Fondul Proprietatea's profit, slight increase in Q1, 2018

In the first quarter of this year, Fondul Proprietatea (FP) reported a net profit of 293.6 million lei, slightly up by 0.2pct compared to the same period of 2017, according to data released on Tuesday by the Bucharest Stock Exchange. 

Net operating revenues amounted to 311.7 million lei (323.2 million lei in Q1, 2017) and operating expenditure totaled 18.1 million lei (Q1, 2017: 40 million lei). 

"The Fund's investment objective is to maximize yields and increase the value of the asset per share by investing mainly in Romanian stocks and equity-based securities. Investments in shares accounted for 97pct of the Fund's value of net asset per share) on March 30, 2018. At that time, the portfolio included shares in 37 companies (10 listed and 27 unlisted), both private and state-controlled companies," the company's report mentions. 

Fondul Proprietatea was set up by the Romanian Government in December 2005 to compensate people whose property had been abusively confiscated by the communist regime (especially in cases where the restitution in kind was not possible), by giving Fondul Proprietatea shares, depending on the losses suffered. 

Fondul Proprietatea (FP) is a joint-stock company that operates as a closed-end investment company (Alternative Investment Fund) of unlimited duration, incorporated in Romania, listed on the Bucharest Stock Exchange since January 2011. Its administrator is Franklin Templeton International Services.