Half-Year Report and Unaudited Financial Statements

Ashoka WhiteOak Emerging Markets Trust reported a NAV total return of 19.9% for the six months to 30 September 2025, outperforming the MSCI EM (GBP) benchmark return of 18.8%; since its 2023 inception NAV per share is up 46% versus 36% for the index. The share price returned 18.8% in the period (IPO 100p → 145.5p), assets under management have risen 86.1% to £56.8m from £30.5m at IPO, and the company issued 3,275,000 new shares across 19 tap issuances (9.4% of shares at the start of the financial year) at a premium, which contributed to a lower ongoing charge ratio. The investment manager is paid solely on outperformance (no fixed management fee), WhiteOak Group reports £5.7bn AUM, and the manager cites a constructive emerging-markets backdrop that supports its bottom-up, alpha-seeking strategy.

Analysis

Ashoka WhiteOak Emerging Markets Trust reported a NAV total return of 19.9% for the six months to 30 September 2025, outpacing the MSCI EM (GBP) benchmark return of 18.8%; since its 2023 inception NAV per share has risen 46% versus a 36% rise in the index, and the share price returned 18.8% in the period, moving from the 100p IPO level to 145.5p at period end. Total assets under management increased 86.1% from £30.5m at IPO to £56.8m as at 30 September 2025, driven in part by 19 tap issuances totaling 3,275,000 new Ordinary Shares (9.4% of shares in issue at the start of the financial year), which the company says were placed at a premium. Management reports the ongoing charge ratio has declined as AUM has grown and highlights that the Investment Manager is remunerated solely on outperformance rather than a fixed fee, aligning pay with alpha generation. The manager frames the macro backdrop for emerging markets as encouraging, but the trust’s relatively small absolute AUM and reliance on continued tap issuance to meet demand are key operational items to monitor alongside future relative performance versus the MSCI EM benchmark.

Key Decisions for Investors

• Consider establishing or adding a measured position given consistent NAV outperformance (19.9% vs 18.8% benchmark) and alignment of manager fees with alpha generation, Size positions conservatively because the trust’s absolute AUM is still modest (£56.8m) which can imply lower liquidity and greater sensitivity to large flows
• Monitor issuance activity and premium/discount dynamics closely—19 tap issuances (3,275,000 shares; 9.4% of opening share base) materially expanded supply despite being placed at a premium, so watch future issuance pace as a potential dilutive/market-impact risk
• Track ongoing charge ratio trends and quarterly relative returns versus the MSCI EM benchmark, and be prepared to reduce exposure if outperformance stalls or if investor demand (and thus issuance) slows, which could change the fund’s cost structure and liquidity profile