EDINBURGH Investment Trust (EIT) has declared that a vote for Scottish independence would create major prolonged uncertainties for the Scottish economy and the regulatory environment, while reporting index-beating annual results.

The Scottish-registered trust, managed from Henley-on-Thames by Mark Barnett of Invesco Perpetual, reported a total return on net asset value of 12.5 per cent for the year to March 31. This was ahead of a return of 8.8 per cent on its benchmark FTSE All-Share Index.

EIT, which had shareholders' funds of £1.23 billion at March 31, says in its results: "The company is registered in Scotland and the board is mindful of the referendum on Scottish independence in September 2014. The board considers a vote for Scottish independence will create major prolonged uncertainties, both for the Scottish economy, including tax and currency, and for the regulatory environment in which the company operates."

The trust's chairman, Jim Pettigrew, says: "This is a serious question for any company, like ours, which is registered in Scotland … The board will continue to keep the situation under review and to look to act in shareholders' best interests."

EIT proposed a final dividend of 8.5p-a-share, resulting in a 3.1 per cent rise in full-year dividend to 23.5p.