The VCT’s net asset value per share fell 8.4 per cent to 64.1p, or 5.5 per cent when adjusted for the dividend of 2p per share paid in March.

However, the trust’s shares rose 0.9 per cent over the six months to March, when adjusted for the dividend.

The company, which manages funds of £9.1 million, has remained fully invested throughout the year. It realised cash proceeds of £2.3 million from investments including Neutec Pharma, a spin-out from the University of Manchester whose products are based on naturally occurring antibodies. Neutec was acquired by global pharmaceutical giant Novartis in June for £305 million, resulting in a realised gain for AIM Distribution Trust of £512,000 from its original investment of £210,000.

However, the VCT was held back by a number of poor performers. These included digital broadcaster Cellcast, whose share price dwindled from over 90p to under 10p over the year, and Chariot, an organiser of online weekly lotteries, whose shares soared to over £2 before plunging to less than 1p on lacklustre ticket sales.

At the company’s next annual general meeting on 10 September, shareholders will vote on whether AIM Distribution Trust should continue as a VCT. The board will recommend this course, arguing that the performance of some of its portfolio companies, including Cellcast, could improve.