![img-0.jpeg](img-0.jpeg) Murray Income Trust plc Annual Report 30 June 2026 ![img-1.jpeg](img-1.jpeg) murray-income.co.uk Murray Income Trust plc Annual Report 30 June 2026 --- # Contents 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 Investment Objective The Company aims for a high and growing income combined with capital growth through investment in a portfolio principally of UK equities. Scan the QR Code below with a suitable device to be directed to the Company's website where you can register for email alerts relating to the Company: ![img-2.jpeg](img-2.jpeg) --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General # Performance Highlights Net asset value total returnABC +15.1% 2025: +2.7% Share price total returnAB +19.2% 2025: +4.3% Benchmark total returnAD +21.9% 2025: +11.2% Ongoing charges B 0.48% 2025: 0.48% Earnings per share (revenue) 40.6p 2025: 38.6p Dividend per share 41.0p 2025: 40.0p Discount to net asset valueBC 6.7% 2025: 9.6% Dividend yield B 4.2% 2025: 4.7% ## Net Asset Value per shareC At 30 June | 2026 | 1045.0p | | --- | --- | | 2025 | 944.8p | | 2024 | 957.9p | | 2023 | 911.7p | | 2022 | 871.0p | ## Dividends per share Year ended 30 June | 2026 | 41.00p | | --- | --- | | 2025 | 40.00p | | 2024 | 38.50p | | 2023 | 37.50p | | 2022 | 36.00p | ## Mid-market price per share At 30 June | 2026 | 975.0p | | --- | --- | | 2025 | 854.0p | | 2024 | 857.0p | | 2023 | 837.0p | | 2022 | 832.0p | 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. 1 --- Murray Income Trust Annual Report 2026 # Strategic Report 2 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General # Chair's Statement I am pleased to report important developments in the management of your Company in the year to June 2026. Peter Tall, Chair ![img-3.jpeg](img-3.jpeg) ## 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 53rd consecutive annual increase. ## Overview I am pleased to report important developments in the management of your Company in the year to June 2026. At the start 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/Israel attack on Iran on 28 February 2026. This sent crude oil prices up from about $70 per barrel to nearly $120 per barrel at one point, as Iran retaliated by closing the Strait of Hormuz, through which about 20% of the world's supply of oil passes. The outbreak of hostilities in Iran added to UK market volatility during March, at the time when the portfolio was being transitioned by Artemis. The impact on the UK economy was also significant. Before the outbreak of hostilities, there was a good chance of UK inflation heading down towards 2%, bank interest rates heading towards 3% and the 10-year bond yield heading towards 4%. At the time of writing, however, inflation remains stuck at about 3%, base rates have remained paused at 3.75%, and the 10-year bond yield is hovering at around 5%. 3 --- Murray Income Trust Annual Report 2026 ## Chair's Statement continued One key result of the various geo-political events and their effect on the UK economy, is likely to be that any thought of lower UK interest rates this year has been put on ice. Despite this, the UK stock market continued to make progress, rising by 21.9% in the year to end June, helped by strong returns from the Financials and Metals & Mining sectors in particular. The share price return from your portfolio was modestly behind that of the UK benchmark over the year, but with that performance gap closing significantly after the appointment of Artemis in March of this year. ### Investment Performance Shareholders will find a detailed review of Artemis's strategy and details of their performance and outlook in the Investment Manager's Report. Headline performance figures may be found in the table below. ### Dividend On 30 July 2026, the Board announced the Company's 53$^{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 10 September 2026 to shareholders on the register on 7 August 2026. The ex-dividend date was 6 August 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 from around 9% to about 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 of 8.3%. 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 issuance powers. ### Investment Performance | Performance Total Return (annualised %) | Since Appointment | 3 Months (Post Repositioning) | 1 year to 30 June 2026 | 3 Years to 30 June 2026 | 5 Years to 30 June 2026 | 10 Years to 30 June 2026 | | --- | --- | --- | --- | --- | --- | --- | | Share price^{A} | (0.4) | 11.5 | 19.2 | 10.2 | 6.9 | 8.4 | | Net asset value per Ordinary share^{A} | (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. 4 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General 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 30 June 2026, there were 93,313,684 (2025: 97,912,184) Ordinary 25p shares in issue with voting rights and 26,215,848 (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 --- Murray Income Trust Annual Report 2026 ## Chair's Statement continued 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 29 October 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 6 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General # 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 the sun. 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 eight years." 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 --- Murray Income Trust Annual Report 2026 ## Investment Manager's Report continued ### 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 $1bn 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% | 8 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General # 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 # 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. 9 --- Murray Income Trust Annual Report 2026 # Investment Manager's Report continued # 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 undermanding, 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 growth potential. 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. 10 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General 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. Geographic revenue split (%) ![img-4.jpeg](img-4.jpeg) Source: Artemis, FactSet as at 30 June 2026. # 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 11 --- Murray Income Trust Annual Report 2026 # Investment team profiles ![img-5.jpeg](img-5.jpeg) ### 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. ![img-6.jpeg](img-6.jpeg) ### 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. ![img-7.jpeg](img-7.jpeg) ### 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. 12 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General ![img-8.jpeg](img-8.jpeg) ### 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. ![img-9.jpeg](img-9.jpeg) ### 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. 13 --- Murray Income Trust Annual Report 2026 # Artemis's approach to ESG ## 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 we invest 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 of a company. 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 30 June 2026: 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. 14 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General 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 these efforts. 15 --- Murray Income Trust Annual Report 2026 # 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^{^} | 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 | $^{^}$ 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) ![img-10.jpeg](img-10.jpeg) Source: Artemis & Lipper ## Share Price Discount to NAV (debt at Fair Value) (five years ended 30 June 2026) ![img-11.jpeg](img-11.jpeg) Source: Artemis & Lipper 16 --- Overview Strategic Report Portfolio Governance Financial^{}[] Statements Corporate^{}[] Information General # 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 --- Murray Income Trust Annual Report 2026 # 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. The Manager 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. 18 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General ## 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 page 16. | | **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 --- Murray Income Trust Annual Report 2026 # Overview of Strategy continued | 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. | ^ | 20 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General | 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 --- Murray Income Trust Annual Report 2026 ## Overview of Strategy continued | 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". 22 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General ## 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. A comprehensive 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, £40 million 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 on 2 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 --- Murray Income Trust Annual Report 2026--- ## Overview of Strategy continued ### 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 24 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General # 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 --- Murray Income Trust Annual Report 2026 ## Promoting the Success of the Company continued ### 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. 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 BARCLAYS | **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** | **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** | **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** | **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** | **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** | **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** | **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** | **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 --- Overview Strategic Report Portfolio Governance Financial^{}[] Statements Corporate^{}[] Information General # Portfolio As at 30 June 2026 | Investment | FTSE All-Share Sector | Country | Valuation 2025 £'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 --- Murray Income Trust Annual Report 2026 # Portfolio continued # As at 30 June 2026 | Investment | FTSE All-Share Sector | Country | 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** | | ^ Country of Incorporation All portfolio holdings are in ordinary shares unless otherwise stated. 30 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General # Sector Comparison with the Benchmark Investments held at 30 June 2026 (percentage of portfolio) ![img-12.jpeg](img-12.jpeg) Investments held at 30 June 2025 (percentage of portfolio) ![img-13.jpeg](img-13.jpeg) 31 --- Murray Income Trust Annual Report 2026 # Summary of Investment Changes During the Year | Equities | Valuation 30 June 2025 | | Net Transactions Gains/(losses) | | Valuation 30 June 2026 | | | --- | --- | --- | --- | --- | --- | --- | | | £'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 --- # Governance 33 --- Murray Income Trust Annual Report 2026 # Board of Directors ![img-14.jpeg](img-14.jpeg) ## 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. ![img-15.jpeg](img-15.jpeg) ## 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. ![img-16.jpeg](img-16.jpeg) ## 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 Thomasloyd Group Ltd, an ring 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 Thomasloyd 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. 34 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General ![img-17.jpeg](img-17.jpeg) ### 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. ![img-18.jpeg](img-18.jpeg) ### 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. ![img-19.jpeg](img-19.jpeg) ### Jane Lewis Independent Non-Executive Director #### Appointment Appointed as Director on 1 May 2026. 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. ### Committees Management Engagement Nomination Remuneration Audit Chair 35 --- Murray Income Trust Annual Report 2026 # Directors' Report The Directors present their report and the audited financial statements for the year ended 30 June 2026 “the Year”: Peter Tall, Chair ## 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. 36 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General 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 1 May 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 --- Murray Income Trust Annual Report 2026 # 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. 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^{a} | 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)(ii). $^{c}$ 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)(i), 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. 38 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General ## 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 the Board. 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 --- Murray Income Trust Annual Report 2026 # Directors' Report continued # 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 29 October 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. 40 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General 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 the Board. 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 --- Murray Income Trust Annual Report 2026 ## Directors' Report continued 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 Chair 8 September 2026 42 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General # Corporate Governance Statement ## 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 page 47 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 43 --- Murray Income Trust Annual Report 2026 # 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 to 56. 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 investment trusts. 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 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General | | 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 ![img-20.jpeg](img-20.jpeg) ### 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 --- Murray Income Trust Annual Report 2026 # Directors' Remuneration Report continued # 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^{a} | **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^{b} | **-** | **-** | **-** | 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 46 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General # Audit Committee Report 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. 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 --- Murray Income Trust Annual Report 2026 ## 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. In carrying 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 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General 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 accounting policies. ## 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 its objectivity. 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 --- Murray Income Trust Annual Report 2026 # Statement of Directors' Responsibilities 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 of Ireland". 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 Company faces. For and on behalf of the Board of Murray Income Trust plc Peter Tait Chair 8 September 2026 50 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General # 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 --- Murray Income Trust Annual Report 2026 ## 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 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General # 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 --- Murray Income Trust Annual Report 2026 # 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 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General 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 --- Murray Income Trust Annual Report 2026 ## Independent Auditors' Report continued 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 56 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General # Financial Statements 57 --- Murray Income Trust Annual Report 2026 # Statement of Comprehensive Income | | Note | Year ended 30 June 2026 | | | Year ended 30 June 2025 | | | | --- | --- | --- | --- | --- | --- | --- | --- | | | | 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. 58 --- Overview Strategic Report Portfolio Governance Financial^{}[] statements Corporate^{}[] Information General # Statement of Financial Position | | 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. 59 --- Murray Income Trust Annual Report 2026 # Statement of Changes in Equity ## 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. 60 --- Overview Strategic Report Portfolio Governance Financial^{}[] statements Corporate^{}[] Information General # Statement of Cash Flows | | 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. 61 --- Murray Income Trust Annual Report 2026 # 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. 62 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General 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. 63 --- Murray Income Trust Annual Report 2026 # Notes to the Financial Statements continued For the year ended 30 June 2026 (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 are realised. **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. 64 --- Overview Strategic Report Portfolio Governance Financial^{}[] statements Corporate^{}[] Information General ### 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 £1.1 billion 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. 65 --- Murray Income Trust Annual Report 2026 # Notes to the Financial Statements continued For the year ended 30 June 2026 # 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 | | Depository 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. 66 --- Overview Strategic Report Portfolio Governance Financial^{}[] statements Corporate^{}[] Information General ## 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 | 67 --- Murray Income Trust Annual Report 2026 # Notes to the Financial Statements continued For the year ended 30 June 2026 **(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). 68 --- Overview Strategic Report Portfolio Governance Financial^{}[] statements Corporate^{}[] Information General ## 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. 69 --- Murray Income Trust Annual Report 2026 # **Notes to the Financial Statements**continued For the year ended 30 June 2026 # **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). 70 --- Overview Strategic Report Portfolio Governance Financial^{}[] statements Corporate^{}[] Information General #### 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 7 August 2026. 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 8 November 2027. 71 --- Murray Income Trust Annual Report 2026 # **Notes to the Financial Statements**continued For the year ended 30 June 2026 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)** | 72 --- Overview Strategic Report Portfolio Governance Financial^{}[] Statements Corporate^{}[] Information General | | 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 on pages 7 to 15. 73 --- Murray Income Trust Annual Report 2026 # Notes to the Financial Statements continued For the year ended 30 June 2026 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. 74 --- Overview Strategic Report Portfolio Governance Financial^{}[] statements Corporate^{}[] Information General **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). 75 --- Murray Income Trust Annual Report 2026 # Notes to the Financial Statements continued For the year ended 30 June 2026 **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. The risk 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; 76 --- Overview Strategic Report Portfolio Governance Financial^{}[] statements Corporate^{}[] Information General 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. | | Assets £'000 | 2026 Liabilities £'000 | Assets £'000 | 2025 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 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. 77 --- Murray Income Trust Annual Report 2026 # 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. 78 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General 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. 79 --- Murray Income Trust Annual Report 2026 # 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 FRS 102 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% | 80 --- Overview Strategic Report Portfolio Governance Financial^{}[] Statements Corporate^{}[] Information General ## 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^{^} (£'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% | $^{^}$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^{^} | 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^{^} | d | 4.7% | 4.1% | 4.1% | | **Total return** | c+d | 4.3% | 2.7% | 3.1% | $^{^}$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. 81 --- Murray Income Trust Annual Report 2026 # 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 note 17 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 investment risk. ## 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. 82 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General # 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 29 October 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 30 June 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 29 October 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 83 --- Murray Income Trust Annual Report 2026 # 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 31 December 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 84 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General ## 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. 85 --- Murray Income Trust Annual Report 2026 # 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.mulg.com/ ![img-21.jpeg](img-21.jpeg) Download on the App Store ![img-22.jpeg](img-22.jpeg) GET IT ON Google Play 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 on a website. 86 --- Overview Strategic Report Portfolio Governance Financial Statements Corporate Information General 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. 87 --- Murray Income Trust Annual Report 2026 # 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 88 --- ![img-23.jpeg](img-23.jpeg) CARBON BALANCED PAPER www.carbonbalancedpaper.com CAPS1000 FSC www.fsc.org MIX Paper | Supporting responsible forestry FSC® C014531 Designed and printed by: perivan perivan.com --- Murray Income Trust ![img-24.jpeg](img-24.jpeg) murray-income.co.uk