Interim Management Statement

RNS Number : 3959S

F&C U.S. Smaller Companies PLC

18 November 2011

 



F&C US Smaller Companies PLC

Interim Management Statement

For the four month period ended 31 October 2011

Investment Objective

To achieve long-term capital growth by investing in a diversified portfolio primarily of quoted US smaller and medium sized companies.

Performance summary

	31 October  2011	30 June  2011	Movement
Net assets	£89.20m	£96.20m	-7.3%
Net asset value (NAV) per share	430.78p	464.58p	-7.3%
Share price	420.00p	433.88p	-3.2%
Russell 2000 Index      (sterling adjusted)	459.12	515.39	-10.9%
Discount to NAV per share	2.5%	6.6%

Four month review

The NAV per share fell 7.3% in the four months to 31 October 2011.  This compares to a fall of 10.9% in the benchmark, the Russell 2000 Index (sterling adjusted) during the same period.

Performance was helped by good stock selection in producer durables. The best contributions came from Rex Energy, Premiere Global Services and Waste Connections but performance was hindered by DeVry, Amedisys and Willbros Group.

We bought three new holdings, Dentsply International (dental products supplier), Granite Construction (civil construction contractor) and Knology (cable-based communication services) and sold four, Amedisys, Arch Coal, Brown & Brown and Cal Dive International.

The Company is not currently geared.

There have been no share buybacks during the period.

Ten Largest Holdings

31 Oct  2011	30 June 2011	Company Description	Percentage of  total investments
1	28	Rex Energy Oil and gas exploration and production	2.5
2	7	Airgas Bottled gas distributor	2.5
3	3	America's Car-Mart Buy-here, pay here used car dealer	2.4
4	1	Sanderson Farms Chicken producer	2.4
5	15	Atlantic Tele-Network Telecommunications holding company	2.3
6	26	Simpson Manufacturing Structural reinforcement products	2.2
7	8	Pool Swimming pool supplies distributer	2.2
8	25	SBA Communications Cell phone tower owner and operator	2.2
9	22	WR Berkley Specialised insurer	2.2
10	4	Conn's Home appliances and consumer electronics retailer	2.1

Industrial Classification

	31 October 2011 Percentage of total investments	30 June 2011 Percentage of total investments
Producer Durables	30.5	28.4
Consumer Discretionary	16.2	15.0
Financial Services	12.5	14.2
Technology	8.2	7.6
Materials & Processing	7.5	7.2
Healthcare	6.3	6.2
Consumer Staples	6.2	5.5
Utilities	6.2	5.5
Energy	3.9	6.5
Net current assets	2.5	3.9

Outlook

Immediate prospects are clouded by uncertainty over the future of the Eurozone. The American economy appears to be continuing to grow, however, with signs even of a modest improvement in employment conditions.

The Board is not aware of any significant events or transactions which have occurred between 31 October 2011 and the date of publication of this statement which would have a material impact on the financial position of the Company.

Daily and Key Information

Further information regarding the Company, including monthly factsheets and daily NAVs published since the end of the period are available on the internet at www.fandcussmallers.com

By order of the Board

F&C Management Limited, Secretary

18 November 2011

 

END

 

 

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