Final NAV 29June2007

RNS Number:3207B
Dexion Trading Limited
01 August 2007


Dexion Trading Limited ("the Company")



June Net Asset Value



The net asset value per # share as of 29 June 2007 was 115.96 pence.



This valuation, which has been prepared in good faith by the Company's
investment manager, is based principally on formal valuations supplied to the
Company by the administrators of the Company's underlying investments.  In the
case of 7 of the Company's 20 investments, where no such formal valuation has
been received by today's date, an estimated valuation prepared by the Company's
investment advisor or by the manager or administrator of the underlying funds
has been used. Such valuations or estimates are unaudited and may not comply
with generally accepted accounting or valuation principles.



Manager's Report



Performance Review



Dexion Trading returned +1.67% in June (ytd +6.65%).



June proved to be a challenging month for almost all asset classes as equity
markets whipsawed, bond yields rose and credit spreads widened.  Expectations of
further Chinese selling of US Treasuries exerted significant technical pressure
on the US yield curve and the sell-off accelerated in the first half of the
month.  In the absence of earnings news to drive investor sentiment, equity
markets traded around the economic releases.  US equities sold down heavily when
labour costs came in above expectations and Mr. Bernanke commented that core
inflation was proving to be surprisingly resilient. Stronger than expected
retail sales data reversed the sell-off until news of substantial losses
incurred by two Bear Stearns funds caused investors to focus once again on the
sub-prime mortgage issue. Financial stocks declined sharply in the US and Europe
as fears of a credit crunch overwhelmed the anticipated benefits of steepening
yield curves. The Pacific basin proved to be one of the few bright spots in
global equity markets as high beta markets, such as Taiwan, benefited from a
spill-over of excess liquidity as China relaxed its restrictions on foreign
investment by domestic institutions. Japanese investors also continued to invest
overseas and the Yen closed at an all time low at month end with respect to the
Euro despite the fact that 10-year JGB yields reached a 10-year high.  In
currency markets yield was a major driver of returns as the New Zealand Dollar
reached a 25-year high against the US Dollar. Given the uncertain backdrop,
equity and interest rate implied volatilities rose. Swap spreads and merger deal
spreads also widened as caution overtook complacency.



June closed out a record quarter for the portfolio with a return of +1.67%
following record monthly returns of +2.29% in April and +2.75% in May.  The main
contributor to returns was the strong performance from our Systematic managers
with an average performance of +3.98%. The main themes that drove performance
for our Systematic managers were the downward trend of the fixed income markets
and the carry trade in the FX markets.  In fixed income, Systematic managers
were profitable with short positions across the US and UK curves. In FX, short
Yen versus a number of higher yielding currencies such as Australian Dollar, New
Zealand Dollar, US Dollar, Euro and Sterling were profitable.  Additional gains
came from short positions in JGB and Australian 10-year bonds. Emerging markets
were choppy and some of our Discretionary managers were caught in this market
activity, generally ending flat for the month. Our two dedicated emerging market
funds had opposite results with one manager getting stopped-out due to the
choppiness and the other manager profitably trading around the market
volatility. Emerging markets and Asian equities rallied while US and European
equities sold off. This decoupling was one of the causes of the relatively flat
month for some of our discretionary managers. Profits from long Japanese
equities were offset by losses in FX and fixed income provided mixed results.
Systematic managers were profitable from short positions in developed equity
markets whereas Discretionary managers had mixed results in both emerging
markets and developed markets. Commodity exposure continues to remain minimal
across our discretionary managers. Our commodity dedicated manager posted strong
returns off the back of big moves in natural gas and crude oil. Relative Value
managers faced a difficult environment, deal flow slowed sharply, and
uncertainty over financing of acquisitions caused spreads to widen in the second
half of the month; the one manager in the sub-portfolio closed flat. The RV
Macro and Discretionary managers produced +1.60% and +0.88% respectively.
Multi-Process managers also posted positive returns closing the month with an
average performance of +3.02%.


Strategy                                  Allocation as   Number of   Performance by Strategy
                                            of 1 July   Funds as of 1
                                                            July      %
                                                %
                                                                          June         YTD
Directional - Discretionary and RV Macro       47             9           1.10        7.52
Directional - Systematic Trading               36             7           3.66        9.53
Multi-Process                                  11             3           3.02        10.14
Relative Value Arbitrage                        6             1           0.01        9.14
Total                                          100           20



Strategy returns are in US$ and net of underlying manager fees only, and not
inclusive of Dexion Trading's fees and expenses.



Outlook



Risk levels across our managers were being reduced during June. Going forward,
managers continue to remain cautiously bullish and risk levels are beginning to
increase.



Ten Largest Investments



Listing Rule 15.4.11R(2) requires an investment company to notify to a
Regulatory Information Service, within two business days of the end of each
quarter, a list of all investments with a value greater than 5% of the company's
total assets and at least the 10 largest investments as at the last business day
of that quarter. As set out in the Company's prospectus dated 9 November 2004,
in normal circumstances, the final month-end net asset value of the Company is
calculated and announced through a Regulatory Information Service approximately
28 calendar days following the month-end. Accordingly, the Company will provide
the information required by Listing Rule 15.4.11R(2) on a quarterly basis at the
same time as it releases its month-end final net asset value.



The ten largest investments of the Company as at 29 June 2007 were as follows:


Name of Investment                             Strategy                         Market Value   % of net
                                                                                                assets
                                                                                     #
FRM Sigma Fund Limited                         Directional Trading -             14,580,383      15.15
                                               Systematic Trading
Crabel Fund Limited                            Directional Trading -             8,742,867       9.08
                                               Systematic Trading
Brevan Howard Fund Limited                     Directional - Discretionary       8,154,507       8.47
                                               and RV Macro
GLG Emerging Markets Fund                      Directional - Discretionary       7,056,052       7.33
                                               and RV Macro
Bluecrest Strategic Fund Limited               Directional - Discretionary       6,574,996       6.83
                                               and RV Macro
DE Shaw Composite International Fund           Multi-Process                     5,769,391       5.99
Polygon Global Opportunities Fund              Relative Value Arbitrage          4,954,737       5.15
Mangart Global Fund Limited                    Directional - Discretionary       4,860,895       5.05
                                               and RV Macro
Pharo Macro Fund Limited                       Directional - Discretionary       4,694,048       4.88
                                               and RV Macro
Tyticus Overseas Partners Limited              Directional - Discretionary       4,579,579       4.76
                                               and RV Macro

Investment Policy



The Company's investment policy is to invest in an actively managed portfolio of
hedge funds which is diversified by investment strategy, style and manager. The
Company does not invest in other UK listed investment companies (including UK
listed investment trusts).



Voting Rights and Capital



The Company's capital consists of 83,000,000 ordinary shares with voting rights.
Therefore, the total number of voting rights in the Company is 83,000,000.



The above figure (83,000,000) may be used by shareholders as the denominator for
the calculations by which they will determine if they are required to notify
their interest in, or a change to their interest in the Company under the FSA's
Disclosure and Transparency Rules.


                      This information is provided by RNS
            The company news service from the London Stock Exchange
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