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2017 Annual Report

We are very happy to present our 2017 Annual Report, complete with audited accounts.

2017 Annual Report

We once again worked with Deloitte to prepare the annual accounts, and again received an unqualified opinion from Ernst & Young. As with 2016 the audit opinion again draws investor attention to our comment in the accounts that it is difficult to value companies like those in our portfolio. We agree.

We are also very pleased to report that under 2% of the investment assets at the end of June 2017 were categorised as at risk of failing by having insufficient funds to make it to cash-flow positive.

We encourage all investors and potential investors to read all of this report – as you would with any investment. When reviewing public companies Chris and I are big believers in reading the detailed comments to financial statements, checking the audit reports and obviously reviewing the accounts themselves. In our case we see that the Statement of Cash Flows is particularly important, as it speaks to the sustainability of the company. I have written in the Manager’s letter about the ratio of the cash used versus the size of the assets at year end, a ratio we are delighted to see came in at under 2% again this year.