Interim Management Statement

RNS Number : 3064Q

Ruffer Investment Company Limited

07 April 2009

 



Ruffer Investment Management Limited ('The Company')

Interim Management Statement - 1 January To 31 March 2009

Performance Summary

The NAV of the Company decreased from 150.9p at 1 January 2009 to 142.4p at 31 March 2009, net of a 1.5p dividend. For the period under review, the Company recorded a negative total return (net of fees and expenses) of 4.9%, compared to the objective return of 0.5%, being twice the time weighted Bank of England base rate over the period. Since inception, the Company has achieved a positive total return of 55.5%.

The Share price decreased from 147.5p at 1 January 2009 to 143.75p at 31 March 2009. The price-to-NAV moved from a discount of 2.3% at the start of the period to a premium of 0.9% at the end of the period.

Quarterly return history

Date	30 Sept 04	31 Dec 04	31 Mar 05	30 Jun 05	30 Sept 05	31 Dec 05	31 Mar 06	30 Jun 06	30 Sept 06	31 Dec 06
NAV (p)	101.2	106.7	107.2*	112.2	117.4*	120.5	122.5*	119.4	118.8*	119.6
Ruffer (%)	3.3	5.4	0.5	4.3	4.6	2.6	2.1	2.5	-0.5	0.7
Twice Bank Rate (%)	2.4	2.4	2.4	2.4	2.4	2.3	2.3	2.3	2.3	2.4

Date	31 Mar 07	30 Jun 07	30 Sept 07	31 Dec 07	31 Mar 08	30 Jun 08	30 Sept 08	31 Dec 08	31 Mar 09
AV (p)	118.7*	116.7	120.4*	124.2	132.8*	131.3	131.8*	150.8	142.4*
% Growth	-0.8	-1.7	3.2	3.2	7.9	-1.1	1.3	14.5	-4.6
Twice Bank Rate (%)	2.6	2.7	2.9	2.9	2.7	2.6	2.5	2.1	0.5

*Dividend pay date 0.5p 30 Mar 05, 7 Sept 05, 31 Mar 06 & 27 Sept 06, 1.25p 30 Mar 07, 28 Sept 07, 31 Mar 08 & 30 Sept 08, 1.5p 27 Mar 09.

Financial position

Ten largest holdings 

1 January 2009		31 March 2009
Security % Fund UK Treasury index-linked 2.5% 2013 9.6 UK Treasury index-linked 1.25% 2017 8.5 US TIPS 2.375% 2025 7.2 Japan index-linked 1.3% 2017 6.4 Japan index-linked 1.4% 2018 5.6 Annaly 4.9 UK Treasury 4.25% 2011 4.7 Gold Bullion 4.4 BP 3.7 NTT 3.5		Security % Fund UK Treasury index-linked 1.25% 2017 10.1 US TIPS 2.375% 2025 7.9 Japan index-linked 1.3% 2017 6.0 UK Treasury index-linked 1.25% 2055 5.9 Japan index-linked 1.4% 2018 5.4 Annaly 4.6 Sweden index-linked 3.5% 2028 4.4 Newmont 3.6 UK Treasury index-linked 1.875% 2022 3.5 Mitsubishi UFJ 3.1

Five largest equity holdings

1 January 2009		31 March 2009
Security % Fund Annaly 4.6 BP 3.2 NTT 3.0 Newmont 2.5 Seven & I 2.0		Security % Fund Annaly 4.6 Newmont 3.6 Mitsubishi UFJ 3.1 NTT 2.7 Nomura 2.6

Material transactions

Five largest purchases

1 January 2009 - 31 March 2009

Date	Security	Cost
27 Feb 09	Norway 4.25% 2017	8,207,460
30 Mar 09	UK Treasury index-linked 1.25% 2055	6,497,624
04 Feb 09	UK Treasury index-linked 2.5% 2016	6,383,480
13 Mar 09	Sweden index-linked 3.5% 2028	5,592,800
18 Mar 09	UK Treasury index-linked 1.875% 2022	4,331,923

Five largest sales

1 January 2009 - 31 March 2009

Date	Security	Cost
13 Mar 09	UK Treasury index-linked 2.5% 2013	8,972,500
04 Feb 09	UK Treasury 4.25% 2011	6,316,800
18 Mar 09	Norway 4.25% 2017	5,456,096
27 Feb 09	UK Treasury index-linked 2.5% 2013	4,032,600
30 Mar 09	UK Treasury index-linked 2.5% 2016	3,686,760

The Company decreased its cash weighting during the period from 8.9% at 1 January to 1.8% at 31 March 2009. 

The NAV of the Company at 1 January 2009 was £134.5m and this decreased to £126.9m at 31 March 2009. The market capitalisation was £131.5m at the start of the period under review and this decreased to £128.1m at 31 March 2009. 

On 27 March 2009 the company paid a dividend per share of 1.5p.

Material events

The Board of the Company is not aware of any significant event that has occurred between the 1 January 2009 and the date of the publication of this statement that would have a material impact on the financial position of the Company. The Board has approved an investment policy consistent with a highly volatile economic climate.

However, please note the following three announcements made during the period:

16 January 2009

The Board of Directors of Ruffer Investment Company Limited has appointed Cenkos Securities plc to act as sole corporate broker to the Company. 

26 February 2009

The Directors of Ruffer Investment Company Limited have declared that an interim dividend will be payable in respect of the year ended 30 June 2009 as follows:

    Ex Date                    04 March 2009

    Record Date             06 March 2009

    Pay Date                   27 March 2009

    Dividend per share    1.50 pence (Sterling)

26 February 2009

The Company is pleased to announce the appointment of Ashe Windham as non-executive director to the board of directors of the Company with effect from 24 February 2009. In accordance with paragraphs 9.6.13 (1) to (6) of the Listing Rules, it is confirmed that there are no additional details to be disclosed in relation to Mr Windham.

27 March 2009

At the board of Directors meeting on 18 September 2008 the Directors agreed not to offer the redemption facility this year. (An extract from the Ruffer Investment Company Limited half-yearly financial report to 31 December 2009).

 

END

 

 

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