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City of London IT (CTY)

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Friday 20 April, 2012

City of London IT

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: 020 7818 4367

 

James de Sausmarez

Director and Head of Investment Trusts

Henderson Global Investors

Telephone: 020 7818 3349

Sarah Gibbons-Cook

Investor Relations and PR Manager

Henderson Global Investors

Telephone: 020 7818 3198


- 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.


This information is provided by RNS
The company news service from the London Stock Exchange
 
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