Herald Investment Trust plc

Herald Investment Trust (HIT), managed by Herald Investment Management Limited (HIML) since its launch in February 1994, seeks to achieve capital appreciation through investments in smaller quoted companies in the areas of technology, telecommunications, and multimedia. Investments may be made across the world, with a historically strong UK bias that has shifted toward North America in recent years. The trust targets disruptive, scalable businesses with structural growth characteristics — including software, semiconductors, internet, and networking — that exhibit recurring revenues, operating leverage, and entrepreneurial management. HIML tends to invest small amounts of capital in early-stage businesses and support them over time, adding to positions at attractive market prices or through follow-on fundraisings, while controlling ownership to less than 10% of outstanding capital in illiquid companies. The average holding period of the top 20 positions has historically exceeded 12 years, reflecting a genuinely long-term orientation.