Rio Tinto Limited (ASX: RIO) announced its full year results on Wednesday, reporting an interim underlying profit of US $3.9 billion, driven by its iron ore division. The profit was a 286% increase on the previous year, but was slightly below market expectations. The company also announced its record interim dividend of US $1.10, its largest ever interim dividend. Rio Tinto shares closed up 1.6% for the week. We believe the market's response is an overreaction and we see the prospect of capital management in the near to mid term. We own Rio Tinto as a market-driven investment in WAM Leaders and Century Australia.
Matthew has more than 11 years’ experience in the investment industry working as both a portfolio manager and analyst. Matthew is the Portfolio Manager responsible for WAM Leaders and Century Australia.