Interim Management Statement

RNS Number : 4132V

City of London Investment Trust PLC

27 October 2014

 



HENDERSON INVESTMENT FUND LTD

 

THE CITY OF LONDON INVESTMENT TRUST PLC

27 OCTOBER 2014

THE CITY OF LONDON INVESTMENT TRUST PLC

Interim Management Statement

Review of the period from 1 July 2014 to 30 September 2014

MATERIAL EVENTS OR TRANSACTIONS DURING THE PERIOD

Portfolio:  The portfolio remains biased towards large capitalisation multinationals. Over the quarter, a new holding was bought in Taylor Wimpey and additions were made to Persimmon and Berkeley Group so that housebuilders accounted for 1.9% of the portfolio at 30 September 2014. A new holding was also bought in ITV while Tesco, ICAP and Pennon were sold.

Gearing:  during the quarter, gearing increased from 7.1% (at 30 June 2014) to 7.2% (at 30 September 2014).

Premium:  at 30 September 2014 the share price was trading at a premium of 1.6% to the net asset value (income-inclusive, with debt at fair value); at 30 June 2014 it was trading at a premium of 0.9%.

Share Capital: during the quarter, the Company issued 6,200,000 shares for total proceeds of £23.4m.

Dividends: a fourth interim dividend of 3.75p per ordinary share in respect of the year ended 30 June 2014 was paid on 29 August 2014 to shareholders on the register on 1 August 2014.  On 10 September 2014, the Board declared a first interim dividend of 3.75p per ordinary share in respect of the year ending 30 June 2015 to be paid on 28 November 2014 to shareholders on the register on 24 October 2014.

Alternative Investment Fund Managers Directive: as announced on 21 July 2014, Henderson Investment Funds Limited was appointed the Company's Alternative Investment Fund Manager with effect from 22 July 2014. HSBC Bank plc was appointed as the Company's Depositary, also with effect from 22 July 2014. These appointments were in accordance with the Alternative Investment Fund Managers Directive.

There are no other material events or transactions to report.

PERFORMANCE AND FINANCIAL HIGHLIGHTS

Total Return Performance to 30 September 2014

	3 months	1 year	3 years	5 years
Net asset value per ordinary share 1	-1.11%	6.68%	61.56%	90.99%
Share price 1	-1.41%	6.45%	60.56%	99.87%
Sector size weighted average net asset value 1, 2	-1.10%	8.28%	64.00%	91.35%
FTSE All-Share Index 3	-0.97%	6.09%	47.94%	59.15%
UK Equity Income OEIC Sector 4	-0.54%	7.59%	53.06%	64.49%

Sources: 

1 Morningstar for the AIC using cum income fair value NAV

2 Since 1 July 2009 the benchmark is the size weighted average NAV total return of the AIC UK Equity Income sector 

3 Datastream

4 Morningstar

Financial Position	at 30 September 2014	at 30 June 2014
Net assets	£1,075.3m	£1,075.2m
Net asset value (par value with income)	369.50p	377.53p
Net asset value (fair value with income)	365.77p	373.64p
Ordinary share price	371.70p	380.80p
Premium to NAV (par value)	0.6%	0.9%
Premium to NAV (fair value)	1.6%	1.9%
Gearing	7.2%	7.1%
Yield	3.97%	3.84%

THE PORTFOLIO

Top 10 Investments	% of portfolio			% of portfolio
at 30 September                                                          2014			at 30 June 2014
Royal Dutch Shell	5.7		Royal Dutch Shell	5.9
HSBC Holdings	5.0		British American Tobacco	4.5
British American Tobacco	4.5		HSBC Holdings	4.4
Glaxosmithkline	3.4		Glaxosmithkline	4.1
BP	3.4		BP	3.9
Diageo	2.7		Diageo	3.1
Vodafone	2.7		Unilever	2.5
Unilever	2.4		Vodafone	2.4
National Grid	2.0		National Grid	1.9
Astrazeneca	1.9		Astrazeneca	1.9
Top 10 =	33.7		Top 10 =	34.6

Sector Breakdown	% at 30 September 2014	% at 30 June 2014
Financials	24.5	22.9
Consumer Goods	16.2	15.9
Consumer Services	12.2	12.5
Oil & Gas	10.2	11.1
Industrials	10.0	10.2
Health Care	6.9	7.3
Utilities	7.2	7.7
Telecommunications	6.7	6.3
Basic Materials	4.9	5.1
Technology	1.2	1.0

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. 

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 Fund 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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