Interim Management Statement

RNS Number : 7892B

City of London Investment Trust PLC

20 April 2012

 



THE CITY OF LONDON INVESTMENT TRUST PLC

HENDERSON GLOBAL INVESTORS

20 APRIL 2012

THE CITY OF LONDON INVESTMENT TRUST PLC

Interim Management Statement

Review of the period from 1 January 2012 to 31 March 2012

MATERIAL EVENTS OR TRANSACTIONS DURING THE PERIOD

Portfolio:  Overall, the portfolio remained biased towards non cyclical and global companies.  Additions were made to the utilities sector through Centrica and the pharmaceutical sector through Novartis and Merck.

Gearing: during the quarter, gearing increased from 9.0% (at 31 December 2011) to 10.1% (at 31 March 2012).  Purchases exceeded sales by £20.3m.

Premium:  at 31 March 2012 the share price was trading at a premium of 2.7% to the net asset value (income-inclusive, with debt at fair value); at 31 December 2011 it was trading at a premium of 0.7%.  

Share Capital: during the quarter, the Company issued 4,225,000 shares for total proceeds of £12.4m.

Board:  Mr Martin Morgan joined the Board on 1 March 2012.

Dividends:  a second interim dividend of 3.35p per ordinary share in respect of the year ending 30 June 2012 was paid on 28 February 2012 to shareholders on the register on 27 January 2012.  On 22 March 2012 the Board declared a third interim dividend of 3.52p per ordinary share in respect of the year ending 30 June 2012 to be paid on 31 May 2012 to shareholders on the register on 4 May 2012.

There are no other material events or transactions to report.

PERFORMANCE AND FINANCIAL HIGHLIGHTS

Total Return Performance to 31 March 2012

	3 months	1 year	3 years	5 years
Net asset value per ordinary share 1	4.8%	6.9%	79.8%	8.6%
Share price 1	4.5%	6.6%	83.7%	21.1%
UK Growth & Income investment trust sector - size weighted average net asset value 1, 2	6.3%	7.3%	84.5%	7.6%
FTSE All-Share Index 3	6.1%	1.4%	67.9%	9.5%

Sources: 

1  Morningstar for the AIC using cum income fair value NAV for 3 months, 1 and 3 years, and capital NAV plus income reinvested for 5 years

2  Since 1 July 2009 the benchmark is the size weighted average net asset value total return of the UK Growth & Income investment trust sector 

3Datastream

Financial Position

	at 31 March 2012	at 31 December 2011
Net assets	£686.2m	£651.6m
Net asset value (par value)	292.60p	282.94p
Net asset value (fair value)	286.68p	276.87p
Ordinary share price	294.30p	284.90p
Premium to NAV (par value)	0.6%	0.7%
Premium to NAV (fair value)	2.7%	2.9%
Gearing	10.1%	9.0%
Yield	4.6%	4.7%
Total Expense Ratio	0.5%	0.5%

THE PORTFOLIO

Top 10 Investments	% of portfolio			% of portfolio
at 31 March 2012			at 31 December 2011
British American Tobacco	6.7		Royal Dutch Shell	7.3
Royal Dutch Shell	6.1		British American Tobacco	7.1
Diageo	5.2		GlaxoSmithKline	5.5
GlaxoSmithKline	4.9		Vodafone	5.3
Vodafone	4.8		Diageo	5.1
HSBC	3.4		Unilever	3.3
Unilever	3.0		AstraZeneca	3.2
AstraZeneca	2.8		HSBC	3.1
Centrica	2.4		National Grid	2.5
Scottish & Southern Energy	2.3		BP	2.4
Top 10 =	41.6		Top 10 =	44.8

Sector Breakdown	% at 31 March 2012	% at 31 December 2011
Consumer Goods	19.4	19.7
Financials	16.6	15.0
Consumer Services	11.4	11.9
Industrials	10.1	9.7
Oil & Gas	10.1	11.3
Utilities	9.5	9.1
Health Care	9.1	9.3
Telecommunications	6.8	7.1
Basic Materials	6.2	6.2
Technology	0.8	0.7

The objective of The City of London Investment Trust plc is to provide long-term growth in income and capital, principally by investment in UK equities.  The Manager is Henderson Global Investors Limited.   Further information on the Company, including a monthly factsheet and up to date NAV and share price information, can be found at www.cityinvestmenttrust.com

For further information, please contact:

Job Curtis Portfolio Manager The City of London Investment Trust plc Telephone: [phone]	James de Sausmarez Director and Head of Investment Trusts Henderson Global Investors Telephone: [phone]
Sarah Gibbons-Cook Investor Relations and PR Manager Henderson Global Investors Telephone: [phone]

- ENDS -

Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.

 

END

 

 

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