promotional and public relations campaigns. The Manager’s
marketing and investor relations teams report to the Board on a quarterly basis giving analysis of their activities as well as updates
on the shareholder register and any changes in the make-up of that register.
Communicating the long-term attractions of the Company is key. The promotional programme includes commissioning
independent paid for research on the Company, most recently from Kepler Partners LLP a copy may be found on the
Company’s website.
The UK Stewardship Code and Proxy Voting
The Company supports the UK Stewardship Code 2026 and seeks to play its role in supporting good stewardship of the
companies in which it invests. Responsibility for actively monitoring the activities of portfolio companies has been delegated by
the Board to the Manager.
The Manager’s Annual Stewardship Report for 2025 may be found at www.artemisfunds.com/srp/documents.
While delivery of stewardship activities has been delegated to the Manager, the Board acknowledges its role in setting the tone
for the effective delivery of stewardship on the Company’s behalf.
The Board has also given discretionary powers to the Manager to exercise voting rights on resolutions proposed by the investee
companies within the Company’s portfolio. The Manager reports to the Board on a six monthly basis on stewardship (including
voting) issues and additional information may be found on page 14.
Global Greenhouse Gas Emissions and Streamlined Energy and Carbon Reporting (“SECR”)
All of the Company’s activities are outsourced to third parties. The Company therefore has no greenhouse gas emissions to
report from the operations of its business, nor does it have responsibility for any other emissions producing sources under the
Companies Act 2006 (Strategic Report and Directors’ Reports) Regulations 2013. For the same reason as set out above, the
Company considers itself to be a low energy user under the SECR regulations and therefore is not required to disclose energy
and carbon information. Further information on the Manager’s obligatory disclosures under the Taskforce on Climate-related
Financial Disclosures (“TCFD”) may be found on the Company’s website as the “TCFD Portfolio Report”.
Overview of Strategy continued
22
Murray Income Trust Annual Report 2026
Viability Statement
As explained in the Chair’s Statement the Board has
undertaken a strategic review of the Company, and the
following statement takes account of the changes that have
arisen for the Company as a result of that review.
The Board regards the Company, which has no fixed life, as
a long term investment vehicle but for the purposes of this
viability statement has decided that a period of five years
(the “Review Period”) is an appropriate timeframe over which
to report.
In assessing the viability of the Company over the Review
Period the Directors have focused upon the following factors:
• the Company’s principal risks and uncertainties as set out
in the Strategic Report on pages 19 to 21;
• the relevance of the Company’s investment objective;
• the demand for the Company’s shares as indicated by
the level of premium and/or discount;
• the level of income generated by the Company’s
portfolio as compared to its expenses;
• the overall liquidity of the Company’s investment portfolio;
• the £40m senior loan notes and £60m senior loan notes,
which are repayable in 2027 and in 2029, respectively,
and any likelihood of them breaching their covenants;
and
• the requirement for the Company to repay its three year
£30 million bank loan facility at its maturity in October 2027.
In making this assessment, the Board has considered in
particular a large economic shock, such as another global
pandemic, a period of increased stock market volatility
and/or markets at depressed levels, a significant reduction in
the liquidity of the portfolio, or persistent inflationary pressures,
or changes in investor sentiment or regulation, and how
these factors might affect the Company’s prospects and
viability in the future. The Board undertook scenario analysis,
incorporating income forecasting, in reaching its conclusions,
but recognising that the Company’s expenses are significantly
lower than its total income.
Taking into account the Company’s current position and the
potential impact of its principal risks and uncertainties, the
Directors have a reasonable expectation that the Company
will be able to continue in operation and meet its liabilities as
they fall due for a period of five years from the date of this
Report.
Performance, Financial Position and Outlook
A review of the Company’s activities and performance
during the year, including future developments, is set out
in the Chair’s Statement and in the Investment Manager’s
Report. These cover market background, investment activity,
portfolio strategy, dividend policy, gearing and investment
outlook. Acomprehensive analysis of the portfolio is provided
on pages 28 to 32 while the full portfolio of investments
is published monthly on the Company’s website, with a
three-month reporting lag. The Company’s Statement of
Financial Position on page 59 shows the assets and liabilities at
the year end. Borrowing facilities at the year-end comprised
a mix of fixed and floating debt: a three year £30 million
revolving credit facility, £40million of senior loan notes due for
repayment in 2027 and £60 million of senior loan notes due for
repayment in 2029. Details of these are shown in notes 14 and
15 to the financial statements, respectively.
The future strategic direction and development of the
Company is regularly discussed as part of Board meeting
agendas. The Company announced the outcome of its
Strategic Review on 20 November 2025 and that it had
entered into heads of terms to appoint Artemis Fund
Managers Limited (“Artemis”) as the Company’s new
alternative investment fund manager. Artemis assumed
responsibility for management of the Company’s portfolio
on2 March 2026.
Board Diversity
The Board supports the principle of boardroom diversity, of
which diversity of skills, gender and ethnicity are all important
aspects. Further information on Board diversity may be found
in the Directors’ Report on page 36.
Environmental, Social and Governance
(“ESG”) and Human Rights Issues
The Board delegates the management of the portfolio,
including assessment of ESG and human rights issues, to the
Manager.
Whilst the Company does not have a sustainability objective
and its investment policy does not have specific sustainability
characteristics, ESG analysis is integrated into the Manager’s
investment process and portfolio construction. ESG factors are
not the over-riding criteria in relation to investment portfolio
decisions but the Manager aims to enhance potential value
for shareholders, reduce risk and contribute positively by
embedding ESG throughout the investment process. Further
information may be found on pages 14 to 15.
The Company has no employees and, accordingly, there are
no disclosures to be made in respect of employees.
23
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information GeneralGovernance
Modern Slavery Act
Due to the nature of its business, being a company that
does not offer goods and services to customers, the Board
considers that the Company is not within the scope of
the Modern Slavery Act 2015 because it has no turnover.
The Company is therefore not required to make a slavery
and human trafficking statement. The Board considers the
Company’s supply chains, dealing predominantly with
professional advisers and service providers in the financial
services industry, to be low risk in relation to this matter.
The Strategic Report was approved by the Board and signed
on its behalf by:
Peter Tait
Chair
8 September 2026
Overview of Strategy continued
24
Murray Income Trust Annual Report 2026
Promoting the Success of the Company
The Board is required to report how it has discharged its duties
and responsibilities under section 172 of the Companies Act
2006 during the year. Under this requirement, the Directors
have a duty to promote the success of the Company for the
benefit of its members (shareholders) as a whole, taking into
account the likely long term consequences of decisions, the
need to foster relationships with the Company’s stakeholders,
and the impact of the Company’s operations on the
environment. In addition the Directors must act fairly between
shareholders and be cognisant of maintaining the reputation
of the Company.
The Purpose of the Company and Role of the
Board
The Company has been established as an investment vehicle
for the purpose of delivering its investment objective which
is set out on page 18 of this Report. Investment trusts, such
as the Company, are long-term investment vehicles that
are typically externally managed, have no employees, and
are overseen by an independent non-executive board of
directors.
The Board is responsible for all decisions relating to the
Company’s investment objective and policy, gearing,
corporate governance and strategy, and for monitoring the
performance of the Company’s third party service providers,
including the Manager.
The Board’s philosophy is that the Company should foster
a culture where all parties are treated with respect. The
Directors provide mutual support combined with constructive
challenge. Integrity, openness, accountability and diligence
are defining characteristics of the Board’s culture. The
Company has a number of policies and procedures in
place to aid a culture of good governance, such as those
relating to Directors’ conflicts of interests and dealings in
the Company’s shares, annual evaluation of Directors,
anti-bribery and anti-tax evasion. At its regular meetings, the
Board engages with the Manager to understand its culture
and receives regular reporting and feedback from the other
key service providers.
The Company’s primary stakeholders have been identified
as its shareholders, the Manager, other key third party service
providers, investee companies and lenders. The following
table sets out details of the Company’s engagement.
Shareholders
The Directors place great importance on communication with shareholders. Further details on the Company’s
relations with shareholders, including its approach to the Annual General Meeting and investor relations, can be
found in the Directors’ Report on pages 41 and 42.
Manager
The Investment Manager’s Report on pages 7 to 11 details the key investment decisions taken during the year.
The Board engages with the Manager at every Board meeting and receives presentations from the Manager to
help it to exercise effective oversight of the Investment Manager and delivery of the Company’s strategy. The
Board also receives regular updates from the Manager outside of these meetings.
Other Key Third
Party
Service
Providers
The Board ensures that it promotes the success of the Company by engaging specialist third party suppliers with
the resources, controls and performance records to deliver the service required. The Board seeks to maintain
constructive relationships with its key service providers (the Company Secretary, depositary and broker) either
directly, or through the Manager, with ongoing dialogue and formal regular meetings. The Audit Committee
conducts an annual assessment of key service providers as set out in the Committee’s report on page 47. The
Board seeks regular assurance that key third party service providers have in place appropriate business continuity
plans and disaster recovery plans, together with policies and procedures designed to address the risks posed to the
Company’s operations by cyber-crime and other IT related issues.
Investee
Companies
The Board is committed to investing in a responsible manner and actively monitors the activities of investee
companies through its delegation to the Manager. In order to achieve this, the Manager has discretionary
powers to exercise voting rights on resolutions proposed by the investee companies and reports quarterly to the
Board on stewardship issues, including voting. The Board monitors investments made and divested and questions
the rationale for exposures taken and voting decisions made.
Information on how the Manager engages with investee companies may be found on page 14.
Lenders to the
Company
On behalf of the Board, the Manager maintains a positive working relationship with the provider of the
Company’s multi-currency loan facility and the holders of the Company’s Senior Loan Notes, assuring
compliance with lenders’ covenants and providing regular updates on business activity where sought.
25
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information GeneralGovernance
Specific Examples of Stakeholder
Consideration During the year
While the importance of giving due consideration to the
Company’s stakeholders is not a new requirement, and is
considered as part of every Board decision, the Directors
were particularly mindful of stakeholder considerations when
reaching the following decisions during the year.
Strategic Review Resulting in the Change of
Manager
Following the Board’s strategic review, announced in July 2025,
the Board undertook a comprehensive assessment of the
Company’s future investment management arrangements,
considering proposals from the incumbent manager, third-party
investment managers and other investment companies.
Throughout the process, the Board’s primary objective was
to deliver improved long-term shareholder returns while
maintaining the Company’s investment objective, progressive
dividend policy and other key characteristics. Following careful
evaluation, the Board announced the appointment of Artemis
as the Company’s new AIFM, concluding that its investment
expertise, long-term performance record and marketing
capabilities were best placed to support the Company’s
future success and deliver sustainable value for shareholders.
As part of the new investment management agreement, the
annual investment management fee payable to Artemis is
calculated by reference to the lower of the Company’s market
capitalisation or cum-income net asset value (with debt at fair
value).
Appointment of Northern Trust
As part of the changes to the Company’s management and
service provider arrangements, with effect from 2 March 2026,
Northern Trust Investor Services Limited were appointed as
the Company’s Depositary and The Northern Trust Company
(London Branch) as Custodian.
Dividends Paid to Shareholders
The level, frequency and timing of dividends paid are key
considerations for the Board, taking into account net earnings
for the year and the Company’s objective of providing
shareholders with a high and growing income, combined with
the Company’s “Dividend Hero” status. The total dividend per
share for the year of 41.00p represents an increase of 2.5% on
the previous year. Dividends are paid quarterly with the four
payments equalised insofar as is practical.
Share Buybacks
During the year the Company bought back 4,598,500
(2025 – 6,772,817) Ordinary shares into treasury, providing
a 0.4% accretion to the NAV. Shares were bought back on an
opportunistic basis at times when the discount to the NAV per
share had widened during normal market conditions.
These purchases represented 4.7% (2025: 6.5%) of the shares
outstanding at the beginning of July 2025. It is the view of
the Board that this policy remains in the best interests of all
shareholders.
Direct Shareholder Engagement
The Board undertook an exercise to contact and identify
shareholders holding their interests through investment
platforms and other nominee arrangements.
Appointment of a Director
Jane Lewis (see page 35 for biographical information) was
appointed a Director on 1 May 2026 following an external
search. Jane is the Chair-designate for the Company and is
expected to take over from Peter Tait at the conclusion of the
forthcoming AGM.
Promoting the Success of the Company continued
26
Murray Income Trust Annual Report 2026
Portfolio
27
Murray Income Trust Annual Report 2026
Ten Largest Investments
As at 30 June 2026
NatWest Group, Lloyds Banking Group and Barclays
More than a decade of de-risking and re-building capital buffers after the financial crisis, combined with
a substantial tailwind to profitability through normalised interest rates that persists today, has seen the UK
domestic banks significantly increase their shareholder returns through growing dividends and substantial
share buybacks. The structure of the banking industry in the UK favours the incumbents we think but we
continue to monitor regulatory and competitive developments closely.
Aviva
UK’s leading multi-line insurer. It has simplified its portfolio over a period of many years but still counts
some 21 million customers (40% of adults) in the UK. A multi-year investment into technology and systems
has improved Aviva’s understanding of its customers and their needs, and also – we believe - equips the
company well to potentially take more market share going forward.
GSK
UK’s second largest pharmaceutical company that has under-performed peers for many years. We think
GSK’s vaccines business is better than is given credit for and an overhaul in its research & development
division could improve productivity. GSK shares trade on a cheaper valuation multiple than the majority of
its European peers.
Tesco
UK’s largest supermarket, commanding a market share of almost 30%. It is leveraging its scale and strong
balance sheet to continue taking market share across the spectrum of customers, and we believe it
has a technological advantage over peers. Furthermore, its Clubcard dataset – which is one of the best
consumer behaviour datasets in the UK in our view – could open new revenue and profit streams for Tesco
going forward.
Informa
World’s largest owner of face-to-face business events, an industry that continues to grow despite some
geopolitical and covid-induced challenges in recent years. These assets are rare, enduring and create
significant value both for their host locations and attendees. Informa is more than 2.5x larger than its closest
competitor and is a truly global business with less than 5% of revenues generated in the UK.
IG Group
Highly profitable, global fintech company that operates in the structurally growing market for self-directed
trading and investment. It continues to expand and improve its product offering which has helped to
attract new customers and we believe sets the company up well to continue growing profits and cash flow
going forward.
Imperial Brands
Highly cash generative tobacco company that has returned a substantial amount of cash to investors in
recent years through a combination of dividends and buying back its own shares. We are circumspect to
the challenges faced by the industry, with respect to regulation and next generation products (NGPs), but
a low valuation has helped to compensate for these risks.
Pearson
One of the world’s leading education brands. Far from just being a textbook publisher, it is an increasingly
technologically led company that is exposed to the learning industry more broadly, with customers of all
ages, and it also owns the world’s largest assessment and qualifications business. This contributes two thirds of
group cash flow, and in our view, is increasingly valuable in a world of AI.
28
Murray Income Trust Annual Report 2026
Portfolio
As at 30 June 2026
Investment FTSE All-Share Sector Country
A
Valuation
2026
£’000
Total
investments
%
Valuation
2025
£’000
NatWest Group Banks UK 49,379 4.7 –
Lloyds Banking Group Banks UK 46,300 4.4 –
Barclays Banks UK 44,935 4.3 –
Aviva Life Insurance UK 44,007 4.2 –
GSK Pharmaceuticals and Biotechnology UK 43,912 4.2 –
Tesco Personal Care, Drug and Grocery Stores UK 42,729 4.1 –
Informa Media UK 40,480 3.9 –
IG Group
Investment Banking and
Brokerage Services
UK 38,165 3.6 –
Imperial Brands Tobacco UK 36,539 3.5 –
Pearson Media UK 35,766 3.4 –
Top ten investments 422,212 40.3
BP Oil, Gas and Coal UK 34,116 3.3 –
SEGRO Real Estate Investment Trusts UK 31,505 3.0 –
3i Group
Investment Banking and
Brokerage Services
UK 27,904 2.7 –
RELX Media UK 26,507 2.5 48,656
London Stock Exchange Finance and Credit Services UK 26,460 2.5 20,313
Next Retailers UK 25,533 2.4 –
Legal and General Life Insurance UK 24,332 2.3 –
Smith and Nephew Medical Equipment and Services UK 22,852 2.2 –
ITV Media UK 22,592 2.2 –
M&G
Investment Banking and
Brokerage Services
UK 21,922 2.1 19,956
Top twenty investments 685,935 65.5
Smiths Group General Industrials UK 21,745 2.1 –
Whitbread Travel and Leisure UK 21,571 2.1 –
Standard Life Life Insurance UK 21,442 2.0 –
Anglo American Industrial Metals and Mining UK 21,345 2.0 17,820
Shell Oil, Gas and Coal UK 21,020 2.0 20,939
RS Group Industrial Support Services UK 20,217 1.9 10,492
AstraZeneca Pharmaceuticals and Biotechnology UK 20,203 1.9 46,434
Rosebank Industries Electronic and Electrical Equipment UK 19,834 1.9 –
LondonMetric Real Estate Investment Trusts UK 16,493 1.6 22,044
easyJet Travel and Leisure UK 14,752 1.4 –
Top thirty investments 884,557 84.4
A
Country of Incorporation
29
Overview
Strategic Report
Portfolio
Financial
Statements
Corporate
Information GeneralGovernance
As at 30 June 2026
Investment FTSE All-Share Sector Country
A
Valuation
2026
£’000
Total
investments
%
Valuation
2025
£’000
SSE Electricity UK 14,570 1.4 23,030
Haleon Pharmaceuticals and Biotechnology UK 14,428 1.4 23,787
Berkeley Household Goods and Home Construction UK 13,585 1.3 10,962
Burberry Personal Goods UK 12,875 1.2 –
Diageo Beverages UK 12,499 1.2 32,970
Glanbia Food Producers Ireland 11,093 1.1 –
Ebro Foods Food Producers Spain 10,520 1.0 –
Reckitt Benckiser Group Personal Care, Drug and Grocery Stores UK 10,106 1.0 20,860
IMI Electronic and Electrical Equipment UK 9,980 1.0 –
Corbion N.V. Materials Netherlands 9,671 0.9 –
Top forty investments 1,003,884 95.9
SSP Group Travel and Leisure UK 9,538 0.9 –
Dr Martens Personal Goods UK 9,269 0.9 –
Standard Chartered Banks UK 7,598 0.7 –
Plus500 Limited
Investment Banking and
Brokerage Services
Israel 6,822 0.7 –
C&C Group Beverages Ireland 5,359 0.5 –
Origin Enterprise Food Producers Ireland 4,752 0.4 –
Total investments 1,047,222 100.0
A
Country of Incorporation
All portfolio holdings are in ordinary shares unless otherwise stated.
Portfolio continued
30
Murray Income Trust Annual Report 2026
Sector Comparison with the Benchmark
Investments held at 30 June 2026 (percentage of portfolio)
Investments held at 30 June 2025 (percentage of portfolio)
Basic Materials
Consumer Discretionary
Consumer Staples
Energy
Financials
Health Care
Industrials
Real Estate
Technology
Telecommunications
Utilities
0% 5% 10% 15% 20% 25% 40%35%30%
Company FTSE All-Share
Basic Materials
Consumer Discretionary
Consumer Staples
Energy
Financials
Health Care
Industrials
Real Estate
Technology
Telecommunications
Utilities
0% 5% 10% 15% 20% 25% 30%
Company FTSE All-Share
31
Overview
Strategic Report
Portfolio
Financial
Statements
Corporate
Information GeneralGovernance
Summary of Investment Changes During the Year
Valuation
Net Transactions
Valuation
30 June 2025 Gains/(losses) 30 June 2026
Equities £’000 % £’000 £’000 £’000 %
UK 826,448 81.6 117,207 55,350 999,005 95.4
Finland 20,628 2.0 (20,870) 242 – –
France 54,016 5.4 (71,567) 17,551 – –
Germany 7,686 0.8 (8,776) 1,090 – –
Ireland – – 19,218 1,986 21,204 2.0
Israel – – 5,989 833 6,822 0.7
Netherlands 9,633 1.0 (4,786) 4,824 9,671 0.9
Norway 13,137 1.3 (15,680) 2,543 – –
Singapore 27,368 2.7 (34,499) 7,131 – –
South Africa 2,135 0.2 (2,161) 26 – –
Spain – – 11,533 (1,013) 10,520 1.0
Sweden 20,979 2.1 (24,693) 3,714 – –
Taiwan 9,652 1.0 (13,192) 3,540 – –
United States 19,366 1.9 (18,380) (986) – –
1,011,048 100.0 (60,657) 96,831 1,047,222 100.0
32
Murray Income Trust Annual Report 2026
Governance
33
Stephanie Eastment
Senior Independent
Non-Executive Director
Appointment
Appointed a Director on 2 August 2018
and Senior Independent Director on
5 November 2024. Previously Chair of the
Audit Committee from 5 November 2018
to 5 November 2024.
Experience and other public company
directorships:
Stephanie Eastment was formerly Head of
Specialist Fund Accounts and Corporate
Secretariat at Invesco Perpetual. Her
career spans over 35 years working in
financial services. She qualified while at
KPMG and is a Fellow of The Institute of
Chartered Accountants in England &
Wales and is a Fellow of The Chartered
Governance Institute UK and Ireland. She
is an independent non-executive director
and audit chair of Herald Investment Trust
plc and Alternative Income REIT plc. She
is an independent non-executive director
of RBS Collective Investment Funds
Limited.
Committee Membership:
Audit Committee, Management
Engagement Committee, Nomination
Committee and Remuneration
Committee (Chair).
Contribution:
The Nomination Committee has
reviewed the contribution of Stephanie
Eastment in light of her proposed
re-election at the forthcoming AGM.
She has both financial and governance
expertise, and a wealth of experience
in the investment trust sector enabling
her to bring a wider understanding and
breadth of knowledge to the Company
from across the investment industry.
This has proved invaluable to the Board
and complements her role as the Senior
Independent Director.
Nandita Sahgal Tully
Independent Non-Executive
Director and Chair of the
Audit Committee
Appointment
Appointed a Director on 3 November
2021 and Chair of the Audit Committee
on 5 November 2024.
Experience and other public company
directorships:
Nandita Sahgal Tully was appointed a
Director on 3 November 2021 and Chair
of the Audit Committee on 5 November
2024. She is a founder and Director of
EM Impact Capital Ltd, an independent
advisory firm focused on energy transition
in emerging markets. Previously, she was
a Managing Director and member of the
Investment Committee at ThomasLloyd
Group Ltd, an ting in sustainable
infrastructure. Prior to this, she was Chief
Executive Officer at IL&FS Global Financial
Services (UK) Ltd. She has over 25 years’
financial markets experience working
in asset management, equity capital
markets and M&A at ThomasLloyd Group,
Insinger de Beaufort and Seymour Pierce.
She is a Fellow of the Institute of Chartered
Accountants in England and Wales and
a Member of the Chartered Institute for
Securities and Investment. She is also an
independent non-executive director and
audit chair of Pacific Assets Trust plc.
Committee Membership:
Audit Committee (Chair), Management
Engagement Committee, Nomination
Committee and Remuneration
Committee.
Contribution:
The Nomination Committee has
reviewed the contribution of Nandita
Sahgal Tully in light of her proposed
re-election at the forthcoming AGM and
has assessed that she chairs the Audit
Committee expertly, as well as bringing
to the Board both financial services and
investment management expertise with
a particular focus on sustainability.
Peter Tait
Chair of the Board
Appointment
Appointed a Director on 7 November
2017, Senior Independent Director on
2 November 2021 and Chair of the
Board on 7 November 2023. Peter will
not be standing for re-election at the
forthcoming AGM.
Experience and other public company
directorships:
Peter Tait retired from the Nestlé
Group where he was initially Head of
Investments for the Nestlé UK Pension
Fund and then CEO & CIO of Nestlé
Capital Management. Prior to Nestlé he
worked for many years in the investment
management industry managing
portfolios for investment trusts, pension
funds and charitable foundations.
During that time he was a managing
director at BlackRock International and,
before that, a director of Dunedin Fund
Managers and a portfolio analyst at
Scottish Widows Life Assurance Fund.
Committee Membership:
Management Engagement Committee
(Chair), Nomination Committee (Chair)
and Remuneration Committee.
Contribution:
The Nomination Committee has
reviewed the contribution of Peter Tait
and thanked him for his contribution
to the Board over his tenure. After
completing his term of nine years on the
Board, Peter will not be standing for re-
election at the forthcoming AGM.
C C C C
Board of Directors
34
Murray Income Trust Annual Report 2026
Committees
Management Engagement
Nomination
Remuneration
Audit
C
Chair
Angus Franklin
Independent Non-Executive
Director
Appointment
Appointed a Director on 1 January 2024.
Experience and other public company
directorships:
Angus Franklin was a former investment
partner of Baillie Gifford & Co, where
he worked for 28 years until April
2022, primarily managing portfolios
of international equities. Latterly, he
was head of the international alpha
investment strategy and chaired the
firm’s investment management group.
His previous responsibilities at Baillie Gifford
& Co. included membership of the firm’s
management committee and chairing
the audit committee. He is a Member of
the Institute of Chartered Accountants in
England and Wales. He is a member of
the investment committee of the National
Trust for Scotland and a trustee of the
St Andrews Preservation Trust.
Committee Membership:
Audit Committee, Management
Engagement Committee, Nomination
Committee and Remuneration
Committee.
Contribution:
The Nomination Committee has
reviewed the contribution of Angus
Franklin in light of his proposed
re-election at the forthcoming AGM
and considers that he continues to bring
to the Board considerable expertise in
investment management.
Andrew Page
Independent Non-Executive
Director
Appointment
Appointed as Director on 17 January
2025.
Experience and other public company
directorships:
Andrew Page was senior independent
director of Schroder UK Mid Cap
Fund plc until March 2024 and senior
independent director of JP Morgan
Emerging Markets Investment Trust plc
until November 2024. Andrew was,
until August 2014, the chief executive
officer of The Restaurant Group plc
(“TRG”), a FTSE 250 company operating
460 restaurants throughout the UK. He
has previously served as both chair
and senior independent director on
several listed company boards and has
also served as chair of Private Equity
owned businesses. Prior to joining TRG in
2001, Andrew held a number of senior
positions within the leisure and hospitality
sector including senior vice president
with InterContinental Hotels. Before that
he spent six years with Kleinwort Benson’s
Corporate Finance department. He is
a Member of the Institute of Chartered
Accountants in England and Wales.
Committee Membership:
Audit Committee, Management
Engagement Committee, Nomination
Committee and Remuneration
Committee.
Contribution:
The Nomination Committee has
reviewed the contribution of Andrew
Page in light of his proposed election
at the forthcoming AGM and considers
that he brings to the Board considerable
commercial expertise in addition to
recent experience as an investment trust
director.
Jane Lewis
Independent Non-Executive
Director
Appointment
Appointed as Director on 1 May2026.
Jane is the Chair-designate and
expected to be appointed as Chair
following the conclusion of the AGM.
Experience and other public company
directorships:
Jane joined the Board on 1 May 2026
as a Director and Chair-designate. She
has held Non-Executive Directorships on
a number of Investment Trusts, including
as Chair. She was, until 2013, a Director
of Corporate Finance and Broking at
Winterflood Investment Trusts. Prior to
this she worked at Henderson Global
Investors and Gartmore Investment
Management Limited in investment trust
business development and at West LB
Panmure as an investment trust broker.
Jane has a BA and LLB and also holds
the Securities Institute Diploma and the
Investment Management Certificate.
Jane is also a Non-Executive Director of
Majedie Investments plc.
Committee Membership:
Audit Committee, Management
Engagement Committee, Nomination
Committee and Remuneration Committee.
Contribution:
The Nomination Committee has reviewed
the contribution of Jane Lewis in light of
her proposed election at the forthcoming
AGM and considers that she brings to the
Board considerable relevant expertise.
35
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information General
Governance
Directors’ Report
Results and Dividend Policy
The financial statements for the year indicate a total return
attributable to equity shareholders for the year of £132,650,000
(2025 – £22,880,000) and an explanation for the Company’s
financial performance may be found in the Chair’s Statement
on pages 3 to 6.
Dividends paid during the year
Declared Paid
Pence
per share
04 November 2025 11 December 2025 9.50p
21 January 2026 12 March 2026 9.50p
11 May 2026 18 June 2026 9.50p
On 30 July 2026, the Company announced a fourth interim
dividend payable on 10 September 2026 of 12.50p per share
(2025 – 11.50p). This dividend has an ex-dividend date of 6 August
2026 and a record date of 7 August 2026. This resulted in total
dividends of 41.00p per share for the year ended 30 June 2026, an
increase of 2.5% on the 40.00p per share paid for the prior year,
which represented the 53rd year of consecutive growth in the
Company’s annual dividend.
The Board is proposing to maintain the dividend policy of
paying four quarterly interim dividends each year. In line with
good corporate governance, the Board therefore proposes
to put the Company’s dividend policy to shareholders for
approval at the forthcoming AGM, as resolution 4.
Principal Activity and Status
The Company, which was incorporated in 1923, is registered
as a public limited company in Scotland under company
number SC012725 and is an investment company within the
meaning of Section 833 of the Companies Act 2006.
The Company has been accepted by HM Revenue & Customs
as an investment trust subject to the Company continuing to
meet the relevant eligibility conditions of Section 1158 of the
Corporation Tax Act 2010 and the ongoing requirements of Part
2 Chapter 3 Statutory Instrument 2011/2999 for all financial years
commencing on or after 1 July 2012. The Directors are of the
opinion that the Company has conducted its affairs during the
Year so as to enable it to comply with the ongoing requirements
for investment trust status. The Company has conducted its
affairs so as to satisfy the requirements as a qualifying security
for Individual Savings Accounts. The Directors intend that the
Company will continue to conduct its affairs in this manner.
Capital Structure and Voting Rights
At 30 June 2026, the Company had 93,313,684
(2025–97,912,184 ) fully paid Ordinary shares of 25p each
in issue, with voting rights, and an additional 26,215,848
(2025– 21,617,348) shares in Treasury. During the
year, 4,598,500 Ordinary shares were bought back into
Treasury (2025–6,772,817).
Ordinary shareholders are entitled to vote on all resolutions
which are proposed at general meetings of the Company.
The Ordinary shares, excluding shares in Treasury, carry a
right to receive dividends. On a winding up, after meeting
the liabilities of the Company, the surplus assets will be paid
to Ordinary shareholders in proportion to their shareholdings.
There are no restrictions on the transfer of Ordinary shares
in the Company other than certain restrictions which may
be applied from time to time by law (for example, laws
prohibiting insider trading).
Manager and Company Secretary
Until 2 March 2026, abrdn Fund Managers Limited (the “Previous
Manager”) was appointed by the Company as the Company’s
Alternative Investment Fund Manager (“AIFM”). The Previous
Manager provided investment management, risk management,
administration and company secretarial services, as well as
promotional activities. The Company’s portfolio was managed
by abrdn Investments Limited by way of a group delegation
from the Previous Manager. The Previous Manager had also sub-
delegated promotional activities to abrdn Investments Limited
and administrative and secretarial services to abrdn Holdings
Limited.
With effect from 2 March 2026 Artemis Fund Managers
Limited was appointed as the Company’s AIFM. Under the
new investment management agreement, Artemis provides
investment management, risk management, administration and
marketing services to the Company. Portfolio management
has been delegated by the AIFM to Artemis Investment
Management LLP (the “Investment Manager”).
At the same time, NSM Funds (UK) Limited (“NSM”) was
appointed as Company Secretary under a separate Company
Secretarial Services Agreement, replacing abrdn Holdings
Limited.
Under the previous management arrangements, from 1 July
2024 until 1 March 2026, annual fees payable to the Previous
Manager were 0.35% on up to £1.1 billion of net assets and
0.25% on any net assets in excess of £1.1 billion. The value of
any investments in unit trusts, open-ended and closed-ended
investment companies and investment trusts of which the
Previous Manager, or another company within Aberdeen Group
plc, was the operator, manager or investment adviser was
deducted from net assets when calculating the fee.
Peter Tait, Chair
The Directors present their report and
the audited financial statements for the
year ended 30 June 2026 (“the Year”).
36
Murray Income Trust Annual Report 2026
Under the new investment management agreement, the
annual investment management fee payable to Artemis is
calculated by reference to the lower of the Company’s market
capitalisation or cum-income net asset value (with debt at fair
value), at the rate of 0.40% per annum on the first £750 million,
0.375% per annum on the next £250 million and 0.35% per annum
on amounts in excess of £1 billion. The fee accrues daily and is
payable monthly in arrears.
Artemis has agreed to waive its investment management fee
for the first nine months following its appointment. Accordingly,
no investment management fee is payable to Artemis for
the period from 2 March 2026 to 1 December 2026, with the
new management fee commencing on 2 December 2026.
In calculating the fee, an amount equal to any fees suffered
by the Company as a result of investment in funds managed,
operated or advised by Artemis, the Investment Manager or
their respective associates is deducted from the fee otherwise
payable.
The investment management agreement is terminable by either
the Company or Artemis on not less than three months’ written
notice. In certain circumstances, including where the Company
terminates the agreement without giving the full notice period,
compensation may be payable to Artemis in lieu of the
unexpired notice period.
Under the previous arrangements, an annual secretarial fee of
£75,000 (plus applicable VAT) was payable to abrdn Holdings
Limited. With effect from 2 March 2026, an annual company
secretarial fee of £90,000 (plus applicable VAT) is payable to
NSM. The first £100,000 per annum of the Company’s costs, fees
and expenses in connection with the provision of company
secretarial services under the new agreement, plus applicable
VAT, is borne by Artemis. This annual contribution by Artemis will
increase in line with the percentage increase applied to NSM’s
fixed fees. The Company is responsible for the £10,000 transfer-
in fee and any additional or out-of-pocket costs payable in
accordance with the Company Secretarial Services Agreement.
Under the previous arrangements, an annual fee equivalent to
up to 0.05% of gross assets (calculated at 30 September each
year and capped at £400,000, excluding VAT) was payable
in respect of promotional activities undertaken on behalf of
the Company. Under the new arrangements, marketing and
promotional activities form part of the services provided by
Artemis. The Company and Artemis agree an external marketing
budget through the annual budgeting process and each
contributes to that budget in equal proportions. In addition,
Artemis has agreed to contribute a further £150,000 to the
external marketing budget in respect of the 12 months following
its appointment.
Finance costs and investment management fees are charged
70% to capital and 30% to revenue in line with the Board’s
expectation of the split of future investment returns.
The management, company secretarial and other relevant
fees payable during the year are shown in notes 4 and 5 to the
financial statements.
External Agencies
The Board has contractually delegated to external agencies,
including the Manager and other service providers, certain
services including: the management of the investment
portfolio, the day-to-day accounting and company
secretarial requirements, the depositary services (which
include cash monitoring, the custody and safeguarding of
the Company’s financial instruments and monitoring the
Company’s compliance with investment limits and leverage
requirements) and the share registration services. Each
of these contracts was entered into after full and proper
consideration by the Board of the quality and cost of services
offered in so far as they relate to the affairs of the Company.
In addition, ad hoc reports and information are supplied to
the Board as requested.
Directors
The Directors of the Company during the Year and up to
the date of signing of this Report were as follows: Peter Tait,
Stephanie Eastment, Nandita Sahgal Tully, Angus Franklin and
Andrew Page. Jane Lewis was appointed as a Director on
1May 2026.
The Role of the Chair and Senior Independent Director
The Chair is responsible for providing effective leadership to
the Board by setting the tone of the Company, demonstrating
objective judgement and promoting a culture of openness
and debate. The Chair facilitates the effective contribution
of, and encourages active engagement by, each Director.
In conjunction with the Company Secretary, the Chair ensures
that Directors receive accurate, timely and clear information
to assist them with effective decision-making. The Chair acts
upon the results of the Board evaluation process by recognising
strengths and addressing any weaknesses and also ensures
that the Board engages with major shareholders and that all
Directors understand shareholder views.
The SID acts as a sounding board for the Chair and acts as
an intermediary for the other Directors, when necessary.
The SID takes responsibility for an orderly succession process
for the Chair and leads the annual appraisal of the Chair’s
performance. The SID is also available to shareholders to
discuss any concerns they may have.
37
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information General
Governance
The Board has resolved that the Company’s year end date is the most appropriate date for disclosure purposes. The following
information has been provided by each Director through the completion of questionnaires.
Table for reporting on gender as at 30 June 2026
Number of
Board
members
Percentage of
the Board
Number of
senior positions
on the Board
(CEO, CFO,
Chair and SID)
Number in
executive
management
Percentage of
executive
management
Men 3 50%
n/a
C
n/a
C
n/a
C
Women 3 50%
A
Not specified/prefer not to say – –
Table for reporting on ethnic background as at 30 June 2026
Number of
Board
members
Percentage of
the Board
Number of
senior positions
on the Board
(CEO, CFO,
Chair and SID)
Number in
executive
management
Percentage of
executive
management
White British or other White
(including minority-white groups)
5 83.4%
n/a
C
n/a
C
n/a
C
Asian/Asian British 1
B
16.6%
Not specified/prefer not to say – –
Notes:
A
Meets target that at least 40% of Directors are women as set out in LR 6.6.6R (9)(a)(i).
B
Meets target that at least one Director is from a minority ethnic background as set out in LR 6.6.6R (9)(a)(iii).
C
This column is not applicable as the Company is externally managed and does not have any executive staff, specifically it does not have either
a CEO or CFO. The Company considers that the roles of Chair of the Board, Senior Independent Director and Chair of the Audit Committee are
senior board positions and accordingly that the Company meets the requirement, as set out in LR 6.6.6R (9)(a)(ii), that at least one of the four
senior board positions is occupied by a woman. Although not applicable to the Company, it is noted that the target is met.
Directors’ Report continued
Management of Conflicts of Interest, Anti-Bribery Policy
and Tax Evasion Policy
The Board has a procedure in place to deal with a situation
where a Director has a conflict of interest. As part of this process,
the Directors prepare a list of other positions held and all other
conflict situations that may need to be authorised either in
relation to the Director concerned or his/her connected persons.
The Board considers each Director’s situation and decides
whether to approve any conflict, taking into consideration
what is in the best interests of the Company and whether the
Director’s ability to act in accordance with his/her wider duties
is affected. Each Director is required to notify the Company
Secretaries of any potential, or actual, conflict situations which
will need authorising by the Board. Authorisations given by the
Board are reviewed at each Board meeting.
The Board takes a zero-tolerance approach to bribery and
has adopted appropriate procedures designed to prevent
bribery. It is the Company’s policy to conduct all of its business
in an honest and ethical manner. The Company takes a zero-
tolerance approach to facilitation of tax evasion, whether under
UK law or under the law of any foreign country and its full policy
on tax evasion may be found on its website.
Board Diversity
The Board recognises the importance of having a range
of skilled, experienced individuals with the right knowledge
represented on the Board in order to allow it to fulfil its
obligations. The Board also recognises the benefits and is
supportive of, and will give due regard to, the principle of
diversity in its recruitment of new Board members. The Board will
not display any bias for age, gender, race, sexual orientation,
socio-economic background, religion, ethnic or national origins
or disability in considering the appointment of Directors.
The Board will continue to ensure that all appointments are
made on the basis of merit against the specification prepared
for each appointment. The Board will take account of the
targets set out in the FCA’s Listing Rules, which are set out below.
38
Murray Income Trust Annual Report 2026
Directors’ Insurance and Indemnities
The Company has indemnified each Director, as permitted
under its Articles of Association, against any liabilities
incurred by them as a Director of the Company in defending
proceedings, or in connection with any application to the
Court in which relief is granted. These qualifying indemnity
provisions were in force during the year. In addition, Directors’
and Officers’ liability insurance cover has been maintained
throughout the year at the expense of the Company.
Corporate Governance
The Company is committed to high standards of corporate
governance and its Statement of Corporate Governance is
set out on page 43.
Matters Reserved for the Board
The Board sets the Company’s objectives and ensures that its
obligations to its shareholders are met. It has formally adopted
a schedule of matters which are required to be brought to it
for decision, thus ensuring that it maintains full and effective
control over appropriate strategic, financial, operational and
compliance issues.
These matters include:
• the maintenance of clear investment objectives and risk
management policies;
• the monitoring of the business activities of the Company
ranging from analysis of investment performance through to
review of quarterly management accounts;
• monitoring requirements such as approval of the Half-Yearly
Report and Annual Report and financial statements and
approval and recommendation of any dividends;
• setting the range of gearing in which the Manager may
operate;
• major changes relating to the Company’s structure including
share buybacks and share issuance;
• Board appointments and removals and the related terms;
• authorisation of Directors’ conflicts or possible conflicts of
interest;
• terms of reference and membership of Board Committees;
• appointment and removal of the Manager and the terms
and conditions of the Management Agreement relating
thereto; and
• responsibility for approval of all circulars, listing particulars
and other releases concerning matters decided by
theBoard.
Full and timely information is provided to the Board to
enable it to function effectively and to allow the Directors to
discharge their responsibilities.
Board Committees
The Board has appointed a number of Committees as set out
below. Copies of their terms of reference, which define the
responsibilities and duties of each Committee, are available
on the Company’s website.
Audit Committee
The Audit Committee Report is on pages 47 to 49.
Management Engagement Committee
The terms and conditions of the Company’s agreement with the
Manager, set out on pages 36 and 37, are considered by the
Management Engagement Committee which comprises the
whole Board and is chaired by Peter Tait. The key responsibilities
of the Management Engagement Committee include:
• monitoring and evaluating the performance of the
Manager;
• assessing the Manager’s discharge of its responsibilities under
Consumer Duty;
• reviewing, at least annually, the continued retention of the
Manager; and
• reviewing, at least annually, the terms of appointment of
the Manager including, but not limited to, the level and
methodology of the management fees as well as the notice
period of the Manager.
In monitoring the performance of the Manager, the
Committee considers the investment record of the Company
over the short and long term, taking into account its
performance against the Benchmark, peer group investment
trusts and open-ended funds, and against its delivery of the
investment objective to shareholders. The Committee also
reviews the management processes, risk control mechanisms
and promotional activities of the Manager.
The Committee considered the continuing appointment of
the AIFM, notwithstanding that it had only been in place for a
relatively short period. In doing so, the Committee reviewed
the standard of service provided since appointment, the
resources and controls supporting the mandate and the terms
of the engagement. The Committee concluded that the
AIFM’s performance to date had been satisfactory and that
its continued appointment remained in the best interests of
the Company and its shareholders.
39
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information General
Governance
Consumer Duty
The FCA’s Consumer Duty rules are a fundamental
component of the FCA’s consumer protection strategy and
aim to improve outcomes for retail customers across the
entire financial services industry through the assessment of
various outcomes, one of which is an assessment of whether
a product provides value. Under the Consumer Duty, the
Manager is the product ‘manufacturer’ of the Company
and therefore the Manager is required to publish an annual
assessment. Aberdeen, prior to the transition, used its
proprietary assessment methodology to assess the Company
as ‘expected to provide fair value for the reasonably
foreseeable future’. Artemis will publish the next annual
assessment to 31 December 2026.
Nomination Committee
The Board has established a Nomination Committee,
comprising all of the Directors, chaired by Peter Tait. The
Committee is responsible for:
• determining the overall size and composition of the Board
(including the skills, knowledge, experience and diversity);
• undertaking longer term succession planning, including
setting a policy on tenure for Directors;
• undertaking an annual evaluation of the Directors, including
establishing that each Director possesses the capacity to
commit sufficient time to discharge their responsibilities;
• oversight of appointments to the Board, including open
advertising or engagement of independent search
consultants, with a view to attracting candidates from a
wide range of backgrounds and with different experience,
with due regard to the benefits of diversity on the Board;
• assessing, annually, the effectiveness and independence of
each Director; and
• making recommendations for the election or re-election of
any Director, having evaluated their individual performance,
capacity and contribution.
The Committee’s overriding priority in appointing new
Directors is to identify the candidate with the optimal range
of skills and experience to complement the existing Directors.
The Board also recognises the benefits, and is supportive, of
the principle of diversity in its recruitment of new Directors.
Cornforth Consulting, an independent recruitment firm with
no connection to the Company, was engaged for the search
which resulted in the appointment of Jane Lewis as a Director
and as Chair-designate. Given the recruitment was for a
chair-designate the SID, rather than the chair of the Board,
was in charge of the process.
Through the work of the Nomination Committee, the Directors
undertook a review of the Board, its Committees and the
performance of individual Directors. The internal process was
facilitated by the Company Secretary.
Following the evaluation process, the Board concluded that it
operates effectively to promote the success of the Company
and that each Director makes a significant contribution to the
collective Board. The review of the Chair was undertaken by
the Senior Independent Director.
The biographies of each of the Directors are shown on pages
34 to 35 and include their experience, length of service and the
contribution that each Director makes to the Board. Each Director
has the requisite high level and range of business and financial
experience which enables the Board to provide clear and
effective leadership and proper stewardship of the Company.
Policy on Tenure
The Committee has adopted a policy whereby all Directors
will stand for re-election at each AGM. In addition Directors,
including the Chair, will not stand for re-election as a Director
of the Company later than the AGM following the ninth
anniversary of their appointment to the Board unless in
relation to exceptional circumstances. Peter Tait, Chair of the
Board, will not stand for re-election following his ninth year
appointment anniversary. Subject to her election as a Director
by shareholders at the 29October 2026 AGM, Jane Lewis will
be appointed to succeed him as Chair.
Re-election of Directors
During the year, each Director attended all meetings for which
they were eligible, as set out in the table. The following table
sets out scheduled Board meetings for the year. In addition to
scheduled meetings, Directors attended a significant number
of additional meetings in the year as a result of the strategic
review and to enable the subsequent change of Manager.
These meetings are not shown in the table.
Board
Meetings
(5)
Audit
Committee
Meetings
(3)
Management
Engagement
Committee
Meetings
(1)
Nomination
Committee
Meetings
(2)
Remuneration
Committee
Meetings
(1)
Peter Tait
A
5 – 1 2 1
Stephanie
Eastment 5 3 1 2 1
Nandita
Sahgal
Tully 5 3 1 2 1
Angus
Franklin 5 3 1 2 1
Andrew
Page 5 3 1 2 1
Jane
Lewis
B
1 1 1 1 1
A
The Chair of the Board is not a member of the Audit Committee but
attended all of the meetings at the invitation of the Committee Chair.
B
Appointed as a Director on 1 May 2026 and attended all meetings for
which she was eligible.
Directors’ Report continued
40
Murray Income Trust Annual Report 2026
The Board as a whole believes that all the Directors remain
independent of the Manager and free of any relationship
which could materially interfere with the exercise of his or her
independent judgement on issues of strategy, performance,
resources and standards of conduct and confirms that,
following formal performance evaluations, the individuals’
performance continues to be effective and demonstrates
commitment to the role.
Stephanie Eastment, Nandita Sahgal Tully, Angus Franklin
and Andrew Page, each being eligible, offer themselves
for re-election as Directors of the Company at the AGM on
29 October 2026. Jane Lewis, being eligible, offers herself for
election as a Director of the Company.
Remuneration Committee
The Board has established a Remuneration Committee,
comprising all of the Directors, chaired by Stephanie
Eastment. The Directors’ Remuneration Report, on pages 44
to 46, sets out the responsibilities of the Committee and work
undertaken by the Committee during the year.
Accountability and Audit
The responsibilities of the Directors and the auditors in
connection with the financial statements appear on
pages 47, 49 and 51.
The Directors who held office at the date of this Report each
confirm that, so far as they are aware, there is no relevant audit
information of which the Company’s auditor is unaware and
that they have taken all the steps that they could reasonably
be expected to have taken as a Director in order to make
themselves aware of any relevant audit information and
to establish that the Company’s auditors are aware of that
information. Further, there have been no important, additional
events since the year end which warrant disclosure.
During the year, the external auditor performed agreed-upon
procedures in connection with the transition of administrative
services from BNP Paribas S.A., London Branch to Northern
Trust. The procedures included testing and reconciliation of
certain financial and accounting information transferred
between the outgoing and incoming administrators, with the
external auditor reporting its factual findings to the Company.
The fee for this work was £10,000 (2025: nil). After reviewing the
auditor’s procedures in connection with the provision of such
services, the Committee remain satisfied that the auditor’s
objectivity and independence is being safeguarded.
Going Concern
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. This conclusion is consistent with the longer term
Viability Statement on page 23.
The Company’s assets consist primarily of a diverse portfolio
of listed equity shares nearly all of which, in normal market
conditions, are realisable within a short timescale. The Board
has set limits for borrowing and regularly reviews the level
of any gearing, cash flow projections and compliance with
banking and loan note covenants.
The Directors are mindful of the principal risks and uncertainties
disclosed on pages 19 to 22, and have reviewed forecasts
detailing revenue and liabilities. The Directors are satisfied that the
Company has adequate resources to continue in operational
existence for the foreseeable future, being at least 12 months
from the date of approval of this Annual Report.
Relations with Shareholders
The Directors place great importance on communication
with shareholders noting that the Company’s shareholder
register is retail-dominated. The Manager, together with
the Company’s broker, regularly meets with current and
prospective shareholders to discuss performance. The Board
receives investor relations updates from the Manager on
at least a quarterly basis. Any significant changes in the
shareholder register as well as shareholder feedback is
discussed by the Directors at each Board meeting.
Regular updates are provided to shareholders through the
Annual Report, Half Yearly Report, monthly factsheets and
company announcements, all of which are available through
the Company’s website at: artemisfunds.com. The Annual
Report is also widely distributed to other parties who have an
interest in the Company’s performance.
The Board’s policy is to communicate directly with shareholders
and their representative bodies without the involvement of the
management group in situations where direct communication
is required and representatives from the Board offer to
meet with major shareholders on an annual basis in order to
gauge their views. The Company Secretary acts on behalf
of the Board, not the Manager, and there is no filtering of
communication. At each Board meeting the Board receives full
details of any communication from shareholders to which the
Chair responds, as appropriate, on behalf of theBoard.
In addition, in relation to institutional shareholders, members
of the Board may be either accompanied by the Manager or
conduct meetings in the absence of the Manager.
The Company’s Annual General Meeting ordinarily provides a
forum, both formal and informal, for shareholders to meet and
discuss issues with the Directors and Manager. The Notice of
AGM included within the Annual Report is normally sent out at
least 20 working days in advance of the meeting.
Relations with Suppliers, Customers and Others
The Directors have regard to the need to foster the Company’s
business relationships with suppliers, customers and others, and
their effect including on the principal decisions taken by the
41
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Financial
Statements
Corporate
Information General
Governance
Company during the financial year; further information on the
Company’s responsibilities under Section 172 of the Companies
Act 2006 may be found on pages 25 and 26.
Independent Auditor
Shareholders approved the re-appointment of
PricewaterhouseCoopers LLP as the Company’s auditor
at the AGM on 4 November 2025, and resolutions to
approve its re-appointment for the year to 30 June 2027,
and to authorise the Audit Committee to determine its
remuneration, will be proposed at the forthcoming AGM.
Substantial Interests
As at 30 June 2026 the following interests over 3% in the
issued Ordinary share capital of the Company (excluding
treasury shares) had been disclosed in accordance with
the requirements of the FCA’s Guidance and Transparency
Disclosure Rules:
Fund Manager Shares % at 30-Jun-2026
Interactive Investor
(Execution Only) 22,391,404 24.00
Hargreaves Lansdown
(Execution Only) 13,625,251 14.60
Rathbones 7,944,143 8.51
AJ Bell (Execution Only) 4,515,160 4.84
Halifax Share Dealing
(Execution Only) 3,452,820 3.70
The Company had not been notified of any change to the
above interests, as at 7 September 2026, being the latest
practicable date prior to approval of this Report.
Future Developments of the Company
Disclosures relating to the future developments of the
Company may be found in the Chair’s Statement on
pages 3 to 6.
Disclosures Required by FCA Listing Rule 9.8.4
This rule requires listed companies to report certain information
in a single identifiable section of their annual financial reports.
None of the prescribed information is applicable to the
Company in the year.
Financial Instruments
The financial risk management objectives and policies arising
from financial instruments and the exposure of the Company
to risk are disclosed in note 19 to the financial statements.
Annual General Meeting (“AGM”)
Among the special business being put to the AGM of the
Company to be held on 29 October 2026, the following
resolutions will be proposed:
Authority to allot shares and disapply pre-emption rights
(Resolutions 12 and 13)
Resolutions 12 and 13 seek to renew the Directors’ authority to
issue up to 5% of the Company’s issued share capital and to
issue or sell from treasury up to 10% of its issued share capital
without first offering those shares to existing shareholders. These
authorities will expire at the conclusion of the 2027 AGM or on
31 December 2027, whichever is earlier.
The Directors will use these authorities only where they consider
this would benefit shareholders as a whole. Any shares issued
or sold from treasury would be priced at a premium to the
prevailing net asset value per share. Shares would not be
issued in a way that would effectively change control of the
Company without prior shareholder approval.
Purchase of the Company’s own Ordinary shares
(Resolution 14)
Resolution 14 seeks to renew the Company’s authority to
buy back up to 14.99% of its issued share capital at the
date the resolution is passed. The authority would expire at
the conclusion of the 2027 AGM or on 31 December 2027,
whichever is earlier.
The authority would be used only where the Board considers
that a buyback would benefit shareholders and increase the
net asset value per share for the remaining shareholders. Any
shares purchased would be bought within the prescribed
price limits and either cancelled or held in treasury. Treasury
shares carry no voting or dividend rights but may subsequently
be sold, providing the Company with greater flexibility to
manage its share capital and support liquidity in its shares.
A General Meeting be called on 14 clear day’s notice
(Resolution 15)
Resolution 15 seeks to approve that, a general meeting, other
than an AGM, may be called on not less than 14 clear days’
notice.
Recommendation
The Directors believe that the resolutions to be proposed at
the AGM are in the best interests of the Company and its
shareholders as a whole, and recommend that shareholders
vote in favour of the resolutions, as the Directors intend to do
in respect of their own beneficial shareholdings, amounting to
36,154 Ordinary shares.
On behalf of the Board
Peter Tait
Chair
8 September 2026
Directors’ Report continued
42
Murray Income Trust Annual Report 2026
Statement of Corporate Governance
Murray Income Trust PLC (the “Company”) is committed to
maintaining high standards of corporate governance. The
Board is accountable to the Company’s shareholders for the
governance of the Company and this statement describes
the Company’s corporate governance arrangements
and how the Board has applied the relevant governance
principles during the year ended 30 June 2026 (the “year”).
The Board has considered the Principles and Provisions
of the AIC Corporate Governance Code published in
August 2024 (the “AIC Code”). The AIC Code addresses
the Principles and Provisions set out in the UK Corporate
Governance Code published in January 2024 (the “UK
Code”), as well as setting out additional provisions on matters
that are of specific relevance to investment companies.
The AIC Code applies to accounting periods beginning on
or after 1 January 2025, with the exception of the revised
Provision 34, which applies to accounting periods beginning
on or after 1 January 2026. Accordingly, the revised Provision
34 is not applicable to the Company for the Year.
The AIC Code has been endorsed by the Financial Reporting
Council (the “FRC”). The Board considers that reporting
against the Principles and Provisions of the AIC Code
provides more relevant information to shareholders regarding
the Company’s governance arrangements. By reporting
effectively against the AIC Code, the Company meets its
obligations in relation to the UK Code and the associated
disclosure requirements under the FCA’s UK Listing Rules.
The AIC Code is available on the Association of Investment
Companies’ website at theaic.co.uk and the UK Code is
available on the FRC’s website at frc.org.uk.
The Board confirms that, during the Year, the Company has
complied with the principles and provisions of the AIC Code
and the relevant provisions of the UK Code, except for those
provisions relating to:
• the role and responsibility of the chief executive;
• executive directors’ remuneration; and
• the requirement for an internal audit function.
The Board considers that these provisions are not relevant to
the position of the Company being an externally managed
investment company. In particular, all of the Company’s
day-to-day management and administrative functions are
outsourced to third parties. As a result, the Company has no
executive directors, employees or internal operations. The
Company has therefore not reported further in respect of
these provisions.
NSM Funds (UK) Limited was appointed the Company
Secretary in the year. The Company Secretary supports the
Board in ensuring that appropriate governance policies,
processes, information and resources are in place to enable
the Board to function effectively and efficiently and advises
the Board on governance matters. The appointment and
removal of the Company Secretary are matters reserved to
the Board as a whole.
Information on how the Company has applied the AIC Code,
the UK Code, the Companies Act 2006 and the applicable
FCA UK Listing Rules can be found elsewhere in this Annual
Report as follows:
• the composition and operation of the Board and its
Committees are detailed on pages 34 to 41, and on
page47 in respect of the Audit Committee;
• the Board’s policy on diversity and inclusion, together with
related information, is set out on page 38;
• the Company’s approach to risk management and
internal control, including the Board’s review of the
effectiveness of the Company’s risk management and
internal control systems, is detailed on pages 47 and 48;
• the contractual arrangements with the Manager are
set out on pages 36 and 37, while details of the Board’s
annual assessment of the Manager and the continuing
appointment of the Manager are set out on page 39;
• the Company’s capital structure and voting rights are
summarised on page 36;
• substantial interests disclosed in the Company’s shares are
set out on page 42;
• the rules concerning the appointment and replacement
of Directors are contained in the Company’s Articles of
Association and are summarised on pages 37 and 40.
There are no agreements between the Company and its
Directors providing for compensation for loss of office; and
• the authorities to issue, allot or buy back the Company’s
ordinary shares are sought from shareholders as
appropriate. Amendments to the Company’s Articles
of Association require the approval of shareholders by
special resolution. Further information regarding the
resolutions to be proposed to shareholders is set out on
pages 83 to 84.
By order of the Board
NSM Funds (UK) Limited as Company Secretary
8 September 2026
Corporate Governance Statement
43
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Financial
Statements
Corporate
Information General
Governance
Directors’ Remuneration Report
The Remuneration Committee, established by the Board, has
prepared this Directors’ Remuneration Report which consists
of three parts:
a) a Remuneration Policy, which is subject to a binding
shareholder vote every three years, was most recently
voted on at the AGM on 7 November 2023 where the
result of the poll on the relevant resolution was: For –
33,554,452 votes (99.2%); Against - 277,825 votes (0.8%);
and Withheld – 217,548 votes. The Remuneration Policy will
be put to a shareholder vote at the forthcoming AGM;
b) an annual Implementation Report, which is subject to an
advisory vote; and
c) an Annual Statement.
Company law requires the Company’s auditor to audit
certain of the disclosures provided in this report. Where
disclosures have been audited, they are indicated as such.
The independent auditor’s opinion is included on pages 51
to56.
The Remuneration Policy (the “Policy”) is subject to a binding
vote at least every three years, with the last vote being at
the 2023 AGM. There have been no changes to the Policy
during the year or subsequently and, following review by the
Committee, there are no proposed changes to the Policy. The
Policy to be voted on is shown below.
Remuneration Policy
This part of the Report provides details of the Company’s
Policy for Directors of the Company, which takes into
consideration corporate governance principles, and which
was approved by shareholders at the AGM in 2023. The Board
considers, where raised, shareholders’ views on Directors’
remuneration.
Fees for Directors are determined by the Board within the
limit stated in the Company’s Articles of Association (the
“Articles”). The Articles limit aggregate fees to £250,000 per
annum. The limit can be amended by shareholder resolution
and was last increased at the AGM in 2017.
The remuneration of Directors is reviewed annually, although
such review may not necessarily result in any change. The
annual review ensures that remuneration supports the
strategic objectives of the Company, reflects Directors’ duties
and responsibilities, expected time commitment, the level
of skills and experience required, and the need for Directors
to maintain on an ongoing basis an appropriate level of
knowledge of regulatory and compliance requirements
in an industry environment of increasing complexity.
Remuneration should be fair and comparable to that of
similar investmenttrusts.
The Policy applies to any new Directors who will be paid the
appropriate fee based on the Directors’ fees level in place at
the date of appointment.
• The Company has no employees and consequently has
no policy on the remuneration of employees.
• All the Directors are non-executive and are appointed
under the terms of letters of appointment.
• Directors do not have service contracts.
• No incentive or introductory fees will be paid to
encourage a directorship.
• Directors’ remuneration is not subject to any performance-
related fee.
• Directors are not eligible for bonuses, pension benefits, share
options, long term incentive schemes or other benefits.
• Directors are not entitled to exit payments or any
compensation for loss of office.
• Directors are entitled to be reimbursed for any reasonable
expenses properly incurred in the performance of their
duties.
• Directors can be paid additional discretionary payments
for services which, in the opinion of the Directors, are
outside of the scope of the ordinary duties of a Director.
• The terms of appointment provide that a Director may be
removed subject to three months’ written notice.
• Directors must retire and be subject to re-election at the
first AGM after their appointment; the Company has also
determined that every Director will stand for re-election at
each AGM.
• No Director will stand for re-election as a Director of
the Company later than the AGM following the ninth
anniversary of their appointment to the Board unless in
relation to exceptional circumstances.
• The Company indemnifies its Directors for all costs,
charges, losses together with certain expenses and
liabilities which may be incurred in the discharge of duties,
as a Director of the Company.
Directors’ & Officers’ liability insurance cover is maintained by
the Company on behalf of the Directors.
Implementation Report
Directors’ Fees
The level of fees for the year and the preceding year are
set out in the next table. There are no further fees to disclose
as the Company has no employees, Chief Executive or
Executive Directors.
44
Murray Income Trust Annual Report 2026
30 June 2026
£
30 June 2025
£
Chair 48,050 44,625
Audit Committee Chair 40,300 37,200
Senior Independent Director 35,650 32,725
Director 31,000 29,750
The Remuneration Committee carried out its annual review
of Directors’ fees during the year by reference to inflation,
measured by the increase in the Consumer Prices Index since
1 July 2025, and taking account of peer group comparisons
by sector and by market capitalisation. In addition, the
increasing demands, responsibilities and time commitment
required of Directors, both in general and specifically for
the Senior Independent Director (“SID”), Audit Committee
Chair and Chair of the Board, was noted - with such things as
heightened corporate governance, increasingly complex and
onerous regulatory requirements, and strategic developments.
Taking these factors and others into account, the Committee
resolved to effect a 4% increase from 1 July 2026, resulting in
the following fee rates: Directors’ base fee of £32,250; SID fee
of £37,075; Audit Committee Chair fee of £41,900; and Chair of
the Board fee of £49,975.
The Committee, but excluding Stephanie Eastment and
Nandita Sahgal Tully, considered whether a one-off additional
payment should be made to each of Stephanie Eastment
and Nandita Sahgal Tully in recognition of their respective
additional workload and their expertise required during the
change of Manager. Following consideration of the matter,
the Committee concluded that their contributions had been
materially above the level ordinarily expected of their roles.
Accordingly, the Committee approved a one-off payment of
£10,000 to each of them.
Company Performance
The graph shows the share price total return (assuming all
dividends are reinvested) to Ordinary shareholders compared
to the total return from the FTSE All-Share Index for the ten year
period ended 30 June 2026 (rebased to 100 at 30 June 2015).
This index was chosen for comparison purposes, as it is the
benchmark used for investment performance measurement
purposes.
Share Price Total Return
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026
Murray Income Trust –
Share Price Total Return
FTSE All-Share Total Return
100
150
200
250
Rebased total return index
Statement of Proxy Voting at Annual General Meeting
At the Company’s latest AGM, held on 4 November 2025,
shareholders approved the Directors’ Remuneration Report in
respect of the year ended 30 June 2025, where the result of the
poll on the relevant resolution was: For – 23,089,960 (98.89%);
Against – 262,122 votes (1.1%); and Withheld – 105,842 votes.
Audited Information
Directors’ Remuneration
The Directors received remuneration in the form of fees and
taxable expenses as set out in the tables below.
The Directors’ remuneration excludes any employers’ national
insurance contributions, if applicable. All remuneration is fixed
in nature and there is no variable remuneration. Fees are pro-
rated where a change takes place during a financial year. No
payments were made to third parties. There are no other fees
to disclose as the Company has no employees, chief executive
or executive directors. Taxable expenses are grossed up. The
Company has entered into a PAYE settlement agreement with
HMRC under which the grossed up expenses detailed above
are accounted for directly with HMRC.
45
Overview
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Financial
Statements
Corporate
Information General
Governance
Directors’ Remuneration Table (audited)
Year ended 30 June 2026 Year ended 30 June 2025
Fees
£
Taxable
Expenses
£
Total
£
Fees
£
Taxable
Expenses
£
Total
£
Peter Tait 48,050 3,611 51,661 44,625 467 45,092
Stephanie Eastment
B
45,650 1,693 47,343 34,279 263 34,542
Nandita Sahgal Tully
B
50,300 171 50,471 34,613 274 34,887
Angus Franklin 31,000 – 31,000 29,750 – 29,750
Andrew Page
C
31,000 691 31,691 13,595 – 13,595
Jane Lewis
A
5,167 – 5,167 – – –
Alan Giles
D
– – – 11,363 – 11,363
Total 211,167 6,166 217,333 168,225 1,004 169,229
A
Joined the Board on 1 May 2026.
B
Received a one-off £10,000 payment as recognition for work following the outcome of the Company’s strategic review.
C
Joined the Board on 17 January 2025.
D
Retired on 5 November 2024.
Spend on Pay
As the Company has no employees, the Directors do not
consider it appropriate to present a table comparing
remuneration paid to Directors with distributions to
shareholders. However, for ease of reference, the total fees
paid to Directors are shown in the table on page 46 while
dividends paid to shareholders are set out in note 7 and share
buybacks are detailed in note 16.
Directors’ Interests in the Company (audited)
The Directors are not required to have a shareholding in the
Company. The Directors (including persons closely associated)
at 30 June 2026, and 30 June 2025, had no interest in the share
capital of the Company other than those interests shown
below, all of which are beneficial interests, unless indicated
otherwise:
Director
30 June 2026
Ord. 25p
30 June 2025
Ord. 25p
Peter Tait 9,528 7,528
Stephanie Eastment
A
4,500 4,500
Nandita Sahgal Tully 2,231 560
Angus Franklin 15,395 11,007
Andrew Page 2,500 2,500
Jane Lewis 2,000 n/a
A
Of which 1,700 shares were held non-beneficially.
There have been no changes to the Directors’ interests in the
share capital of the Company since the year end up to the
date of approval of this Report.
Annual Statement
On behalf of the Board and in accordance with Part 2 of
Schedule 8 of the Large and Medium-sized Companies and
Groups (Accounts and Reports) (Amendment) Regulations
2013, I confirm that the above Report on Remuneration Policy
and Remuneration Implementation summarises, as applicable,
for the year:
• the major decisions on Directors’ remuneration;
• any substantial changes relating to Directors’ remuneration
made during the year; and
• the context in which the changes occurred and in which
decisions have been taken.
On behalf of the Board
Stephanie Eastment
Chair of the Remuneration Committee
8 September 2026
Directors’ Remuneration Report continued
46
Murray Income Trust Annual Report 2026
As Chair of the Audit Committee, I am pleased to present my
report for the year ended 30 June 2026. This report explains
how the Committee discharged its responsibilities during
the year, the principal matters we considered, and how we
supported the Board in safeguarding the integrity of the
Company’s financial reporting, risk management and internal
control framework.
The Audit Committee comprises all of the Directors other than
the Chair of the Board. In accordance with the UK Corporate
Governance Code 2024 (the “Code”), the Chair of the Board
is not a member of the Committee but attends meetings by
invitation where appropriate.
The Committee is satisfied that each member of the
Committee brings recent and relevant financial experience,
with Stephanie Eastment and I being Fellows, and Angus
Franklin and Andrew Page being Members, of the Institute of
Chartered Accountants in England and Wales. Collectively, the
Committee possesses significant experience of the investment
trust sector and the financial reporting, governance and
regulatory matters relevant to the Company.
The Committee met three times during the year. I am satisfied
that this meeting schedule, supplemented by regular
dialogue with the Manager, the Company’s service providers
and the external auditor throughout the year, enabled us to
discharge our responsibilities effectively.
Our Role
The Committee supports the Board by overseeing the integrity
of the Company’s financial reporting and the effectiveness of
its internal control and risk management framework. During
the year our work included:
• reviewing the half-year and annual financial statements,
challenging significant accounting judgements and key
estimates made by the Manager before recommending
the financial statements to the Board for approval;
• considering whether the Annual Report, taken as a
whole, is fair, balanced and understandable and provides
shareholders with the information necessary to assess the
Company’s position and performance, business model
and strategy;
• overseeing the Company’s system of risk management
and internal controls, including operational, financial,
regulatory and compliance controls;
• reviewing the effectiveness of the Manager’s internal
control environment and risk and compliance function;
• assessing annually whether the Company requires its own
internal audit function;
• reviewing and implementing the Company’s policy
governing the provision of non-audit services by the
external auditor;
• reviewing the Manager’s whistleblowing arrangements;
• monitoring and reviewing the relationship with the
external auditor, including audit planning, audit findings,
independence, objectivity, effectiveness and resources,
and to approve their remuneration; and
• making recommendations to the Board regarding the
appointment and reappointment of the external auditor;
• conduct the tender process and make recommendations
to the Board about the appointment, reappointment and
removal of the external auditor.
Throughout the year, the Committee fulfilled all of these
responsibilities, apart from conducting a tender process, and
reported regularly to the Board on the matters considered
and the conclusions reached.
Audit Committee Report
Committee Activity during the Year
Area of focus Committee activity
Financial reporting and
significant judgements
Reviewed the Half-Yearly Report and Annual Report, with particular focus on significant
accounting judgements, investment valuation, income recognition, the allocation of expenses
between revenue and capital, the going concern basis of accounting and the Company’s
longer-term viability. Following detailed review, the Committee recommended to the Board that
the Annual Report was fair, balanced and understandable.
Risk management and
internal controls
Reviewed the effectiveness of the Company’s risk management and internal control framework,
including the principal risks, risk register and reports from the Managers’ Risk and Compliance
functions. During the year we challenged and refined the Company’s risk register and considered
regulatory developments, operational resilience and the effectiveness of key controls.
Oversight of service
providers
Following the appointment of the new Manager and service providers, we devoted significant
attention to their governance, internal control environments and oversight arrangements. We reviewed
assurance reports from key service providers, including internal control and depositary reports, and
considered information security, operational resilience and third-party oversight arrangements.
47
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Financial
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Corporate
Information General
Governance
Audit Committee Report continued
Area of focus Committee activity
External audit Reviewed the external auditor’s audit strategy, audit findings and key audit risks, together with its
independence, objectivity and effectiveness. We also approved the audit engagement letter,
considered the proposed audit fee and reviewed the policy governing non-audit services before
recommending the reappointment of the auditor to shareholders.
Governance and
regulatory developments
Reviewed the Committee’s Terms of Reference and monitored developments in governance and
financial reporting requirements, including preparations for the new UK Corporate Governance
Code requirements relating to material controls.
Internal Controls and Risk Management
The Board is responsible for maintaining a sound system of
internal control and risk management, while the Committee
assists the Board by reviewing the systems in place and
monitoring their effectiveness.
Having reviewed the reports provided by the Manager and
other key service providers, together with the assurances
received from the external auditor, the Committee was
satisfied that the Company’s risk management framework
remained appropriate and effective throughout the year and
up to the date of approval of the Annual Report.
As an externally managed investment trust, the Company
relies on the Manager’s established governance, compliance
and internal control framework. The Manager’s Risk and
Compliance functions perform regular reviews of business
processes using a risk-based approach, reporting its findings
directly to the Committee. We receive regular updates on the
status of audit reviews, any control deficiencies identified and
Management’s progress in implementing agreed actions.
The Committee also reviews reports from key third-party
service providers, including ISAE 3402 assurance reports where
appropriate, to obtain comfort that appropriate controls
continue to operate effectively across outsourced functions.
During the year we also received assurance from MUFG
Corporate Markets, the Company’s registrar, regarding the
effectiveness of its control environment.
At our September 2026 meeting we completed our annual
review of the effectiveness of the Company’s system
of internal control and risk management, including the
operation of the Manager’s Risk and Compliance functions.
No significant weaknesses were identified that required
disclosure in this Annual Report.
As with any system of internal control, the framework is
designed to manage rather than eliminate risk and can
therefore provide reasonable, but not absolute, assurance
against material misstatement or loss.
Significant Risks for the Audit Committee
A key responsibility of the Committee is to consider the
significant accounting issues and judgements arising in
the preparation of the Company’s financial statements.
Incarrying out this responsibility, we reviewed reports
prepared by the Manager and discussed these matters in
detail with both the Manager and the external auditor.
In particular, we focused on those areas that required
judgement or were considered by the external auditor to
represent the principal areas of audit focus.
Valuation and Existence of Investments
The valuation and existence of the Company’s investment
portfolio remains the most significant area of financial
reporting because investments represent the vast majority of
the Company’s assets.
The Company’s portfolio comprises investments quoted
in active markets and is valued in accordance with the
accounting policies set out in note 2(e). All investments
are categorised as Level 1, with the exception of forward
currency contracts which are categorised as Level 2, within
the FRS 102 fair value hierarchy and can therefore be
independently verified using quoted market prices.
In reviewing this area, we considered the controls operated
by the Manager over portfolio valuation and reconciliations,
together with the independent confirmations received from BNP
Paribas S.A., London Branch, as the Company’s depositary from
1 July 2025 to 1 March 2026 and Northern Trust as the Company’s
depositary from 2 March 2026. We also reviewed reports showing
portfolio valuations throughout the year and discussed the audit
procedures performed by the external auditor. The depositary
confirmed that the accounting records correctly reflected all
investee holdings at the Company’s year end, and that these
agreed to custodian’s records.
Following our review, the Committee was satisfied that the
valuation methodology remained appropriate, that the
portfolio existed as recorded and that the investments were
fairly stated within the financial statements.
Income Recognition
Income recognition continues to represent an area of focus
because of the judgement required in determining whether
certain distributions, particularly special dividends, should be
recognised as revenue or capital.
The Committee reviewed the accounting treatment adopted
by the Manager, including the rationale supporting the
classification of special dividends in accordance with the
Company’s accounting policies. We also reviewed detailed
income reports, revenue forecasts and dividend comparisons
throughout the year.
48
Murray Income Trust Annual Report 2026
Having considered the information presented and the
work performed by the external auditor, the Committee
was satisfied that investment income had been recognised
appropriately and that the accounting treatment adopted
was consistent with the requirements of FRS 102 and the
Company’s accountingpolicies.
Internal Auditor
The Committee reviewed whether there remained a need
for the Company to establish its own internal audit function
and having considered the Company’s externally managed
structure, together with the strength of the Manager’s internal
control environment and internal audit programme, we
concluded that a separate internal audit function would not
provide additional value for shareholders.
The Committee therefore continues to place appropriate
reliance on the Manager’s Risk and Compliance functions,
which report regularly to the Committee and provide
independent assurance over the effectiveness of the
Manager’s control environment.
External Auditor
Review of External Auditor
The Committee is responsible for overseeing the relationship
with the external auditor and assessing annually its
independence, objectivity and effectiveness.
As part of this assessment, we considered:
• the quality and robustness of the audit plan;
• the auditor’s understanding of the Company’s business
and the investment trust sector;
• the quality of discussions with the Committee and the level
of professional challenge provided throughout the audit;
• the clarity and usefulness of audit reporting;
• the experience, continuity and resourcing of the audit team;
• the auditor’s responsiveness to questions raised by the
Committee; and
• the safeguards in place to protect the auditor’s
independence and objectivity.
We met separately with the external auditor without
representatives of the Manager being present, providing an
opportunity for open discussion on any matters arising from
the audit.
Based on this assessment, the Committee was satisfied that
the audit was conducted effectively and that the external
auditor continued to demonstrate an appropriate level of
professional scepticism, independence and sector expertise.
Auditor Independence
The Committee receives regular confirmation of the external
auditor’s independence and reviews the safeguards in place
to ensure continued compliance with applicable ethical and
professional standards.
During the year, we considered the auditor’s independence,
including its internal quality control procedures, partner
rotation arrangements and confirmation that there were no
relationships that might reasonably be considered to impair
itsobjectivity.
The Committee is satisfied that the auditor remained
independent throughout the year.
Re-appointment of the Auditor
The current year’s audit represents the seventh audit
undertaken by PricewaterhouseCoopers LLP following their
appointment after a competitive tender process in 2019.
In accordance with applicable professional and regulatory
requirements, the lead audit partner is rotated at least every five
years. Lauren Cooper will complete her second year as Senior
Statutory Auditor in respect of the year ended 30 June 2026.
Following the Committee’s review of audit effectiveness
and independence, we have recommended to the
Board that shareholders approve the reappointment of
PricewaterhouseCoopers LLP as the Company’s external
auditor at the forthcoming Annual General Meeting. We
have also recommended that shareholders authorise the
Committee to determine the auditor’s remuneration.
Provision of Non-Audit Services
The Committee continues to operate a formal policy
governing the engagement of the external auditor to provide
non-audit services.
The policy is designed to safeguard auditor independence
by ensuring that any non-audit work is carefully considered
before approval and is only permitted where it does not give
rise to any actual or perceived conflict of interest.
Any proposed engagement must receive the Committee’s
prior approval and must be consistent with applicable ethical
standards.
During the year, the external auditor performed agreed-upon
procedures in connection with the transition of administrative
services from BNP Paribas S.A., London Branch to Northern
Trust. The procedures included testing and reconciliation of
certain financial and accounting information transferred
between the outgoing and incoming administrators, with the
external auditor reporting its findings to the Company. The fee
for this work was £10,000 (2025: nil).
Having reviewed the auditor’s independence and the
operation of the Company’s policy, I am satisfied that
the Committee complied throughout the year with the
requirements of the Competition and Markets Authority
Statutory Audit Services Order 2014.
Nandita Sahgal Tully
Chair of the Audit Committee
8 September 2026
49
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information General
Governance
The Directors are responsible for preparing the Annual Report
and the financial statements in accordance with applicable
law and regulation.
Company law requires the Directors to prepare financial
statements for each financial year. Under that law the
Directors have elected to prepare the financial statements
in accordance with United Kingdom Generally Accepted
Accounting Practice (United Kingdom Accounting Standards
and applicable law) comprising FRS 102 “The Financial
Reporting Standard applicable in the UK and Republic
ofIreland”.
Under company law, Directors must not approve the financial
statements unless they are satisfied that they give a true and
fair view of the state of affairs of the Company and of the
return of the Company for that period. In preparing these
financial statements, the Directors are required to:
• select suitable accounting policies and then apply them
consistently;
• state whether applicable UK Accounting Standards,
comprising FRS 102 have been followed, subject to any
material departures disclosed and explained in the
financial statements;
• make judgements and accounting estimates that are
reasonable and prudent; and
• prepare the financial statements on the going concern
basis unless it is inappropriate to presume that the
Company will continue in business.
The Directors are also responsible for safeguarding the assets
of the Company and hence for taking reasonable steps for
the prevention and detection of fraud and other irregularities.
The Directors are also responsible for keeping adequate
accounting records that are sufficient to show and explain
the Company’s transactions and disclose with reasonable
accuracy at any time the financial position of the Company
and enable them to ensure that the financial statements and
Directors’ Remuneration Report comply with the Companies
Act 2006.
The Directors are responsible for the maintenance and
integrity of the Company’s financial statements published on
the Manager’s website, but excluding any other information
included on the Manager’s website.
Legislation in the United Kingdom governing the preparation
and dissemination of financial statements may differ from
legislation in other jurisdictions.
Directors’ Confirmations
Each of the Directors, whose names and functions are listed
in the Directors’ Report, confirm that to the best of their
knowledge:
• the Directors consider that the Annual Report and
accounts, taken as a whole, is fair, balanced and
understandable and provides the information necessary
for shareholders to assess the Company’s position and
performance, business model and strategy;
• the Company financial statements, which have
been prepared in accordance with United Kingdom
Accounting Standards, give a true and fair view of the
assets, liabilities, financial position and return of the
Company; and
• the Strategic Report includes a fair review of the
development and performance of the business and the
position of the Company, together with a description
of the principal risks and uncertainties that the
Companyfaces.
For and on behalf of the Board of Murray Income Trust plc
Peter Tait
Chair
8 September 2026
Statement of Directors’ Responsibilities
50
Murray Income Trust Annual Report 2026
Independent auditors’ report to the members of
Murray Income Trust PLC
Report on the audit of the financial
statements
Opinion
In our opinion, Murray Income Trust PLC’s financial statements:
• give a true and fair view of the state of the Company’s
affairs as at 30 June 2026 and of its return and cash flows for
the year then ended;
• have been properly prepared in accordance with United
Kingdom Generally Accepted Accounting Practice (United
Kingdom Accounting Standards, including FRS 102 “The
Financial Reporting Standard applicable in the UK and
Republic of Ireland”, and applicable law); and
• have been prepared in accordance with the requirements
of the Companies Act 2006.
We have audited the financial statements, included within the
Annual Report, which comprise:
• the Statement of Financial Position as at 30 June 2026;
• the Statement of Comprehensive Income for the year then
ended;
• the Statement of Changes in Equity for the year then ended;
• the Statement of Cash Flows for the year then ended; and
• the notes to the financial statements, which include a
description of the significant accounting policies.
Our opinion is consistent with our reporting to the Audit
Committee.
Basis for opinion
We conducted our audit in accordance with International
Standards on Auditing (UK) (“ISAs (UK)”) and applicable
law. Our responsibilities under ISAs (UK) are further described
in the Auditors’ responsibilities for the audit of the financial
statements section of our report. We believe that the audit
evidence we have obtained is sufficient and appropriate to
provide a basis for our opinion.
Independence
We remained independent of the Company in accordance
with the ethical requirements that are relevant to our audit
of the financial statements in the UK, which includes the
FRC’s Ethical Standard, as applicable to listed public interest
entities, and we have fulfilled our other ethical responsibilities
in accordance with these requirements.
To the best of our knowledge and belief, we declare that
non-audit services prohibited by the FRC’s Ethical Standard
were not provided.
Other than those disclosed in Note 5, we have provided no
non-audit services to the Company in the period under audit.
Our audit approach
Context
The Company is a standalone Investment Trust Company
and engages Artemis Fund Managers Limited (the “AIFM”) to
manage its assets, effective from 2 March 2026. Prior to that
date, the AIFM of the Company was abrdn Fund Managers
Limited.
Overview
Audit scope
• We conducted our audit of the financial statements using
information from the AIFM to whom the Directors have
delegated the provision of all administrative functions.
• We tailored the scope of our audit taking into account the
types of investments within the Company, the involvement
of the AIFM, the accounting processes and controls, and the
industry in which the Company operates.
• We obtained an understanding of the control environment
and adopted a fully substantive testing approach.
Key audit matters
• Income from investments.
• Valuation and existence of listed investments.
Materiality
• Overall materiality: £9,692,000 (2025: £9,167,000) based on
approximately 1% of Net assets.
• Performance materiality: £7,269,000 (2025: £6,876,000).
The scope of our audit
As part of designing our audit, we determined materiality and
assessed the risks of material misstatement in the financial
statements. In particular, we looked at where the Directors
made subjective judgements, for example in respect of
significant accounting estimates that involved making
assumptions and considering future events that are inherently
uncertain.
Key audit matters
Key audit matters are those matters that, in the auditors’
professional judgement, were of most significance in the audit
of the financial statements of the current period and include the
most significant assessed risks of material misstatement (whether
or not due to fraud) identified by the auditors, including those
which had the greatest effect on: the overall audit strategy; the
allocation of resources in the audit; and directing the efforts of
the engagement team. These matters, and any comments we
make on the results of our procedures thereon, were addressed
in the context of our audit of the financial statements as a whole,
and in forming our opinion thereon, and we do not provide a
separate opinion on these matters.
51
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information General
Governance
Independent Auditors’ Report continued
This is not a complete list of all risks identified by our audit.
The key audit matters below are consistent with last year.
Key audit matter How our audit addressed the key audit matter
Income from investments
Refer to the Audit Committee’s Report, Accounting Policies
and Notes to the Financial Statements. Income from
investments comprised dividend income. We focused on
the accuracy, completeness and occurrence of investment
income recognition as incomplete or inaccurate income
could have a material impact on the Company’s net
asset value and dividend cover. We also focused on the
accounting policy for investment income recognition and
its presentation in the Statement of Comprehensive Income
for compliance with the requirements of The Association of
Investment Companies Statement of Recommended Practice
(the “AIC SORP”) as incorrect application could indicate a
misstatement in income recognition.
We assessed the accounting policy for income recognition
for compliance with accounting standards and the AIC SORP
and performed testing to confirm that income had been
accounted for in accordance with this stated accounting
policy. We tested the accuracy of all dividend receipts by
agreeing the dividend rates from investments to independent
market data. We tested occurrence by testing that all
dividends recorded in the year had been declared in the
market. To test for completeness, we tested, for all investment
holdings in the portfolio, that all dividends declared in the
market for investment holdings had been recorded. We tested
the allocation and presentation of dividend income between
the revenue and capital return columns of the Statement of
Comprehensive Income in line with the requirements set out in
the AIC SORP.
Valuation and existence of listed investments
Refer to the Audit Committee’s Report, Accounting Policies
and Notes to the Financial Statements. The investment
portfolio as at 30 June 2026 comprised listed equity
investments of £1,047m. We focused on the valuation and
existence of investments because investments represent the
principal element of the net asset value as disclosed in the
Statement of Financial Position in the financial statements.
We assessed the accounting policy for investments held at fair
value through profit or loss for compliance with accounting
standards and performed testing to check that investments
are accounted for in accordance with the stated accounting
policy. We tested the valuation of all the listed investments
by agreeing the prices used in the valuation to independent
third party sources. We tested the existence of all the listed
investments by agreeing the holdings to an independent
confirmation as at 30 June 2026.
How we tailored the audit scope
We tailored the scope of our audit to ensure that we performed enough work to be able to give an opinion on the financial
statements as a whole, taking into account the structure of the Company, the accounting processes and controls, and the
industry in which it operates.
As part of designing our audit, we determined materiality and assessed the risks of material misstatement in the financial
statements. In particular, we looked at where the Directors made subjective judgements, for example in respect of significant
accounting estimates that involved making assumptions and considering future events that are inherently uncertain.
The impact of climate risk on our audit
In conducting our audit, we made enquiries of the Directors to understand the extent of the potential impact of climate change
risk on the Company’s financial statements. The Directors concluded that the impact on the measurement and disclosures within
the financial statements is not material because the Company’s investment portfolio is made up of a majority of level 1 quoted
securities which are valued at fair value based on market prices. We found this to be consistent with our understanding of the
Company’s investment activities. We also considered the consistency of the climate change disclosures included in the Strategic
Report with the financial statements and our knowledge from our audit.
52
Murray Income Trust Annual Report 2026
Materiality
The scope of our audit was influenced by our application of materiality. We set certain quantitative thresholds for materiality.
These, together with qualitative considerations, helped us to determine the scope of our audit and the nature, timing and
extent of our audit procedures on the individual financial statement line items and disclosures and in evaluating the effect of
misstatements, both individually and in aggregate on the financial statements as a whole.
Based on our professional judgement, we determined materiality for the financial statements as a whole as follows:
Overall Company materiality £9,692,000 (2025: £9,167,000).
How we determined it approximately 1% of Net assets
Rationale for benchmark
applied
We believe that net assets is the primary measure used by the shareholders in assessing the
performance of the entity, and is a generally accepted auditing benchmark. This benchmark
provides an appropriate and consistent year on year basis for our audit.
We use performance materiality to reduce to an appropriately low level the probability that the aggregate of uncorrected and
undetected misstatements exceeds overall materiality. Specifically, we use performance materiality in determining the scope of
our audit and the nature and extent of our testing of account balances, classes of transactions and disclosures, for example in
determining sample sizes. Our performance materiality was 75% (2025: 75%) of overall materiality, amounting to £7,269,000 (2025:
£6,876,000) for the Company financial statements.
In determining the performance materiality, we considered a number of factors - the history of misstatements, risk assessment
and aggregation risk and the effectiveness of controls - and concluded that an amount at the upper end of our normal range
was appropriate.
We agreed with the Audit Committee that we would report to them misstatements identified during our audit above £484,000
(2025: £458,000) as well as misstatements below that amount that, in our view, warranted reporting for qualitative reasons.
Conclusions relating to going concern
Our evaluation of the Directors’ assessment of the Company’s ability to continue to adopt the going concern basis of
accounting included:
• evaluating the Directors’ risk assessment and considering whether it addressed relevant threats;
• evaluating the Directors’ assessment of potential operational impacts, considering their consistency with other available
information and our understanding of the business and assessed the potential impact on the financial statements;
• reviewing the Directors’ assessment of the Company’s financial position in the context of its ability to meet future expected
operating expenses and debt repayments, their assessment of liquidity as well as their review of the operational resilience of the
Company and oversight of key third-party service providers; and
• assessing the implication of significant reductions in Net Asset Value (“NAV”) as a result of market performance on the ongoing
ability of the Company to operate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that,
individually or collectively, may cast significant doubt on the Company’s ability to continue as a going concern for a period of
at least twelve months from when the financial statements are authorised for issue.
In auditing the financial statements, we have concluded that the Directors’ use of the going concern basis of accounting in the
preparation of the financial statements is appropriate.
However, because not all future events or conditions can be predicted, this conclusion is not a guarantee as to the Company’s
ability to continue as a going concern.
In relation to the Directors’ reporting on how they have applied the UK Corporate Governance Code, we have nothing material
to add or draw attention to in relation to the Directors’ Statement in the financial statements about whether the Directors
considered it appropriate to adopt the going concern basis of accounting.
Our responsibilities and the responsibilities of the Directors with respect to going concern are described in the relevant sections of
this report.
53
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information General
Governance
Independent Auditors’ Report continued
Reporting on other information
The other information comprises all of the information in the
Annual Report other than the financial statements and our
auditors’ report thereon. The Directors are responsible for the
other information. Our opinion on the financial statements
does not cover the other information and, accordingly, we
do not express an audit opinion or, except to the extent
otherwise explicitly stated in this report, any form of assurance
thereon.
In connection with our audit of the financial statements,
our responsibility is to read the other information and,
in doing so, consider whether the other information is
materially inconsistent with the financial statements or our
knowledge obtained in the audit, or otherwise appears to
be materially misstated. If we identify an apparent material
inconsistency or material misstatement, we are required to
perform procedures to conclude whether there is a material
misstatement of the financial statements or a material
misstatement of the other information. If, based on the work
we have performed, we conclude that there is a material
misstatement of this other information, we are required to
report that fact. We have nothing to report based on these
responsibilities.
With respect to the Strategic Report and Directors’ Report, we
also considered whether the disclosures required by the UK
Companies Act 2006 have been included.
Based on our work undertaken in the course of the audit, the
Companies Act 2006 requires us also to report certain opinions
and matters as described below.
Strategic Report and Directors’ Report
In our opinion, based on the work undertaken in the course of
the audit, the information given in the Strategic Report and
Directors’ Report for the year ended 30 June 2026 is consistent
with the financial statements and has been prepared in
accordance with applicable legal requirements.
In light of the knowledge and understanding of the Company
and its environment obtained in the course of the audit, we
did not identify any material misstatements in the Strategic
Report and Directors’ Report.
Directors’ Remuneration
In our opinion, the part of the Directors’ Remuneration Report
to be audited has been properly prepared in accordance
with the Companies Act 2006.
Corporate Governance Statement
The Listing Rules require us to review the Directors’ statements
in relation to going concern, longer-term viability and that
part of the Corporate Governance Statement relating to
the Company’s compliance with the provisions of the UK
Corporate Governance Code specified for our review. Our
additional responsibilities with respect to the Corporate
Governance Statement as other information are described in
the Reporting on other information section of this report.
Based on the work undertaken as part of our audit, we
have concluded that each of the following elements of the
Corporate Governance Statement is materially consistent
with the financial statements and our knowledge obtained
during the audit, and we have nothing material to add or
draw attention to in relation to:
• The Directors’ confirmation that they have carried out a
robust assessment of the emerging and principal risks;
• The disclosures in the Annual Report that describe those
principal risks, what procedures are in place to identify
emerging risks and an explanation of how these are being
managed or mitigated;
• The Directors’ Statement in the financial statements about
whether they considered it appropriate to adopt the going
concern basis of accounting in preparing them, and their
identification of any material uncertainties to the Company’s
ability to continue to do so over a period of at least
twelve months from the date of approval of the financial
statements;
• The Directors’ explanation as to their assessment of the
Company’s prospects, the period this assessment covers
and why the period is appropriate; and
• The Directors’ Statement as to whether they have a
reasonable expectation that the Company will be able
to continue in operation and meet its liabilities as they fall
due over the period of its assessment, including any related
disclosures drawing attention to any necessary qualifications
or assumptions.
Our review of the Directors’ Statement regarding the longer-
term viability of the Company was substantially less in scope
than an audit and only consisted of making inquiries and
considering the Directors’ process supporting their statement;
checking that the statement is in alignment with the relevant
provisions of the UK Corporate Governance Code; and
considering whether the statement is consistent with the
financial statements and our knowledge and understanding
of the Company and its environment obtained in the course
of the audit.
In addition, based on the work undertaken as part of our
audit, we have concluded that each of the following
elements of the Corporate Governance Statement is
materially consistent with the financial statements and our
knowledge obtained during the audit:
• The Directors’ Statement that they consider the
Annual Report, taken as a whole, is fair, balanced and
understandable, and provides the information necessary
54
Murray Income Trust Annual Report 2026
for the members to assess the Company’s position,
performance, business model and strategy;
• The section of the Annual Report that describes the review
of effectiveness of risk management and internal control
systems; and
• The section of the Annual Report describing the work of the
Audit Committee.
We have nothing to report in respect of our responsibility
to report when the Directors’ Statement relating to the
Company’s compliance with the Code does not properly
disclose a departure from a relevant provision of the Code
specified under the Listing Rules for review by the auditors.
Responsibilities for the financial statements
and the audit
Responsibilities of the Directors for the
financial statements
As explained more fully in the Statement of Directors’
Responsibilities, the Directors are responsible for the
preparation of the financial statements in accordance with
the applicable framework and for being satisfied that they
give a true and fair view. The Directors are also responsible for
such internal control as they determine is necessary to enable
the preparation of financial statements that are free from
material misstatement, whether due to fraud or error.
In preparing the financial statements, the Directors are
responsible for assessing the Company’s ability to continue as
a going concern, disclosing, as applicable, matters related
to going concern and using the going concern basis of
accounting unless the Directors either intend to liquidate
the Company or to cease operations, or have no realistic
alternative but to do so.
Auditors’ responsibilities for the audit of the
financial statements
Our objectives are to obtain reasonable assurance about
whether the financial statements as a whole are free from
material misstatement, whether due to fraud or error,
and to issue an auditors’ report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not
a guarantee that an audit conducted in accordance with
ISAs (UK) will always detect a material misstatement when
it exists. Misstatements can arise from fraud or error and are
considered material if, individually or in the aggregate, they
could reasonably be expected to influence the economic
decisions of users taken on the basis of these financial
statements.
Irregularities, including fraud, are instances of non-
compliance with laws and regulations. We design procedures
in line with our responsibilities, outlined above, to detect
material misstatements in respect of irregularities, including
fraud. The extent to which our procedures are capable of
detecting irregularities, including fraud, is detailed below.
Based on our understanding of the Company and industry,
we identified that the principal risks of non-compliance with
laws and regulations related to breaches of section 1158 of
the Corporation Tax Act 2010, and we considered the extent
to which non-compliance might have a material effect on
the financial statements. We also considered those laws
and regulations that have a direct impact on the financial
statements such as the Companies Act 2006. We evaluated
management’s incentives and opportunities for fraudulent
manipulation of the financial statements (including the risk
of override of controls), and determined that the principal
risks were related to posting of inappropriate journal entries
to manipulate revenue or to increase net asset value. Audit
procedures performed by the engagement team included:
• discussions with the Directors, the AIFM and the Company
Secretary, including specific enquiry of known or suspected
instances of non-compliance with laws and regulation and
fraud where applicable;
• reviewing relevant meeting minutes, including those of the
Audit Committee;
• assessment of the Company’s compliance with the
requirements of section 1158 of the Corporation Tax Act
2010, including recalculation of numerical aspects of the
eligibility conditions;
• identifying and testing higher risk journal entries posted
during the preparation of the financial statements; and
• designing audit procedures to incorporate unpredictability
around the nature, timing or extent of our testing.
There are inherent limitations in the audit procedures
described above. We are less likely to become aware of
instances of non-compliance with laws and regulations that
are not closely related to events and transactions reflected
in the financial statements. Also, the risk of not detecting
a material misstatement due to fraud is higher than the
risk of not detecting one resulting from error, as fraud may
involve deliberate concealment by, for example, forgery or
intentional misrepresentations, or through collusion.
Our audit testing might include testing complete populations
of certain transactions and balances, possibly using data
auditing techniques. However, it typically involves selecting
a limited number of items for testing, rather than testing
complete populations. We will often seek to target particular
items for testing based on their size or risk characteristics. In
other cases, we will use audit sampling to enable us to draw
a conclusion about the population from which the sample is
selected.
55
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information General
Governance
A further description of our responsibilities for the audit of the
financial statements is located on the FRC’s website at: www.
frc.org.uk/auditorsresponsibilities. This description forms part of
our auditors’ report.
Use of this report
This report, including the opinions, has been prepared for and
only for the Company’s members as a body in accordance
with Chapter 3 of Part 16 of the Companies Act 2006 and for
no other purpose. We do not, in giving these opinions, accept
or assume responsibility for any other purpose or to any other
person to whom this report is shown or into whose hands it
may come save where expressly agreed by our prior consent
in writing.
Other required reporting
Companies Act 2006 exception reporting
Under the Companies Act 2006 we are required to report to
you if, in our opinion:
• we have not obtained all the information and explanations
we require for our audit; or
• adequate accounting records have not been kept by the
Company, or returns adequate for our audit have not been
received from branches not visited by us; or
• certain disclosures of Directors’ remuneration specified by
law are not made; or
• the financial statements and the part of the Directors’
Remuneration Report to be audited are not in agreement
with the accounting records and returns.
We have no exceptions to report arising from this responsibility.
Appointment
We were first appointed by the Company for the financial
year ended 30 June 2020. Our uninterrupted engagement
covers seven financial years.
Lauren Cooper (Senior Statutory Auditor)
for and on behalf of PricewaterhouseCoopers LLP
Chartered Accountants and Statutory Auditors
London
8 September 2026
Independent Auditors’ Report continued
56
Murray Income Trust Annual Report 2026
Financial Statements
57
Overview
Strategic Report Portfolio
Financial
Statements
Corporate
Information GeneralGovernance
Year ended 30 June 2026 Year ended 30 June 2025
Note
Revenue
£’000
Capital
£’000
Total
£’000
Revenue
£’000
Capital
£’000
Total
£’000
Gains/(losses) on investments 10 – 96,831 96,831 – (12,495) (12,495)
Net gains on derivatives 11 – 331 331 – – –
Currency (losses)/gains – (264) (264) – 460 460
Income 3 42,070 – 42,070 42,224 – 42,224
Investment management fees 4 (668) (1,559) (2,227) (991) (2,313) (3,304)
Administrative expenses 5 (1,722) – (1,722) (1,424) – (1,424)
Net return before finance costs and tax 39,680 95,339 135,019 39,809 (14,348) 25,461
Finance costs 6 (701) (1,631) (2,332) (772) (1,802) (2,574)
Net return before tax 38,979 93,708 132,687 39,037 (16,150) 22,887
Taxation 8 (37) – (37) (7) – (7)
Net return after tax 38,942 93,708 132,650 39,030 (16,150) 22,880
Return per Ordinary share – basic and
diluted
9 40.6p 97.7p 138.3p 38.6p (16.0)p 22.6p
The total column of this statement represents the profit and loss account of the Company prepared in accordance with FRS 102.
The ‘Revenue’ and ‘Capital’ columns represent supplementary information prepared under guidance issued by the Association
of Investment Companies.
All revenue and capital items in the above statement derive from continuing operations.
No operations were acquired or discontinued in the year.
The accompanying notes are an integral part of the financial statements.
Statement of Comprehensive Income
58
Murray Income Trust Annual Report 2026
Note
As at
30 June 2026
£’000
As at
30 June 2025
£’000
Non-current assets
Investments at fair value through profit or loss 10 1,047,222 1,011,048
Current assets
Derivative assets 11 168 –
Other debtors and receivables 12 8,319 12,106
Cash and cash equivalents 13 22,623 10,426
31,110 22,532
Creditors: amounts falling due within one year
Other payables 14 (4,553) (4,695)
Liability for cash collateral received (130) –
Bank loans and overdrafts 14 – (6,140)
(4,683) (10,835)
Net current assets 26,427 11,697
Total assets less current liabilities 1,073,649 1,022,745
Non-current liabilities
Creditors: amounts falling due after more than one year
2.51% Senior Loan Notes (39,982) (39,969)
4.37% Senior Loan Notes (64,457) (66,038)
15 (104,439) (106,007)
Net assets 969,210 916,738
Capital and reserves
Share capital 16 29,882 29,882
Share premium account 438,213 438,213
Capital redemption reserve 4,997 4,997
Capital reserve 463,182 411,182
Revenue reserve 32,936 32,464
Total Shareholders’ funds 969,210 916,738
Net asset value per Ordinary share – basic and diluted 17
Debt at fair value 1,045.0p 944.8p
Debt at par value 1,038.7p 936.3p
The financial statements (pages 58 to 61) were approved by the Board of Directors and authorised for issue on 8 September 2026
and were signed on its behalf by:
Peter Tait, Chair
The accompanying notes are an integral part of the financial statements.
Statement of Financial Position
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Information GeneralGovernance
For the year ended 30 June 2026
Note
Share
capital
£’000
Share
premium
account
£’000
Capital
redemption
reserve
£’000
Capital
reserve
£’000
Revenue
reserve
£’000
Total
£’000
Balance at 1 July 2025 29,882 438,213 4,997 411,182 32,464 916,738
Net return after tax – – – 93,708 38,942 132,650
Buyback of Ordinary shares for treasury 16 – – – (41,708) – (41,708)
Dividends paid 7 – – – – (38,470) (38,470)
Balance at 30 June 2026 29,882 438,213 4,997 463,182 32,936 969,210
For the year ended 30 June 2025
Note
Share
capital
£’000
Share
premium
account
£’000
Capital
redemption
reserve
£’000
Capital
reserve
£’000
Revenue
reserve
£’000
Total
£’000
Balance at 1 July 2024 29,882 438,213 4,997 484,787 32,403 990,282
Net return after tax – – – (16,150) 39,030 22,880
Buyback of Ordinary shares for treasury 16 – – – (57,455) – (57,455)
Dividends paid 7 – – – – (38,969) (38,969)
Balance at 30 June 2025 29,882 438,213 4,997 411,182 32,464 916,738
The accompanying notes are an integral part of the financial statements.
Statement of Changes in Equity
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Murray Income Trust Annual Report 2026
Note
Year ended
30 June 2026
£’000
Year ended
30 June 2025
£’000
Operating activities
Net return before finance costs and taxation 135,019 25,461
Decrease in accrued expenses (467) (67)
Overseas withholding tax 1,216 101
Decrease/(increase) in dividend income receivable 294 (76)
Decrease in interest income receivable 2 8
Interest paid (2,303) (2,619)
(Gains)/losses on investments 10 (96,831) 12,495
Gains on derivatives 11 (331) –
Foreign exchange losses/(gains) 264 (460)
Amortisation of loan note expenses 6 14 14
Accretion of loan note book cost 6 (1,581) (1,581)
Increase in other debtors – (3)
Stock dividends included in investment income 3 1,618 2,198
Net cash inflow from operating activities 36,914 35,471
Investing activities
Purchases of investments (968,082) (239,369)
Sales of investments 1,030,123 285,407
Settlement of forward transactions 11 163 –
Liability for cash collateral received (130) –
Net cash inflow from investing activities 62,074 46,038
Financing activities
Dividends paid 7 (38,470) (38,969)
Buyback of Ordinary shares for treasury (41,917) (57,580)
Repayment of bank loans (6,303) (6,118)
Draw down of bank loans – 6,122
Net cash outflow from financing activities (86,690) (96,545)
Increase/(decrease) in cash 12,298 (15,036)
Analysis of changes in cash during the year
Opening balance 10,426 25,148
Effect of exchange rate fluctuations on cash held 18 (101) 314
Increase/(decrease) in cash as above 18 12,298 (15,036)
Closing balance 22,623 10,426
Represented by:
Cash at bank and in hand 13 101 3,371
Money market funds 13 22,522 7,055
22,623 10,426
The accompanying notes are an integral part of these financial statements.
Statement of Cash Flows
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Information GeneralGovernance
Notes to the Financial Statements
For the year ended 30 June 2026
1. Principal activities
The Company is a closed-end investment company, registered in Scotland No SC012725, with its Ordinary shares being listed
on the London Stock Exchange.
2. Accounting policies
(a) Basis of preparation. The financial statements have been prepared under the historic cost method modified by
revaluation of investments at fair value through profit and loss and in accordance with Financial Reporting Standard 102,
the Companies Act 2006 and with the Statement of Recommended Practice (“the AIC SORP”) ‘Financial Statements of
Investment Trust Companies and Venture Capital Trusts’ issued by the Association of Investment Companies in December
2025. The financial statements are prepared in Sterling which is the functional currency of the Company and rounded to
the nearest £’000. They have also been prepared on the assumption that approval as an investment trust will continue to be
granted. The accounting policies applied are unchanged from the prior year and have been applied consistently.
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. This conclusion is consistent with the longer term Viability
Statement on page 23.
The Company’s assets consist primarily of a diverse portfolio of listed equity shares nearly all of which, in most circumstances,
are realisable within a very short timescale. The Board has set limits for borrowing and regularly reviews the level of any
gearing, cash flow projections and compliance with banking and loan note covenants. The Directors are mindful of
the principal risks and uncertainties disclosed on pages 19 to 22, and have reviewed forecasts detailing revenue and
liabilities. The Directors are satisfied that the Company has adequate resources to continue in operational existence for the
foreseeable future being at least 12 months from the date of approval of this Annual Report.
(b) Income. Dividends receivable on equity shares are treated as revenue for the year on an ex-dividend basis. Where no
ex-dividend date is available dividends receivable on or before the year end are treated as revenue for the year. Where
the Company has elected to receive dividends in the form of additional shares rather than cash, the amount of the
cash dividend foregone is recognised as revenue and any residual amount is recognised as capital. Provision is made
for any dividends not expected to be received. Special dividends are credited to capital or revenue, according to the
circumstances. Dividend revenue is presented gross of any non-recoverable withholding taxes, which are disclosed
separately within the Statement of Comprehensive Income.
Interest receivable from cash and short-term deposits and stock lending income is recognised on an accruals basis.
(c) Expenses. All expenses are accounted for on an accruals basis. All expenses are charged through the revenue column of
the Statement of Comprehensive Income except as follows:
- transaction costs on the acquisition or disposal of investments are recognised as a capital item in the Statement of
Comprehensive Income; and
- expenses are charged as a capital item in the Statement of Comprehensive Income where a connection with the
maintenance or enhancement of the value of the investments can be demonstrated. In this respect the investment
management fee has been allocated 30% to revenue and 70% to capital to reflect the Company’s investment policy and
prospective income and capital growth.
(d) Taxation. Taxation represents the sum of tax currently payable and deferred tax. Any tax payable is based on the taxable
profit for the year. Taxable profit differs from net profit as reported in the Statement of Comprehensive Income because it
excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are
never taxable or deductible. The Company’s liability for current tax is calculated using tax rates that were applicable at the
Statement of Financial Position date.
Deferred taxation is recognised in respect of all timing differences that have originated but not reversed at the Statement
of Financial Position date, where transactions or events that result in an obligation to pay more tax in the future or right to
pay less tax in the future have occurred at the Statement of Financial Position date. This is subject to deferred tax assets only
being recognised if it is considered more likely than not that there will be suitable profits from which the future reversal of the
underlying timing differences can be deducted. Timing differences are differences arising between the Company’s taxable
profits and its results as stated in the financial statements which are capable of reversal in one or more subsequent periods.
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Murray Income Trust Annual Report 2026
Deferred tax is measured on a non-discounted basis at the tax rates that are expected to apply in the periods in which timing
differences are expected to reverse, based on tax rates and laws enacted or substantively enacted at the Statement of
Financial Position date.
Due to the Company’s status as an investment trust company and the intention to continue meeting the conditions required
to obtain approval in the foreseeable future, the Company has not provided deferred tax on any capital gains and losses
arising on the revaluation or disposal of investments.
The tax effect of different items of income/gain and expenditure/loss is allocated between capital and revenue within the
Statement of Comprehensive Income on the same basis as the particular item to which it relates using the Company’s
effective rate of tax for the year, based on the marginal basis.
(e) Valuation of investments. All investments have been designated upon initial recognition at fair value through profit or loss.
This is done because all investments are considered to form part of a group of financial assets which is evaluated on a fair
value basis, in accordance with the Company’s documented investment strategy, and information about the grouping
is provided internally on that basis. Investments are recognised and de-recognised at trade date where a purchase or
sale is under a contract whose terms require delivery within the timeframe established by the market concerned, and are
measured initially at fair value. Subsequent to initial recognition, investments are valued at fair value through profit or loss. For
listed investments, this is deemed to be bid market prices or closing prices for stocks traded on recognised stock exchanges.
Gains and losses arising from changes in fair value are included in the net return for the period as a capital item in the
Statement of Comprehensive Income and are ultimately recognised in the capital reserve.
(f) Cash and cash equivalents. Cash comprises cash in hand and demand deposits. Cash equivalents are short-term, highly
liquid investments that are readily convertible to known amounts of cash and that are subject to insignificant risk of change
in value.
(g) Borrowings and finance costs. Borrowings of interest bearing bank loans and 2.51% Senior Loan Notes are recognised
initially at the fair value of the consideration received, net of any issue expenses, and subsequently at amortised cost using
the effective interest method. Borrowings of 4.37% Senior Loan Notes, which were novated to the Company on the merger
with Perpetual Income and Growth Investment Trust plc, were recorded initially at their fair value of £73,344,000 and are
amortised over the remaining life of the loan towards their redemption value of £60,000,000. The amortisation adjustment is
presented as a finance cost. Finance costs accrue using the effective interest rate over the life of the borrowings and are
allocated 30% to revenue and 70% to capital.
(h) Derivative contracts. The Company may enter into derivative financial instruments, including options and forward currency
contracts, to gain market exposure or manage market and currency risk. Derivative financial instruments are classified as
financial assets or financial liabilities at fair value through profit or loss and are initially recognised at fair value on the date
the contract is entered into. Derivative financial instruments are subsequently remeasured to fair value at each reporting
date, with gains and losses arising from changes in fair value recognised in the capital column of the Statement of
Comprehensive Income. The fair value of open derivative positions is included within derivative assets or derivative liabilities
in the Statement of Financial Position, as appropriate.
The premium on an option is treated as the option’s initial fair value and is recognised over the life of the option in the
revenue column of the Statement of Comprehensive Income, together with fair value movements arising from changes
in the value of the underlying securities. Gains or losses arising on the exercise, expiry or closure of option contracts are
recognised in the capital column of the Statement of Comprehensive Income.
(i) Segmental reporting. The Directors are of the opinion that the Company is engaged in a single segment of business
activity, being investment business. Consequently, no business segmental analysis is provided.
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(j) Nature and purpose of reserves.
Share capital. The Ordinary share capital on the Statement of Financial Position relates to the number of shares in issue and
in treasury. Only when the shares are cancelled, either from treasury or directly, is a transfer made to the capital redemption
reserve. This is a non-distributable reserve.
Share premium account. The balance classified as share premium includes the premium above nominal value from the
proceeds on issue of any equity share capital comprising Ordinary shares of 25p and includes the premium arising following
the issue of shares on the combination with Perpetual Income and Growth Investment Trust plc on 17 November 2020. This is
a non-distributable reserve.
Capital redemption reserve. The capital redemption reserve reflects the cancellation of Ordinary shares, when an amount
equal to the par value of the Ordinary share capital is transferred from the share capital reserve to the capital redemption
reserve. This is a non-distributable reserve.
Capital reserve. This reserve reflects any gains or losses on investments realised in the period along with any movements in
the fair value of investments held that have been recognised in the Statement of Comprehensive Income. These include
gains and losses from foreign currency exchange differences. Additionally, expenses, including finance costs, are charged
to this reserve in accordance with (c) and (g) above. When making a distribution to shareholders, the Directors determine
profits available for distribution by reference to ‘Guidance on realised and distributable profits under the Companies Act
2006’ issued by the Institute of Chartered Accountants in England and Wales and the Institute of Chartered Accountants of
Scotland in April 2017. The availability of distributable reserves in the Company is dependent on those distributions meeting
the definition of qualifying consideration within the guidance and on available cash resources of the Company and other
accessible sources of funds.
The capital reserve, to the extent it constitutes realised profits, is distributable. This may include unrealised (losses)/gains on
investments where these are readily convertible to cash. The amount of the capital reserve that is distributable is complex to
determine and is not necessarily the full amount of the reserve as disclosed within these financial statements. In accordance
with the Articles of Association, distributions by way of dividend can be made from capital reserves to the extent they
arerealised.
Revenue reserve. This reserve reflects all income and costs which are recognised in the revenue column of the Statement of
Comprehensive Income. The revenue reserve is distributable by way of dividend.
(k) Treasury shares. When the Company buys back the Company’s equity share capital as treasury shares, the amount of the
consideration paid, including directly attributable costs and any tax effects, is recognised as a deduction from equity. When
these shares are sold or reissued subsequently, the net amount received is recognised as an increase in equity, and the
resulting surplus or deficit on the transaction is transferred to or from the capital reserve.
(l) Dividends payable. Final dividends are recognised from the date on which they are approved by Shareholders. Interim
dividends are recognised when paid. Dividends are shown in the Statement of Changes in Equity.
(m) Foreign currency. Transactions in foreign currencies are converted to Sterling at the exchange rate ruling at the date of the
transaction. Monetary assets and liabilities and non-monetary assets held at fair value denominated in foreign currencies
are translated into Sterling at rates of exchange ruling at the Statement of Financial Position date. Exchange gains and
losses are taken to the Statement of Comprehensive Income as a capital or revenue item depending on the nature of the
underlying item.
(n) Significant estimates and judgements. The Directors do not believe that any accounting estimates or judgements have
been applied to these financial statements that have a significant risk of causing material adjustment to the carrying
amount of assets and liabilities.
Notes to the Financial Statements continued
For the year ended 30 June 2026
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Murray Income Trust Annual Report 2026
3. Income
2026
£’000
2025
£’000
Income from investments
UK dividends (all listed):
- ordinary 28,451 23,901
- special 332 401
Property income dividends 2,749 1,285
Overseas dividends (all listed):
- ordinary 6,175 11,007
- special 173 –
Stock dividends 1,618 2,198
39,498 38,792
Other income
Deposit interest 92 37
Money market interest 1,299 606
Traded option premiums 1,163 2,789
Underwriting commission 18 –
2,572 3,432
Total income 42,070 42,224
There were special dividends in the year of £505,000 (2025 - £401,000) which were recognised as being revenue in nature.
4. Investment management fees
2026 2025
Revenue
£’000
Capital
£’000
Total
£’000
Revenue
£’000
Capital
£’000
Total
£’000
Management fee 668 1,559 2,227 991 2,313 3,304
The investment management fees paid to Aberdeen, the former Manager of the Company, are shown in the above
table. No fees were accrued at the year end (2025: £537,000). The annual fees payable to Aberdeen were 0.35% on up to
£1.1billion of net assets and 0.25% on any assets in excess of £1.1 billion.
Following the change of Investment Manager on 2 March 2026, Artemis agreed to waive its management fee for the period
from 2 March 2026 to 2 December 2026. The fee waiver, which amounted to £1,155,000, reduced the total management fee
payable for the year ended 30 June 2026.
Fees payable to Artemis are based on the following:
0.40% per annum on the portion of the Company’s value up to £750 million, 0.375% per annum on the portion exceeding
£750 million but not exceeding £1 billion, and 0.35% per annum on the portion in excess of £1 billion. The Company’s value is
defined as the lower of market capitalisation and net asset value, including income with debt at fair value.
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5. Administrative expenses
2026
£’000
2025
£’000
Shareholders’ services
A
218 400
Marketing fees 50 –
Directors’ remuneration
B
211 168
Secretarial fees
C
50 75
Registrars fees 66 68
Depositary fees 67 77
Custody fees 42 64
Printing and postage
E
61 16
Auditors’ remuneration:
- fees payable to the Company’s auditors for the audit of the
Company’s annual financial statements
57 55
- fees payable to the Company’s auditors for non-audit services:
agreed upon procedures in relation to the change in manager
10 –
Legal and professional fees
D
453 169
Brokers fees 45 52
Irrecoverable VAT 196 104
Other expenses 196 176
1,722 1,424
A
Paid to Aberdeen up until 1 March 2026 under a delegation agreement to cover promotional activities during the year.
B
Refer to the Directors’ Remuneration section of the Directors’ Remuneration Report on page 46 for further details.
C
Payable to Aberdeen up to the point of transition, balance outstanding of £nil (2025 – £19,000) at the year end.
D
Includes directors’ search fee of £27,000 (2025 – £35,000), fees paid to the Company’s broker in respect of the strategic review of £205,000 (2025 – £85,000),
£136,000 legal fees in respect of the change in manager and £80,000 one-off transition and migration costs incurred in connection with the transition of the
Company’s management arrangements following the strategic review.
E
Includes printing and postage costs of £31,000 related to the Board’s exercise to identify and contact shareholders (2025 – Nil).
6. Finance costs
2026 2025
Revenue
£’000
Capital
£’000
Total
£’000
Revenue
£’000
Capital
£’000
Total
£’000
Bank loans and overdraft interest 83 190 273 154 361 515
2.51% Senior Loan Note 301 703 1,004 301 703 1,004
4.37% Senior Loan Note 787 1,835 2,622 787 1,835 2,622
Amortisation of 2.51% Senior Loan
Note issue expenses
4 10 14 4 10 14
Amortisation of 4.37% Senior Loan
Note
(474) (1,107) (1,581) (474) (1,107) (1,581)
701 1,631 2,332 772 1,802 2,574
Details of the Loan Notes and their amortisation are set out in note 15. Finance costs are allocated 30% to revenue and
70%to capital.
Notes to the Financial Statements continued
For the year ended 30 June 2026
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Murray Income Trust Annual Report 2026
7. Ordinary dividends on equity shares
2026 2025
Rate £’000 Rate £’000
Fourth interim dividend previous year 11.50p 11,258 10.00p 10,428
First interim dividend current year 9.50p 9,300 9.50p 9,734
Second interim dividend current year 9.50p 9,024 9.50p 9,496
Third interim dividend current year 9.50p 8,888 9.50p 9,311
38,470 38,969
The fourth interim dividend for 2026 of 12.50p per Ordinary share has not been included as a liability in these financial
statements as it was not paid until after the reporting date (10 September 2026).
The following table sets out the total dividends paid and proposed in respect of the financial year, which is the basis on
which the requirements of Section 1158–1159 of the Corporation Tax Act 2010 are considered. The revenue available for
distribution by way of dividend for the year is £38,942,000 (2025 – £39,030,000).
2026 2025
Rate £’000 Rate £’000
Three interim dividends of 9.50p each (2025: three interim
dividends of 9.50p each)
28.50p 27,212 28.50p 28,541
Fourth interim dividend 12.50p 11,664 11.50p 11,258
41.00p 38,876 40.00p 39,799
8. Taxation
2026 2025
Revenue
£’000
Capital
£’000
Total
£’000
Revenue
£’000
Capital
£’000
Total
£’000
(a) Analysis of charge for the
year
Overseas tax incurred 193 – 193 87 – 87
Overseas tax reclaimable (156) – (156) (80) – (80)
Total tax charge for the year 37 – 37 7 – 7
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(b) Factors affecting the tax charge for the year. The UK corporation tax rate is 25% (2025 – 25%). The tax charge for the year is
lower than the corporation tax rate (2025 – lower). The differences are explained below:
2026 2025
Revenue
£’000
Capital
£’000
Total
£’000
Revenue
£’000
Capital
£’000
Total
£’000
Net return before taxation 38,979 93,708 132,687 39,037 (16,150) 22,887
Net return multiplied by the
standard rate of corporation tax of
25% (2025 – 25%)
9,745 23,427 33,172 9,759 (4,038) 5,721
Effects of:
Non-taxable UK dividends (7,701) – (7,701) (6,636) – (6,636)
Non-taxable overseas dividends (1,588) – (1,588) (2,752) – (2,752)
Expenses not deductible for tax
purposes
– – – 2 – 2
Movement in unutilised
management expenses
(456) 798 342 (378) 1,029 651
Realised and unrealised (gains)/
losses on investments and
derivatives
– (24,291) (24,291) – 3,124 3,124
Currency movements not taxable – 66 66 – (115) (115)
Overseas tax payable 37 – 37 7 – 7
Total tax charge 37 – 37 2 – 2
(c) Factors that may affect future tax charges. No provision for deferred tax has been made in the current or prior
accounting period.
The Company has not provided for deferred tax on capital gains or losses arising on the revaluation or disposal of
investments as it is exempt from tax on these items because of its status as an investment trust company.
At the year end, the Company has, for taxation purposes only, accumulated unrelieved management expenses and loan
relationship deficits of £81,750,000 (2025 – £80,363,000). A deferred tax asset at the standard rate of corporation tax of
25% (2025– 25%) of £20,438,000 (2025 – £20,091,000) has not been recognised and these expenses will only be utilised if
the Company has profits chargeable to corporation tax in the future. It is considered too uncertain that the Company will
generate such profits and therefore no deferred tax asset has been recognised.
9. Return per Ordinary share - basic and diluted
2026 2025
£’000 p £’000 p
Returns are based on the following figures:
Revenue return 38,942 40.6 39,030 38.6
Capital return 93,708 97.7 (16,150) (16.0)
Total return 132,650 138.3 22,880 22.6
Weighted average number of Ordinary shares in issue 95,920,722 101,127,810
During the year ended 30 June 2026 there were no potentially dilutive shares in issue (2025 - none).
Notes to the Financial Statements continued
For the year ended 30 June 2026
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Murray Income Trust Annual Report 2026
10. Investments at fair value through profit or loss
2026
£’000
2025
£’000
Opening book cost 917,729 922,927
Opening investment holdings gains 93,319 150,607
Opening fair value 1,011,048 1,073,534
Analysis of transactions made during the year
Purchases at cost 967,197 235,047
Sales proceeds received (1,027,854) (285,038)
Gains/(losses) on investments 96,831 (12,495)
Closing fair value 1,047,222 1,011,048
2026
£’000
2025
£’000
Closing book cost 1,007,262 917,729
Closing investment gains 39,960 93,319
Closing fair value 1,047,222 1,011,048
2026
£’000
2025
£’000
Gains on investments
Realised gains on sale of investments at fair value 150,277 44,793
Realised losses on exercise of put options (87) -
Net movement in investment holdings gains (53,359) (57,288)
96,831 (12,495)
The Company received £1,027,854,000 (2025 – £285,038,000) from investments sold in the year. The book cost of these
investments when they were purchased was £877,577,000 (2025 – £240,245,000). These investments have been revalued over
time and until they were sold any unrealised gains/(losses) were included in the fair value of the investments.
Transaction costs. During the year expenses were incurred in acquiring or disposing of investments classified at fair value
through profit or loss. These have been expensed through capital and are included within gains on investments in the
Statement of Comprehensive Income. The total costs were as follows:
2026
£’000
2025
£’000
Purchases 4,531 1,040
Sales 301 169
4,832 1,209
The above transaction costs are calculated in line with the AIC SORP. The transaction costs associated with the transition of
the portfolio were £3,915,000.
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11. Derivatives
(a) Valuation of derivatives
The year-end fair value represents the unrealised gain or loss on open forward currency contracts. At 30 June 2026 collateral
received in relation to open forward currency contracts amounted to £130,000 (30 June 2025: £nil). Northern Trust is the
counterparty.
2026 2025
Fair value
current
assets
£’000
Fair value
current
liabilities
£’000
Gross
Exposure
£’000
Fair value
current
assets
£’000
Fair value
current
liabilities
£’000
Gross
Exposure
£’000
Forward currency contracts 168 – 168 – – –
168 – 168 – – –
(b) Movement in derivatives
2026
£’000
2025
£’000
Movement in year:
Closed contracts - realised gains 163 –
Open contracts - increase in fair value 168 –
Gains on derivatives in the year 331 –
12. Other debtors and receivables
2026
£’000
2025
£’000
Amounts due from brokers for sale of investments 1,149 3,418
Accrued income 3,243 3,539
Taxation recoverable 3,902 5,120
Prepayments 25 29
8,319 12,106
13. Cash and cash equivalents
2026
£’000
2025
£’000
Cash at bank and in hand 101 3,371
Money market funds 22,522 7,055
22,623 10,426
The Company holds £22,522,000 (2025 – £7,055,000) in Northern Trust Global Funds plc - Sterling Fund (2025 – Aberdeen
Standard Liquidity Fund (Lux) – Sterling Fund) which is managed and administered by Northern Trust (2025 – Aberdeen).
Notes to the Financial Statements continued
For the year ended 30 June 2026
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Murray Income Trust Annual Report 2026
14. Creditors: amounts falling due within one year
2026
£’000
2025
£’000
Other creditors 777 1,447
Amounts due to brokers for purchase of investments 3,776 3,043
Amounts due to brokers for Ordinary shares bought back – 205
4,553 4,695
Bank loans and overdrafts – 6,140
4,553 10,835
The Company has a three year £30 million multi-currency unsecured revolving bank credit facility with The Royal Bank of
Scotland International Limited, committed until 22 October 2027. Under the terms of the agreement, the Company has
the option to increase the level of the commitment from £30 million to £50 million at any time, subject to the Lender’s
credit approval. Subsequent to the year end the Board reduced the revolving bank credit facility to £15 million effective
7August2026.
As at 30 June 2026, the Company had no amounts drawn down under the facility (2025 – the following amounts were drawn
down under the facility, all with a maturity date of 30 July 2025):
2026 2025
Currency £’000 Currency £’000
Euro at an all-in rate of nil (2025: 3.38%) – – 3,500,000 2,998
Norwegian Krone at an all-in rate of nil (2025: 5.76%) – – 5,900,000 426
Swedish Krona at an all-in rate of nil (2025: 3.56%) – – 9,500,000 727
US Dollar at an all-in rate of nil (2025: 5.74%) – – 2,725,000 1,989
– 6,140
Financial covenants contained within the facility agreement provide, inter alia, that the ratio of net assets to borrowings
must be greater than 3.5:1 and that net assets must exceed £550 million. All financial covenants were met during the year
and also during the period from the year end to the date of this report.
15. Creditors: amounts falling due after more than one year
2026
£’000
2025
£’000
2.51% Senior Loan Note 40,000 40,000
Unamortised 2.51% Senior Loan Note issue expenses (18) (31)
39,982 39,969
4.37% Senior Loan Note at fair value 73,344 73,344
Amortisation of 4.37% Senior Loan Note (8,887) (7,306)
64,457 66,038
104,439 106,007
On 8 November 2017 the Company issued £40,000,000 of 10 year Senior Loan Notes at a fixed rate of 2.51%. Interest
is payable in half yearly instalments in May and November and the Loan Notes are due to be redeemed at par on
8November 2027.
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As a result of the transaction with Perpetual Income and Growth Investment Trust plc on 17 November 2020, £60,000,000
of 15 year Senior Loan Notes at a fixed rate of 4.37% issued on 8 May 2014 were novated to the Company. Under FRS 102
the loan notes are required to be recorded initially at their fair value of £73,344,000 in the Company’s Financial Statements
and are then amortised over the remaining life of the loan towards their redemption value of £60,000,000. The amortisation
adjustment is presented as a finance cost, split 70% to capital and 30% to revenue. Interest is payable in half yearly
instalments in May and November and the Loan Notes are due to be redeemed at par on 8 May 2029.
Both the Loan Notes are secured by a floating charge over the whole of the assets of the Company and rank pari passu.
The Company has complied with the Senior Loan Note Purchase Agreements covenants throughout the year that the ratio
of net assets to gross borrowings must be greater than 3.5:1, and that net assets will not be less than £550,000,000 throughout
the year.
16. Share capital
2026 2025
Shares £’000 Shares £’000
Allotted, called-up and fully-paid:
Ordinary shares of 25p each: publicly held 93,313,684 23,328 97,912,184 24,478
Ordinary shares of 25p each: held in treasury 26,215,848 6,554 21,617,348 5,404
119,529,532 29,882 119,529,532 29,882
During the year 4,598,500 Ordinary shares were bought back (2025 - 6,772,817) to be held in treasury by the Company at a
total cost of £41,708,000 (2025 - £57,455,000) representing 4.7% (2025 - 6.5%) of called-up share capital excluding Ordinary
shares held in treasury at the start of the year.
17. Net asset value per Ordinary share – basic and diluted
2026
Net Asset Value Attributable
2025
Net Asset Value Attributable
£’000 pence £’000 pence
Net asset value – debt at par 969,210 1,038.7 916,738 936.3
Add: amortised cost of 2.51% Senior Loan Notes 39,982 42.8 39,969 40.8
Less: fair value of 2.51% Senior Loan Notes (38,958) (41.7) (38,170) (39.0)
Add: amortised cost of 4.37% Senior Loan Notes 64,457 69.1 66,038 67.5
Less: fair value of 4.37% Senior Loan Notes (59,639) (63.9) (59,550) (60.8)
Net asset value – debt at fair value 975,052 1,045.0 925,025 944.8
18. Analysis of changes in net debt
At
1 July 2025
£’000
Currency
differences
£’000
Cash flows
£’000
Non-cash
movements
£’000
At
30 June 2026
£’000
Cash and cash equivalents* 10,426 (101) 12,298 – 22,623
Debt due within one year (6,140) (163) 6,303 – –
Debt due after more than one year (106,007) – – 1,568 (104,439)
(101,721) (264) 18,601 1,568 (81,816)
Notes to the Financial Statements continued
For the year ended 30 June 2026
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Murray Income Trust Annual Report 2026
At
1 July 2024
£’000
Currency
differences
£’000
Cash flows
£’000
Non-cash
movements
£’000
At
30 June 2025
£’000
Cash and cash equivalents* 25,148 314 (15,036) – 10,426
Debt due within one year (6,282) 146 (4) – (6,140)
Debt due after more than one year (107,574) – – 1,567 (106,007)
(88,708) 460 (15,040) 1,567 (101,721)
* An analysis of cash and cash equivalents between cash at bank and in hand and money market funds is provided in note 13 on page 70.
A statement reconciling the movement in net funds to the net cash flow has not been presented as there are no differences
from the above analysis.
19. Financial instruments
This note summarises the risks deriving from the financial instruments that comprise the Company’s assets and liabilities.
The Company’s investment activities expose it to various types of financial risk associated with the financial instruments and
markets in which it invests. The Company’s financial instruments, other than derivatives, comprise securities and other investments,
cash balances, liquid resources, loans and debtors and creditors that arise directly from its operations; for example, in respect
of sales and purchases awaiting settlement, and debtors for accrued income. The Company also has the ability to enter into
derivative transactions in the form of forward foreign currency contracts, futures and options, subject to Board approval, for the
purpose of enhancing portfolio returns and for hedging purposes in a manner consistent with the Company’s broader investment
policy. The fair value of open derivative positions at the year end was £168,000 (30 June 2025: £nil).
Risk management framework. The directors of Artemis Fund Managers Limited collectively assume responsibility for the
Manager’s obligations under the AIFMD including reviewing investment performance and monitoring the Company’s risk
profile during the year.
Risk management of the financial instruments. The main risks the Company faces from these financial instruments are
(a)market risk (comprising (i) interest rate, (ii) foreign currency and (iii) other price risk), (b) liquidity risk and (c) credit risk.
In order to mitigate risk, the emphasis is on the absolute return and yield from the portfolio as a whole rather than the
individual companies which the Company invests in, which is achieved by ensuring an appropriate diversification of stocks
and sectors within the portfolio, with a high proportion of assets in strong, well-researched companies. The Company
maintains a diversified portfolio of UK and overseas equities with an emphasis on investing in quality companies with
good management, strong cash flow, a sound balance sheet and which are generating a reliable earnings stream. The
Manager actively monitors market prices throughout the year and reports to the Board, which meets regularly in order to
consider investment strategy. The Company’s strategy is detailed in the Chair’s Statement on pages 3 to 6, in the Investment
Manager’s Report on pages 7 to 11 and in Overview of Strategy on pages 18 to 19.
The Board has agreed the parameters for net gearing, which was 8.7% of net assets as at 30 June 2026 (2025 – 11.0%). The
Manager’s policies for managing these risks are summarised below and have been applied throughout the current and
previous year. The numerical disclosures in the tables listed below exclude short-term debtors and creditors.
19 (a) Market risk. The Company’s investment portfolio is exposed to market price fluctuations, which are monitored
by the Manager in pursuance of the investment objective as set out on page 18. Adherence to investment guidelines
and to investment and borrowing powers set out in the management agreement mitigates the risk of exposure to any
particular security or issuer. Further information on the investment portfolio is set out in the Investment Manager’s Report
onpages7to 15.
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Market price risk arises mainly from uncertainty about future prices of financial instruments used in the Company’s
operations. It represents the potential loss the Company might suffer through holding market positions as a consequence of
price movements. It is the Board’s policy to hold equity investments in the portfolio in a broad spread of sectors in order to
reduce the risk arising from factors specific to a particular sector. A summary of investment changes during the year under
review is on page 32 and an analysis of the equity portfolio by sector is on page 30.
19 (a)(i) Interest rate risk. Interest rate movements may affect:
– the level of income receivable on cash deposits;
– interest payable on the Company’s variable rate borrowings; and
– the fair value of any investments in fixed interest rate securities.
Management of the risk. The possible effects on fair value and cash flows that could arise as a result of changes in interest
rates are taken into account when making investment and borrowing decisions. Details of the bank loan and interest rates
applicable can be found in note 14.
The Board imposes borrowing limits to ensure gearing levels are appropriate to market conditions and reviews these on
a regular basis. Interest rate risk is the risk of movements in the value of financial instruments as a result of fluctuations in
interest rates.
Financial assets. The interest rate risk of the portfolio of financial assets at the reporting date was as follows:
Floating rate Non-interest bearing
2026
£’000
2025
£’000
2026
£’000
2025
£’000
Euro – – 36,038 91,964
Norwegian Krone – – – 13,137
Singapore Dollars – – – 27,367
Sterling 22,623 10,382 1,011,184 828,582
Swedish Krone – – – 20,979
Taiwan Dollars – 44 – 9,652
US Dollars – – – 19,367
Total 22,623 10,426 1,047,222 1,011,048
The floating rate assets consist of cash at bank and cash held in money market funds earning interest at prevailing market
rates.
The non-interest bearing assets represent the equity element of the portfolio.
Financial liabilities. The Company has floating rate borrowings by way of its loan facility and fixed rate senior loan note
issues, details of which are in notes 14 and 15.
Interest rate sensitivity. The sensitivity analysis below has been determined based on the exposure to interest rates for both
derivative and non-derivative instruments at the reporting date and the stipulated change taking place at the beginning of
the financial year and held constant in the case of instruments that have floating rates.
If interest rates had been 1% higher or lower and all other variables were held constant, the Company’s profit before tax
for the year ended 30 June 2026 and net assets would increase/decrease by £226,000 (2025 – £47,000) respectively. This is
mainly attributable to the Company’s exposure to interest rates on its floating rate cash balances and borrowings.
19 (a)(ii) Foreign currency risk. A proportion of the Company’s investment portfolio is invested in overseas securities whose
values are subject to fluctuation due to changes in foreign exchange rates. In addition, the impact of changes in foreign
exchange rates upon the profits of investee companies can result, indirectly, in changes in their valuations. Consequently,
the Statement of Financial Position can be affected by movements in exchange rates.
Notes to the Financial Statements continued
For the year ended 30 June 2026
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Murray Income Trust Annual Report 2026
Management of the risk. The revenue account is subject to currency fluctuations arising on dividends receivable in foreign
currencies and, indirectly, due to the impact of foreign exchange rates upon the profits of investee companies. It is not the
Company’s policy to hedge this currency risk but the Board keeps under review the currency returns in both capital and
income.
Foreign currency risk exposure by currency of denomination falling due within one year is set out in the table below. Net
monetary assets/(liabilities) comprise cash and loan balances and exclude other debtors and receivables and other
payables (including amounts due to or from brokers).
30 June 2026 30 June 2025
Investments
£’000
Net
monetary
assets/
(liabilities)
£’000
Total
currency
exposure
£’000
Investments
£’000
Net
monetary
assets/
(liabilities)
£’000
Total
currency
exposure
£’000
Euro 36,038 – 36,038 91,964 (2,998) 88,966
Norwegian Krone – – – 13,137 (426) 12,711
Singapore Dollars – – – 27,367 – 27,367
Swedish Krone – – – 20,979 (727) 20,252
Taiwan Dollars – – – 9,652 44 9,696
US Dollars – – – 19,367 482 19,849
Total 36,038 – 36,038 182,466 (3,625) 178,841
Foreign currency sensitivity. The following table details the impact on the Company’s net assets to a 10% decrease (in the
context of a 10% increase the figures below should all be read as negative) in Sterling against the foreign currencies in which
the Company has exposure. The sensitivity analysis includes foreign currency denominated monetary and non-monetary
items and adjusts their translation at the period end for a 10% change in foreign currency rates.
2026
£’000
2025
£’000
Euro 3,604 8,897
Norwegian Krone – 1,271
Singapore Dollars – 2,737
Swedish Krone – 2,025
Taiwan Dollars – 970
US Dollars – 1,985
Total 3,604 17,885
19(a)(iii) Other price risk. Other price risks (ie changes in market prices other than those arising from interest rate or
currency risk) may affect the value of the quoted investments.
Management of the risk. It is the Board’s policy to hold an appropriate spread of investments in the portfolio in order to
reduce the risk arising from factors specific to a particular sector. The allocation of assets to international markets and the
stock selection process, as detailed in the section “Delivering the Investment Policy” on page 18, both act to reduce market
risk. The Manager actively monitors market prices throughout the year and reports to the Board, which meets regularly in
order to review investment strategy.
Other price risk sensitivity. If market prices at the reporting date had been 10% higher or lower while all other variables
remained constant, the return attributable to Ordinary shareholders and equity for the year ended 30 June 2026 would have
increased/decreased by £104,722,000 (2025 – £101,105,000).
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19 (b) Liquidity risk. This is the risk that the Company will encounter difficulty in meeting obligations associated with
financial liabilities as they fall due in line with the maturity profile analysed as follows:
At 30 June 2026
Within
1 year
£’000
Within
1-3 years
£’000
Within
3-5 years
£’000
Total
£’000
2.51% Senior Loan Note 8/11/27 – 40,000 – 40,000
4.37% Senior Loan Note 8/5/29 – 60,000 – 60,000
Interest cash flows on 2.51% Senior Loan Note 1,004 502 – 1,506
Interest cash flows on 4.37% Senior Loan Note 2,622 5,244 – 7,866
Cash flows on other creditors 4,553 – – 4,553
8,179 105,746 – 113,925
At 30 June 2025
Within
1 year
£’000
Within
1-3 years
£’000
Within
3-5 years
£’000
Total
£’000
Bank loans 6,140 – – 6,140
2.51% Senior Loan Note 8/11/27 – 40,000 – 40,000
4.37% Senior Loan Note 8/5/29 – – 60,000 60,000
Interest cash flows on bank loans 3 – – 3
Interest cash flows on 2.51% Senior Loan Note 1,004 1,506 – 2,510
Interest cash flows on 4.37% Senior Loan Note 2,622 5,244 2,622 10,488
Cash flows on other creditors 4,695 – – 4,695
14,464 46,750 62,622 123,836
Management of the risk. The Company’s assets comprise readily realisable securities which can be sold to meet funding
commitments if necessary. Short-term flexibility is achieved through the use of committed loan and overdraft facilities.
As at 30 June 2026 the Company utilised £nil (2025 – £6,140,000) of a £30,000,000 multi–currency revolving bank credit facility,
which is committed until 22 October 2027. Details of maturity dates and interest charges can be found in note 14. The
aggregate of all future interest payments at the rate ruling at 30 June 2026 and the redemption of the loan amounted to £nil
(2025 – £6,140,000).
19 (c) Credit risk. This is the risk that one party to a financial instrument will fail to discharge an obligation and cause the
other party to incur a financial loss.
Management of the risk. The risk is mitigated by the Manager reviewing the credit ratings of counterparties. Therisk
attached to dividend flows is mitigated by the Manager’s research of potential investee companies. The Company’s
custodian bank is responsible for the collection of income on behalf of the Company and its performance is reviewed
by the Depositary (on an ongoing basis) and by the Board on a regular basis. It is the Manager’s policy to trade only with
A– and above (Long Term rated) and A–1/P–1 (Short Term rated) counterparties. The maximum credit risk at 30 June 2026
is £26,955,000 (2025 – £17,329,000) consisting of £3,183,000 (2025 – £3,485,000) of dividends receivable from equity shares,
£1,149,000 (2025 – £3,418,000) receivable from brokers and £22,623,000 (2025 – £10,426,000) in cash and cash equivalents.
None of the Company’s financial assets are past due or impaired (2025 – none).
20. 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. Categorisation within the hierarchy is determined on the basis of the lowest
level input that is significant to the fair value measurement of each relevant asset or liability. The fair value hierarchy has the
following levels:
Level 1: unadjusted quoted prices in an active market for identical assets or liabilities that the entity can access at the
measurement date;
Notes to the Financial Statements continued
For the year ended 30 June 2026
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Murray Income Trust Annual Report 2026
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; and
Level 3: inputs are unobservable (ie for which market data is unavailable) for the asset or liability.
The valuation techniques used by the Company are explained in the accounting policies note 2(e). The Company’s
portfolio consists of quoted equities, which are level 1 and forward currency contracts, which are level 2. Derivative financial
instruments, including forward currency contracts are valued at fair value, which is the net unrealised gain or loss.
The fair value of both the 2.51% Senior Loan Notes and 4.37% Senior Loan Note have been calculated by aggregating the
expected future cash flows for those loans discounted at a rate based on UK gilts issued with comparable coupon rates and
maturity dates plus a margin representing the credit risk for Investment Grade A bonds. The fair value and amortised cost
amounts can be found in note 17.
All other financial assets and liabilities of the Company are included in the Statement of Financial Position at their book value
which in the opinion of the Directors is not materially different from their fair value.
The following table sets out the fair value measurements using the FRS 102 hierarchy at 30 June.
2026 2025
Assets
£’000
Liabilities
£’000
Assets
£’000
Liabilities
£’000
Level 1 1,047,222 – 1,011,048 –
Level 2
- Derivative financial instruments (forward currency contracts) 168 – – –
Total 1,047,390 – 1,011,048 –
21. Related party transactions and transactions with the Manager
Fees payable during the year to the Directors and their interests in shares of the Company are considered to be related party
transactions and are disclosed within the Directors’ Remuneration section of the Directors’ Remuneration Report on page 46.
The Company has agreements with the Manager for the provision of management, secretarial, accounting and
administration services and promotional activities. Details of transactions during the year and balances outstanding at the
year end are disclosed in notes 4 and 5.
22. Capital management policies and procedures
The investment objective of the Company is to achieve a high and growing income combined with capital growth through
investment in a portfolio principally of UK equities.
The capital of the Company consists of debt (comprising loan notes and bank loans) and equity (comprising issued capital,
reserves and retained earnings). The Company manages its capital to ensure that it will be able to continue as a going
concern while maximising the return to shareholders through the optimisation of the debt and equity balance.
The Board monitors and reviews the broad structure of the Company’s capital on an ongoing basis. This review includes:
– the level of equity shares in issue;
– the planned level of gearing which takes into account the Manager’s views on the market (net gearing figures can be
found on page 80); and
– the extent to which revenue in excess of that which is required to be distributed should be retained.
The Company’s objectives, policies and processes for managing capital are unchanged from the preceding accounting period.
Notes 14 and 15 give details of the Company’s bank facility agreement and loan notes respectively.
23. Post balance sheet events
The Company has reduced its revolving credit facility from £30 million to £15 million from 7 August 2026.
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AIFMD Disclosures (Unaudited)
The Manager and the Company are required to make
certain disclosures available to investors in accordance
with the AIFMD. Those disclosures that are required to be
made pre-investment are included within a pre-investment
disclosure document (“PIDD”) which may be found on the
Company’s website (murray-income.co.uk), maintained by
the Manager.
AIFMD or the Directive
The Alternative Investment Fund Managers Directive -
Following the appointment of Artemis as the Company’s
AIFM with effect from 2 March 2026, replacing abrdn Fund
Managers Limited, a new PIDD was published by Artemis on
that date. The PIDD reflects the Company’s management
and other arrangements following the change of AIFM. There
have been no material changes to the disclosures contained
within the PIDD since its publication on 2 March 2026.
The periodic disclosures as required under the AIFMD to
investors are made below:
• information on the investment strategy, geographic and
sector investment focus and principal stock exposures is
included in the Strategic Report;
• none of the Company’s assets are subject to special
arrangements arising from their illiquid nature;
• the Strategic Report, Note 19 to the financial statements
and the PIDD, together set out the risk profile and risk
management systems in place. Following the change
of AIFM on 2 March 2026, the risk management systems
applicable to the Company are those operated by
Artemis and its delegates as described in the PIDD. There
have been no material changes to those systems since
Artemis’s appointment and no breaches of any of the risk
limits set, with no breach expected; and
• since the appointment of Artemis on 2 March 2026, there
have been no new arrangements for managing the
liquidity of the Company or any material changes to the
liquidity management systems and procedures described
in the PIDD.
All authorised Alternative Investment Fund Managers are
required to comply with the AIFMD Remuneration Code. In
accordance with the AIFMD Remuneration Code, the AIFM’s
remuneration policy in respect of its reporting period ended
31 December 2025 is detailed below.
Remuneration
Artemis Fund Managers Limited (“AFML”) as the alternative
investment fund manager (“AIFM”) is required to disclose
certain information relating to remuneration paid by the AIFM
during its financial year.
Artemis operates its remuneration policies and practices
at a group level which includes both Artemis Investment
Management LLP and its subsidiary AFML. Remuneration
levels are set to attract, retain and motivate talented partners
and staff and align the long term interests of partners and staff
with those of the firm’s clients.
The remuneration policies which apply to all partners and
staff across the group are overseen by the Remuneration
Committee. The members of the Remuneration Committee
are all non-executive officers. The Remuneration Committee
is responsible for setting and overseeing the implementation
of Artemis’s remuneration policy, including approving
the remuneration of partners and other senior staff. The
Remuneration Committee regularly reviews the remuneration
policy to ensure it remains appropriate. The Remuneration
Committee considers inputs from Artemis’s Risk & Compliance
function when reviewing remuneration matters, including any
risk adjustments considered necessary.
The Artemis remuneration period runs from 1 January to
31 December. Certain partners and staff are classified as
‘Material Risk Takers’ as their professional activities have a
material impact on the risk profile of the firm. The payment
of some of their variable remuneration (which may include
profit share for partners) is deferred. Further, Artemis has the
ability to reduce all or part of deferred variable remuneration
that has been previously allocated to Material Risk Takers
both: (a) before the end of the vesting period; and (b) within
two years following the payment of any elements of variable
remuneration.
The policy of abrdn Fund Managers Limited, as AIFM until 1
March 2026, is available on the website of abrdn plc at www.
aberdeenplc.com/en-gb/about-us/our-leadership-team/
remuneration-disclosure.
Leverage
For the purposes of the Alternative Investment Fund Managers
Directive, leverage is any method which increases the
Company’s exposure, including the borrowing of cash and
the use of derivatives. It is expressed as a ratio between the
Company’s exposure and its net asset value and can be
calculated on a gross and a commitment method. Under the
gross method, exposure represents the sum of the Company’s
positions after the deduction of Sterling cash balances,
without taking into account any hedging and netting
arrangements. Under the commitment method, exposure is
calculated without the deduction of Sterling cash balances
and after certain hedging and netting positions are offset
against each other.
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Murray Income Trust Annual Report 2026
The table below sets out the current maximum permitted limit
and actual level of leverage for the Company:
Gross Method
Commitment
Method
Maximum level of
leverage
2.50:1 2.00:1
Actual level at 30 June
2026
1.23:1 1.19:1
There have been no breaches of the maximum level during
the period and no changes to the maximum level of leverage
employed by the Company. There is no right of re-use of
collateral or any guarantees granted under the leveraging
arrangement. Changes to the information contained either
within this Annual Report or the PIDD in relation to any special
arrangements in place; the maximum level of leverage which
the AIFM may employ on behalf of the Company; the right
of use of collateral or any guarantee granted under any
leveraging arrangement; or any change to the position in
relation to any discharge of liability by the Depositary will be
notified via a regulatory news service without undue delay in
accordance with the AIFMD.
The information on this page has been approved for the
purposes of Section 21 of the Financial Services and Markets
Act 2000 (as amended by the Financial Services Act 2012)
by the Manager which is authorised and regulated by the
Financial Conduct Authority in the United Kingdom.
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Information
GeneralGovernance
Alternative Performance Measures
Alternative performance measures are numerical measures
of the Company’s current, historical or future performance,
financial position or cash flows, other than financial
measures defined or specified in the applicable financial
framework. The Company’s applicable financial framework
includes FRS102 and the AIC SORP. The Directors assess
the Company’s performance against a range of criteria
which are reviewed as particularly relevant for closed-end
investment companies.
Discount to net asset value per Ordinary share
with debt at fair value
The discount is the amount by which the share price is lower
than the net asset value per share with debt at fair value,
expressed as a percentage of the net asset value.
30 June
2026
30 June
2025
NAV per Ordinary share a 1,045.0p 944.8p
Share price b 975.0p 854.0p
Discount (b-a)/a (6.7)% (9.6)%
Discount to net asset value per Ordinary share
with debt at par value
The discount is the amount by which the share price is lower
than the net asset value per share with debt at par value,
expressed as a percentage of the net asset value.
30 June
2026
30 June
2025
NAV per Ordinary share a 1,038.7p 936.3p
Share price b 975.0p 854.0p
Discount (b-a)/a (6.1)% (8.8)%
Dividend cover
Dividend cover is the revenue return per Ordinary share
divided by dividends per Ordinary share expressed as a ratio.
Year ended
30 June
2026
30 June
2025
Revenue return per share a 40.60p 38.60p
Dividends per share b 41.00p 40.00p
Dividend cover a/b 1.00 0.97
Dividend yield
The annual dividend per Ordinary share divided by the share price, expressed as a percentage.
Year ended
30 June
2026
30 June
2025
Dividends per share (p) a 41.00p 40.00p
Share price (p) b 975.00p 854.00p
Dividend yield a/b 4.2% 4.7%
Net asset value per Ordinary share with debt at fair value
The calculation of the Company’s net asset value per Ordinary share with debt at fair value is set out in note 17.
Net gearing with debt at fair value
Net gearing with debt at fair value measures the total borrowings less cash and cash equivalents divided by net assets with debt
at fair value, expressed as a percentage. Under AIC reporting guidance, cash and cash equivalents includes amounts due to
and from brokers at the year end as well as cash and cash equivalents.
30 June 2026 30 June 2025
Bank loans (£’000) a – (6,140)
Senior Loan Notes (£’000) b (104,439) (106,007)
Total borrowings (£’000) c=a+b (104,439) (112,147)
Cash and cash equivalents (£’000) d 22,623 10,426
Amounts due to brokers for purchase of investments (£’000) e (3,776) (3,043)
Amounts due from brokers for sale of investments (£’000) f 1,149 3,418
Net assets with debt at fair value (£’000) g 975,052 925,025
Net gearing –(c+d+e+f)/g 8.7% 11.0%
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Murray Income Trust Annual Report 2026
Ongoing charges
The ongoing charges ratio has been calculated based on the total of investment management fees and administrative
expenses less non-recurring charges and expressed as a percentage of the average daily net asset values with debt at fair value
published throughout the year.
Year ended 30 June 2026 30 June 2025
Investment management fees (£’000) a 2,227 3,304
Impact of investment management fee waiver (£’000) b 1,155 –
Administrative expenses (£’000) c 1,722 1,424
Less: non-recurring charges
A
(£’000) d (574) (143)
Ongoing charges (£’000) a+b+c+d 4,530 4,585
Average net assets (£’000) e 942,679 954,383
Ongoing charges ratio (a+b+c+d)/e 0.48% 0.48%
A
30 June 2026 comprises directors’ search fee of £27,000, fees paid to the Company’s broker in respect of the strategic review of £205,000,
£136,000 legal fees in respect of the change in manager and £127,000 one-off transition and migration costs incurred in connection with the
transition of the Company’s management arrangements following the strategic review. Irrecoverable VAT is included in this balance. 30 June 2025
comprises £85,000 relating to costs accrued in respect of the strategic review, £35,000 directors recruitment fee, £20,000 relating to legal fees for
the new loan facility and £3,000 relating to other professional services unlikely to recur.
Total return
Share price and NAV total returns show how the NAV and share price has performed over a period of time in percentage terms,
taking into account both capital returns and dividends paid to shareholders. Share price and NAV total returns are monitored
against open-ended and closed-ended competitors, and the FTSE All-Share Index, respectively.
Year ended 30 June 2026 Share price
NAV
(debt at fair value)
NAV
(debt at par)
Opening at 1 July 2025 a 854.0p 944.8p 936.3p
Closing at 30 June 2026 b 975.0p 1,045.0p 1,038.7p
Price movements c=(b/a)-1 14.2% 10.6% 10.9%
Dividend reinvestment
A
d 5.0% 4.5% 4.5%
Total return c+d 19.2% 15.1% 15.4%
Year ended 30 June 2025 Share price
NAV
(debt at fair value)
NAV
(debt at par)
Opening at 1 July 2024 a 857.0p 957.9p 946.0p
Closing at 30 June 2025 b 854.0p 944.8p 936.3p
Price movements c=(b/a)-1 (0.4)% (1.4)% (1.0)%
Dividend reinvestment
A
d 4.7% 4.1% 4.1%
Total return c+d 4.3% 2.7% 3.1%
A
Share price total return involves reinvesting the net dividend in the share price of the Company on the date on which that dividend goes
ex-dividend. NAV total return involves investing the net dividend in the NAV of the Company with debt at fair value on the date on which that
dividend goes ex-dividend.
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Glossary of Terms
AIC
Association of Investment Companies.
AIFM/Manager
Alternative Investment Fund Manager. Artemis Fund
Managers Limited is the Company’s AIFM and Manager.
AIFMD
Alternative Investment Fund Managers Directive
Benchmark
FTSE All-Share index
Contracts for Difference (“CfD”)
A CFD is a financial instrument that gives investors exposure to
changes in the price of an asset, such as a company share,
without owning the asset itself. The investor contracts with a
counterparty to exchange the difference in the asset’s value
between the date the contract is opened and the date it
is closed. If the price of the asset rises, the investor receives
the gain; if the price falls, the investor pays the loss. CFDs are
commonly used to gain exposure to shares, commodities and
currencies. When the Company holds a long CFD on a share,
it generally receives an amount equivalent to any dividends
paid on the underlying share, even though it does not own
the share itself. This amount is recognised as derivative
income in the financial statements. The Company also pays
a financing charge on the value of the exposure provided
by the CFD, reflecting the cost of the leverage offered by the
counterparty. This is recorded as a finance cost in the financial
statements.
FCA
The Financial Conduct Authority.
Free cash flow
Cash generated by a business after meeting its operating
costs and the investment required to maintain the business.
It may be used for further investment, acquisitions, debt
repayment or distributions to shareholders.
Investment Trust
A type of closed-end Fund which invests in other securities,
allowing shareholders to share the risks, and returns, of
collective investment.
Key Information Document or KID
The Packaged Retail and Insurance-based Investment
Products (“PRIIPs”) Regulation requires the Manager, as
the Company’s PRIIP ‘manufacturer’, to prepare a Key
Information Document (“KID”) in respect of the Company.
This KID must be made available by the Manager to retail
investors prior to them making any investment decision and
is available via the Company’s website. The Company is
not responsible for the information contained in the KID and
investors should note that the procedures for calculating the
risks, costs and potential returns are prescribed by law. The
figures in the KID may not reflect the expected returns for the
Company and performance returns cannot be guaranteed.
Net Asset Value or NAV
The net asset value or NAV is the Company’s total assets less
liabilities. Liabilities for this purpose include current and long-
term liabilities such as the Company’s £40m senior loan notes
expiring in 2027 and £60m senior loan notes expiring in 2029.
NAV per Ordinary Share
The calculation of the NAV per Ordinary share is shown in
note17 on the basis of debt at par value (amortised cost)
and debt at fair value (discounted cashflow basis, as set out
in note 17).
Price/Earnings Ratio
The ratio is calculated by dividing the middle-market price
per share by the earnings per share. The calculation assumes
no change in earnings but in practice the multiple reflects
the stock market’s view of a company’s prospects and profit
growth potential.
PRIIPs
Packaged retail and insurance-based investment
products marketed to retail investors which are subject to
investmentrisk.
Share buyback
A purchase of a company’s own shares. Shares can either be
bought back for cancellation or held in treasury.
Treasury shares
A company’s own shares which are available to be sold by a
company to raise funds.
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Notice of Annual General Meeting
NOTICE IS HEREBY GIVEN that the Annual General Meeting of Murray Income Trust plc will be held at 12:00pm on Thursday
29October 2026 at The Balmoral Hotel, 1 Princes Street, Edinburgh, EH2 2EQ for the purpose of considering and if thought fit
passing the following resolutions, of which Resolutions 1 to 12 inclusive will be proposed as Ordinary Resolutions and Resolutions 13
to 15 inclusive will be proposed as Special Resolutions:
Ordinary Business
1. To receive and adopt the Directors’ Report, Independent Auditor’s Report and the audited financial statements for the year
ended 30June 2026.
2. To receive and adopt the Directors’ Remuneration Report for the year ended 30 June 2026.
3. To receive and approve the Directors’ Remuneration Policy.
4. To approve the Company’s dividend policy to pay four quarterly interim dividends per year.
5. To elect Jane Lewis* as a Director of the Company.
6. To re-elect Andrew Page* as a Director of the Company.
7. To re-elect Angus Franklin* as a Director of the Company.
8. To re-elect Stephanie Eastment* as a Director of the Company.
9. To re-elect Nandita Sahgal Tully* as a Director of the Company.
10. To re-appoint PricewaterhouseCoopers LLP as independent auditor of the Company.
11. To authorise the Audit Committee to fix the remuneration of PricewaterhouseCoopers LLP as independent auditor of the
Company for the year ended 30 June 2027.
Special Business
Authority to Allot
12. THAT, in substitution of all existing powers, the Directors be and are hereby generally and unconditionally authorised in
accordance with Section 551 of the Companies Act 2006 (the “Act”) to exercise all the powers of the Company to allot
4,665,684 Ordinary shares of 25p each in the capital of the Company (“shares”) (or, if less, the number representing 5 per
cent. of the total Ordinary shares in issue (excluding treasury shares) as at the date of passing of this resolution), during the
period expiring on the conclusion of the next Annual General Meeting of the Company after the passing of this resolution
or on 31 December 2027, whichever is the earlier, but so that this authority shall allow the Company to make offers or
agreements before the expiry of this authority which would or might require shares to be allotted after such expiry and the
Directors shall be entitled to allot shares in pursuance of such an offer or agreement as if such authority had not expired.
Disapplication of Pre-emption Rights
13. THAT, subject to the passing of Resolution 12 proposed at the Annual General Meeting of the Company convened for
29October 2026, and in substitution for all existing powers, the Directors be and are hereby empowered, pursuant to
Section 570 of the Companies Act 2006 (the “Act”), to allot equity securities (as defined in Section 560(1) of the Act) for cash
pursuant to the authority given in accordance with Section 551 of the Act by Resolution 12 or otherwise as if Section 561 of
the Act did not apply to any such allotment and to sell or transfer equity securities if, immediately before the sale or transfer,
such equity securities are held by the Company as treasury shares (as defined in Section 724(5) of the Act) as if Section 561 of
the Act did not apply to any such sale or transfer, provided that this power:
i. expires at the conclusion of the next Annual General Meeting of the Company after the passing of this resolution or
on 31 December 2027, whichever is the earlier, but so that this power shall enable the Company to make offers or
agreements which would or might require equity securities to be allotted or treasury shares to be sold or transferred
after the expiry of this power and the Directors may allot equity securities or sell or transfer treasury shares in pursuance
of any such offers or agreements as if this power had not expired;
ii. shall be limited to the allotment of equity securities up to 9,331,368 Ordinary shares (or, if less, the number representing
10 per cent. of the total Ordinary shares in issue (excluding treasury shares) as at the date of passing of this
resolution);and
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Notice of Annual General Meeting continued
iii. shall be limited in respect of the issue of shares or the sale of equity securities from treasury in the circumstances as
detailed in the section headed “Authority to allot shares and disapply pre-emption rights” in the Directors’ Report on
page 42 of the Annual Report of the Company for the year ended 30 June 2026 and at a price not less than 0.5%
above the net asset value per share (as determined by the Directors).
Authority to Make Market Purchases of Shares
14. THAT the Company be and is hereby generally and, subject as hereinafter appears, unconditionally authorised in
accordance with Section 701 of the Companies Act 2006 (the “Act”) to make market purchases (within the meaning of
Section 693(4) of the Act) of Ordinary shares of 25p each in the capital of the Company (“shares”) and to cancel or hold in
treasury such shares, provided always that:
i. the maximum number of shares hereby authorised to be purchased shall be an aggregate of 13,987,721 Ordinary
shares or, if less, the number representing 14.99% of the total Ordinary shares in issue (excluding treasury shares) as at the
date of passing this resolution;
ii. the minimum price which may be paid for each share shall be 25p;
iii. the maximum price (exclusive of expenses) which may be paid for a share is the higher of (i) 5% above the average of
the middle market quotations for a share taken from, and calculated by reference to, the London Stock Exchange Daily
Official List for the five business days immediately preceding the day on which the share is purchased; and (ii) the higher
of the price of the last independent trade and the highest current independent bid on the London Stock Exchange at the
time the purchase is carried out;
iv. the authority hereby conferred shall expire on 31December 2027 or, if earlier, at the conclusion of the next Annual
General Meeting of the Company, unless such authority is previously varied, revoked or renewed prior to such time; and
v. the Company may enter into a contract to purchase shares under the authority hereby conferred prior to the expiry of
such authority and may purchase shares pursuant to any such contract notwithstanding such expiry above.
15. THAT, a general meeting, other than an AGM, may be called on not less than 14 clear days’ notice.
* The biographies of the Directors offering themselves for election or re-election may be found on pages 34 to 35.
By order of the Board:
NSM Funds (UK) Limited
Company Secretary
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Notes
i. To be entitled to attend and vote at the Meeting (and for the purpose of the determination by the Company of the number
of votes they may cast), shareholders must be registered in the Register of Members of the Company at close of trading on
27 October 2026. Changes to the Register of Members after the relevant deadline shall be disregarded in determining the
rights of any person to attend and vote at the Meeting.
ii. Shareholders, or their proxies, intending to attend the Meeting in person are requested, if possible, to arrive at the Meeting
venue at least 20 minutes prior to the commencement of the Meeting at 12:00pm (UK time) on 29 October 2026 so that their
shareholding may be checked against the Company’s Register of Members and attendances recorded.
iii. Shareholders are entitled to appoint another person as a proxy to exercise all or part of their rights to attend and to speak
and vote on their behalf at the Meeting. A shareholder may appoint more than one proxy in relation to the Meeting
provided that each proxy is appointed to exercise the rights attached to a different ordinary share or ordinary shares held by
that shareholder. A proxy need not be a shareholder of the Company.
iv. In the case of joint holders, where more than one of the joint holders purports to appoint a proxy, only the appointment
submitted by the most senior holder will be accepted. Seniority is determined by the order in which the names of the joint
holders appear in the Company’s Register of Members in respect of the joint holding (the first named being the most senior).
v. A vote withheld is not a vote in law, which means that the vote will not be counted in the calculation of votes for or against
the resolution. If no voting indication is given, your proxy will vote or abstain from voting at his or her discretion. Your proxy will
vote (or abstain from voting) as he or she thinks fit in relation to any other matter which is put before the Meeting.
vi. You can vote:
• electronically via the Investor Centre app (see (ix), below) or web browser at
https://uk.investorcentre.mpms.mufg.com/ and by following the instructions; or
• you may request a hard copy form of proxy directly from the registrars, MUFG Corporate Markets, by sending an email
to shareholderenquiries@cm.mpms.mufg.com or by calling Tel: 0371 664 0300. Calls are charged at the standard
geographic rate and will vary by provider. Calls from outside the UK will be charged at the applicable international rate.
Lines are open between 09:00 – 17:30, Monday to Friday excluding public holidays in England and Wales. In order for a
proxy appointment to be valid, a form of proxy must be completed and received by MUFG Corporate Markets at PXS 1,
Central Square, 29 Wellington Street, Leeds, LS1 4DL by 12:00pm on 27 October 2026; or
• in the case of CREST members, by utilising the CREST electronic proxy appointment service in accordance with the
procedures set out below; or
• if you are an institutional investor, you may also be able to appoint a proxy electronically via the Proxymity platform,
a process which has been agreed by the Company and approved by the Registrar. For further information regarding
Proxymity, please go to www.proxymity.io. Your proxy must be lodged by 12:00pm on 27 October 2026 in order to be
considered valid or, if the meeting is adjourned, by the time which is 48 hours before the time of the adjourned meeting.
Before you can appoint a proxy via this process you will need to have agreed to Proxymity’s associated terms and
conditions. It is important that you read these carefully as you will be bound by them and they will govern the electronic
appointment of your proxy. An electronic proxy appointment via the Proxymity platform may be revoked completely by
sending an authenticated message via the platform instructing the removal of your proxy vote.
vii. If you return more than one proxy appointment, either by paper or electronic communication, the appointment received
last by the Registrar before the latest time for the receipt of proxies will take precedence. You are advised to read the terms
and conditions of use carefully. Electronic communication facilities are open to all shareholders and those who use them will
not be disadvantaged.
viii. The return of a completed form of proxy, electronic filing or any CREST Proxy Instruction (as described below) will not prevent
a shareholder from attending the Meeting and voting in person if he/she wishes to do so.
ix. Shareholders can vote electronically via the Investor Centre, a free app for smartphone and tablet provided by MUFG
Corporate Markets. The app allows you to securely manage and monitor your shareholdings in real time, take part in online
voting, keep your details up to date, access a range of information including payment history and much more.
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Notice of Annual General Meeting continued
The app is available to download on both the Apple App Store and Google Play, or by scanning the relevant QR code below.
Alternatively, you may access the Investor Centre via a web browser at: https://uk.investorcentre.mpms.mufg.com/
x. CREST members who wish to appoint a proxy or proxies through the CREST electronic proxy appointment service may do so
for the Meeting (and any adjournment of the Meeting) by using the procedures described in the CREST Manual (available
from www.euroclear.com). CREST Personal Members or other CREST sponsored members, and those CREST members who
have appointed a service provider(s), should refer to their CREST sponsor or voting service provider(s), who will be able to
take the appropriate action on their behalf.
xi. In order for a proxy appointment or instruction made by means of CREST to be valid, the appropriate CREST message
(a “CREST Proxy Instruction”) must be properly authenticated in accordance with Euroclear UK & International Limited’s
specifications and must contain the information required for such instructions, as described in the CREST Manual. The
message must be transmitted so as to be received by the issuer’s agent (ID RA10) by 12.00pm on 27 October 2026. For this
purpose, the time of receipt will be taken to mean the time (as determined by the timestamp applied to the message by
the CREST application host) from which the issuer’s agent is able to retrieve the message by enquiry to CREST in the manner
prescribed by CREST. After this time, any change of instructions to proxies appointed through CREST should be communicated
to the appointee through other means.
xii. CREST members and, where applicable, their CREST sponsors or voting service providers should note that Euroclear UK &
International Limited does not make available special procedures in CREST for any particular message. Normal system timings
and limitations will, therefore, apply in relation to the input of CREST Proxy Instructions. It is the responsibility of the CREST member
concerned to take (or, if the CREST member is a CREST personal member, or sponsored member, or has appointed a voting
service provider(s), to procure that his CREST sponsor or voting service provider(s) take(s)) such action as shall be necessary to
ensure that a message is transmitted by means of the CREST system by any particular time. In this connection, CREST members
and, where applicable, their CREST sponsors or voting system providers are referred, in particular, to those sections of the CREST
Manual concerning practical limitations of the CREST system and timings. The Company may treat as invalid a CREST Proxy
Instruction in the circumstances set out in Regulation 35(5)(a) of the Uncertificated Securities Regulations 2001.
xiii. Any corporation which is a shareholder can appoint one or more corporate representatives who may exercise on its behalf
all of its powers as a shareholder provided that no more than one corporate representative exercises powers in relation to
the same shares.
xiv. As at 8 September 2026, the Company’s ordinary issued share capital consists of 93,313,684 ordinary shares, carrying one
vote each and 26,215,848 shares held in treasury. Therefore, the total voting rights in the Company as at 8 September 2026
are 93,313,684.
xv. Under Section 527 of the Companies Act 2006, shareholders meeting the threshold requirements set out in that section have
the right to require the Company to publish on a website a statement setting out any matter relating to: (i) the audit of the
Company’s financial statements (including the Auditor’s Report and the conduct of the audit) that are to be laid before
the Meeting; or (ii) any circumstances connected with an auditor of the Company ceasing to hold office since the previous
meeting at which annual financial statements and reports were laid in accordance with Section 437 of the Companies
Act 2006 (in each case) that the shareholders propose to raise at the relevant meeting. The Company may not require
the shareholders requesting any such website publication to pay its expenses in complying with Sections 527 or 528 of the
Companies Act 2006. Where the Company is required to place a statement on a website under Section 527 of the Companies
Act 2006, it must forward the statement to the Company’s auditor not later than the time when it makes the statement
available on the website. The business which may be dealt with at the Meeting for the relevant financial year includes any
statement that the Company has been required under Section 527 of the Companies Act 2006 to publish onawebsite.
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xvi. Any shareholder attending the Meeting has the right to ask questions. The Company must cause to be answered any such
question relating to the business being dealt with at the Meeting but no such answer need be given if: (a) to do so would
interfere unduly with the preparation for the Meeting or involve the disclosure of confidential information; (b) the answer
has already been given on a website in the form of an answer to a question; or (c) it is undesirable in the interests of the
Company or the good order of the Meeting that the question be answered.
xvii. Copies of the Directors’ letters of appointment will be available for inspection during normal business hours at the registered
office of the Company on any business day from the date of this Notice until the time of the Meeting and may also be
inspected at the Meeting venue, as specified in this Notice, for 15 minutes before and during the Annual General Meeting
until the conclusion of the Meeting.
xviii. Any electronic address (within the meaning of Section 333(4) of the Companies Act 2006) provided either in this Notice or in
any related documents (including the Form of Proxy) may not be used to communicate with the Company for any purposes
other than those expressly stated. Submission of a Proxy vote shall not preclude a member from attending and voting in
person at the meeting in respect of which the proxy is appointed or at any adjournment thereof.
xix. Unless otherwise indicated on the Form of Proxy, CREST, Proxymity or any other electronic voting instruction, the proxy will vote
as they think fit or, at their discretion withhold from voting.
xx. A copy of this Notice, and other information required by Section 311A of the Companies Act 2006, can be found on the
Company’s website at www.murray-income.co.uk
xxi. If the law or Government guidance so requires at the time of the Meeting, physical attendance at the Meeting may not be
possible. In these circumstances, the Chair will limit, in their sole discretion, the number of individuals in physical attendance
at the meeting to two persons. Should there be no restrictions imposed by law or Government at the time of the Meeting,
the Company may still impose entry restrictions on certain persons wishing to attend the Meeting in order to ensure the safety
of those attending the Meeting. As set out in the Chair’s Statement, shareholders are encouraged to submit questions in
advance of the Meeting by email to: mut@nsm.group
THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION. If you are in any doubt about the action you should
take, you are recommended to seek your own independent financial advice from your stockbroker, bank manager, solicitor,
accountant or other independent financial adviser authorised under the Financial Services and Markets Act 2000 (as amended
by the Financial Services Act 2012) if you are in the United Kingdom or, if not, from another appropriately authorised financial
adviser.
If you have sold or otherwise transferred all your Ordinary shares in Murray Income Trust plc, please forward this document
together with the accompanying documents immediately to the purchaser or transferee, or to the stockbroker, bank or agent
through whom the sale or transfer was effected for transmission to the purchaser or transferee.
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Additional Shareholder Information
Directors
Peter Tait (Chair)
Stephanie Eastment (Senior Independent Director)
Nandita Sahgal Tully (Chair of the Audit Committee)
Angus Franklin
Jane Lewis
Andrew Page
Company Secretary from 2 March 2026
NSM Funds (UK) Limited
46-48 James Street
London
W1U 1EZ
Previous Company Secretary
abrdn Holdings Limited
1 George Street
Edinburgh
EH2 2LL
Registered Office
50 Lothian Road
Edinburgh
Scotland
EH3 9BY
Registered in Scotland, Company number SC012725
Website
murray-income.co.uk
Points of Contact
The Chair or Company Secretary of the Company
Email: mut@nsm.group
Legal Entity Identifier
549300IRNFGVQIQHUI13
United States Internal Revenue Service FATCA
Registration Number (“GIIN”)
8Q8ZFE.99999.SL.826
Alternative Investment Fund Manager
Artemis Fund Managers Limited
Cassini House
57 St. James’s Street
London
SW1A 1LD
Authorised and regulated by the Financial Conduct Authority
Investment Manager
Artemis Investment Management LLP
Cassini House
57 St. James’s Street
London
SW1A 1LD
Authorised and regulated by the Financial Conduct Authority
Registrar (for direct shareholders)
The Company’s registrar is MUFG Corporate Markets (formerly
Link Group) which operates the Investor Centre app (which
is available to download on both the Apple App Store and
Google Play; see note (ix) on page 85) where shareholdings
can be managed quickly and easily, including changing
address or arranging to pay dividends directly into a bank
account, or to receive electronic communications.
Alternatively, you may access the Investor Centre via a web
browser at: https://uk.investorcentre.mpms.mufg.com/
To register, shareholders will need their Investor Code which
may be found on their share certificate or by contacting the
Registrar via the above website, or by phone or by post:
By phone:
0371 664 0300 and +44 (0) 371 664 0300 (international).
Calls are charged at the standard geographic rate and will
vary by provider. Calls from outside the United Kingdom will
be charged at the applicable international rate. Lines are
open between 09:00 - 17:30, Monday to Friday excluding
public holidays in England and Wales.
By post:
MUFG Corporate Markets
Central Square
29 Wellington Street
Leeds LS1 4DL
Independent Auditors
PricewaterhouseCoopers LLP
7 More London Place
London SE1 2RT
Depositary
Northern Trust Investor Services Limited
50 Bank Street
Canary Wharf
London E14 5NT
Custodian
The Northern Trust Company, London Branch
50 Bank Street
Canary Wharf
London E14 5NT
Stockbroker
Investec Bank plc
30 Gresham Street
London EC2V 7QP
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murray-income.co.uk
Murray Income Trust plc Annual Report 30 June 2026