Investment Trust and ETF's- Thoughts (October2025)-plus ETF's
Investment Trust and ETF's- Thoughts (October2025)
I have added some performance figures on ETF's. Given Saba plan a Investment Trust ETF time to include them as a pooled investment tool.
Links to older monthly thoughts-reader request.
September 2025 August 25 July 25 June 25 May 25 April 2025 March 25 February 25 January 25 December 24.
November October September August July June May April March February
For more information on Investment trusts visit:
Association of Investment Companies.
https://www.theaic.co.uk/
Free to sign up. On the site you can create portfolios, screen and compare Investment Trusts by Geographic region, Sector , Yield and more. A few Trusts who are not AIC members have limited data.
Jonathan Davies's website https://money-makers.co/.
You can also sign up(Paid membership) for insights on Investment Trusts from him and others. Weekly email and podcast .
Citywire do a daily Investment trust email. Free, does have sponsored content but keeps you up to-date with Investment Trust news.
https://citywire.com/investment-trust-insider
Trustnet have an Investment trust section. https://www.trustnet.com/
Kepler Trust intelligence produce reports for Investment trusts
Edison cover Investment Companies and do a monthly Investment trust round up. You can sign up for free.
https://www.edisongroup.com/equities/investment-companies/.
You can sign up for newsletters/fact sheets from most of the Investment Trusts on their websites.
For ETF's I use https://www.justetf.com/uk/. You can screen buy region, sector and see performance comparisons.
August 2025 Investment Trust monthly performance.
Top 10 Equity only
Jpmorgan China Growth & Income (LON:JCGI) +13.8%
International Biotechnology Trust (LON:IBT) +13.6%
Biotech Growth Trust (LON:BIOG) +13.2%
Baillie Gifford China Growth Trust (LON:BGCG) +11.5%
Schroders Capital Global Innovation Trust (LON:INOV) +11.5%
Fidelity Emerging Markets (LON:FEML) +10.7%
RTW Biotech Opportunities (LON:RTW) +10%
Pacific Horizon Investment Trust (LON:PHI) +9.9%
Polar Capital Technology Trust (LON:PCT) +9.9%
Majedie Investments (LON:MAJE) +9.8%
Bottom 10 Equity Only
British and American Investment Trust (LON:BAF) -12.5%
Athelney Trust (LON:ATY) -9.6%
Oryx International Growth Fund (LON:OIG) -6.7%
Scottish Oriental Smaller Companies Trust (LON:SST) -6.7%
India Capital Growth Fund (LON:IGC) -6.1%
Crystal Amber Fund (LON:CRS) -4.5%
Digital 9 Infrastructure (LON:DGI9) -4.3%
Hansa Investment (LON:HAN) -3.7%
Finsbury Growth & Income Trust (LON:FGT) -3.5%
JPmorgan US Smaller Companies Investment Trust (LON:JUSC) -3.3%
Top 10 All Trusts
Golden Prospect Precious Metals (LON:GPM) +30.5%
Petershill Partners (LON:PHLL) +29%
CQS Natural Resources Growth and Income (LON:CYN) +28.4%
BlackRock World Mining Trust (LON:BRWM) +21.9%
Geiger Counter (LON:GCL) +20%
Jpmorgan China Growth & Income (LON:JCGI) +13.8%
International Biotechnology Trust (LON:IBT) +13.6%
Biotech Growth Trust (LON:BIOG) +13.2%
UIL Finance (LON:UTLH) +13.1%
Baillie Gifford China Growth Trust (LON:BGCG) +11.5%
PRS Reit (LON:PRSR) +11.5%
Bottom 10 All trusts
Aquila European Renewables (LON:AERS) -13%
British and American Investment Trust (LON:BAF) -12.5%
Gore Street Energy Storage Fund (LON:GSF) -10.7%
Athelney Trust (LON:ATY) -9.6%
Octopus Renewables Infrastructure Trust (LON:ORIT) -9.3%
Foresight Environmental Infrastructure (LON:FGEN) -9%
Ground Rents Income Fund (LON:GRIO) -7.1%
Oryx International Growth Fund (LON:OIG) -6.7%
Scottish Oriental Smaller Companies Trust (LON:SST) -6.7%
Foresight Solar Fund (LON:FSFL) -6.6%
Top 10 ETF's
Global X Blockchain ETF (NMQ:BKCH) +37.98%
Global X China Elec Vehicle & Battery ETF HKD (HKG:2845) +25.7%
VanEck Junior Gold Miners ETF (LON:0LLN) +24.52%
Global X Silver Miners UCITS ETF USD Acc (LON:SILG) +23.77%
iShares Blockchain Technology UCITS ETF (Acc) (LON:BLKC) +23.7
VanEck Crypto and Blckchn Innvtrs UCITS ETF USD A (LON:DAPP) +21.52%
Sprott Junior Uranium Miners ETF (NMQ:URNJ) +21.4%
VanEck Gold Miners ETF (LON:0LKC) +21.18%
L&G Gold Mining UCITS ETF USD Acc (LON:AUCP) +21.14%
iShares Gold Producers UCITS ETF USD (Acc) (LON:SPGP) +20.43%
Bottom 5
YieldMax MSTR Option Income Strategy ETF (PCQ:MSTY) -10.31%
Rize Sustainable Future of Food UCITS ETF USD Acc (LON:FOGB) -7.09%
VanEck Sustainable Future of Food UCITS ETF USD A (LON:VEGB) -6.92%
VanEck Medical Robot and Bnc Eng UCITS ETF USD A (LON:CYBO) -5.51%
Invesco KBW NASDAQ Fintech UCITS ETF Acc (LON:FTEK) -5.09%
Disclaimer
This is not financial advice. Our content is intended to be used and must be used for information and education purposes only. Please read our disclaimer and terms and conditions to understand our obligations.
439 comments
Interesting article on Golden Prospect Precious Metals (LON:GPM) on sub stack.
https://emea01.safelinks.prote...
I mentioned in a post last night how I was a Ranmore "fan-boy" and that another similar fund was also doing well - Argonaut Flexible. Both have an unconstrained global remit.
I said the Argonaut Flexible hadn't been around that long (just over a year I think) and that it too had had a great year.
So I've done a cut and paste of the various holdings and global specifics along with their side-by-side comparative performances - obviously with only a years history for Argonaut it is limited. Warning - the data is from the HL website and I am unsure how often they update this so if you want the latest published data use the individual fund websites, although I am sure the data is not that out of date as it changes regularly which is a sign they are keeping it fresh. You can subscribe to the individual funds and get monthly fact-sheets.
Needless to say, I am now questioning if the Argonaut may actually be the better bet - who knows. I do hold both (but in different quantities). To be honest I am very happy with the growth from Ranmore but always on the look out for other options.
Molten Ventures (LON:GROW) (O hold) Equity research note out yesterday https://rtfilesprod.blob.core....
And the latest Molten News out https://mailchi.mp/molten.vc/o...today
Seraphim Space Investment Trust (LON:SSIT) have announced they will hold their Q1 results update on Tue 25th Nov with a retail investor webinar at 10am.
I hold, but am away at that time so wont be able to make it. You need to register for attendance. I think it was Charles who bought this one to my attention - thank you.
Just catching up with my backlog of Podcasts and listened today to Merry Talks Money with Joe Bauernfreund from AVI.
A very interesting podcast, but on looking further into AVI Global Trust (LON:AGT) I was quite underwhelmed by its performance. As many of you know I use a couple of Unit Trusts for my Global Growth funds, and on comparing my holdings with AVI it looks like my Unit Trusts will stay as my preferred choice for now.
Looking at its Top-10 holdings there are some interesting IT's in there (incl a couple of well known PE funds). I also like the Japanese and Korean exposure. It has a 7% discount and minor 1.5% yield.
I am talking myself into looking at it more closely, with a view to hoping its holdings may bring better returns.
Anyone have any experience/thoughts on this.
Was looking to swap out some historic stuff for the likes of AGT myself. Im looking at it as more of a steady global diversifier (almost buy and forget). Its outperformed Alliance Witan which I hold and am not planning to sell.
AJOT is part of the AVI Group so if you hold that there will be some duplication as the AGT fund holds a bit from memory. Some might consider that a good thing!
3 year performance view on both AGT / Alliance Witan nothing special but shorter and longer term both look better.
Kevin, I bought it a few months ago for Amanda's ISA due to its increased exposure to Korea. So far done OK.
I think there are some good companies in AVI Global Trust (LON:AGT) and previously would have bought it (and might do for some diversification), but when comparing against the Ranmore Global UT I can't get past how well (and consistently) Sean Peche appears to be able to deliver results.
Looking at his country spread I note that AGT has some 6% in S.Korea vs approx 8% for Ranmore - so very similar. Ranmore has approx 22% in the US with AGT having far less - but Ranmore is a high-turnover fund and what's in it today seems to change weekly. It is obviously a very successful approach so far.
I'll keep an eye on AGT and might have a dabble should its discount open up again.
In the past I am sure I would have dived in for some, but am now trying to keep my impulsive buys to a minimum - and have kept at my targeted number of holdings quite well for the last few months - now back to about 75% in collectives which is also pleasing.
I have not come across the Ranmore Global UT before which surprises me. But looking at it quickly it has a more trading style which can usefully compliment other funds/trusts. AAA rated manager Sean Peche on Citywire. As you say good record.
https://www.fundcalibre.com/el...
A true global value fund which has delivered in many different market environments, Ranmore Global Equity is significantly differentiated from the market and its peers and may be a useful diversifier in portfolios. The fund has a mixture of holdings in global companies of all sizes. Unlike other value strategies, momentum and technical factors are important parts of the investment process.
Little Dave I bought Ranmore a few months ago , after an AJ Bell Shares article (apologies Kevin if it was you) for my Wife's account. It's has done OK , up 8% in 5 months or so
I first bought it about 12 months ago - I have a vague recollection that it was Ian Shadrack that highlighted it, but my notes say it was my find - I'll put it down to IS????
What really impresses me is that it has such a tight deviation ie. the returns have been consistent since its foundation. It's not often it moves out of the very tight trend lines.
I know I have become a real fan-boy, but it is by far my biggest holding and the 1yr return has been 30% (I've been buying it throughout the year). But its 3yr return has been 98% - not sure what else has beaten that.
The other UT that has a similar approach is the YFS Argonaut Flexible Fund, but this has not been around that long, although it's done nearly 45% in the last year since its establishment.
Not sure how Ranmore (or Argonaut) will react in a downturn, and also as it gets bigger (its popularity is growing) it might struggle to be as nimble as it is currently.
Really tempted to sell more single companies and put it into these funds.
Best wishes Ken your insights have been invaluable .
I have just bought into NB Private Equity Partners (LON:NBPE) . Share price has not done anything for a bit, despite share buy backs. The portfolio is reasonably mature now and they should be able to realise some gains once the markets for this type of investments pick up. 7% of assets are in Action, and despite the valuations of 3i (LON:III) I am slightly more relaxed about getting exposure through a trust on a 27% discount.
The difference between a Authorised Investment Trust REIT and UK REIT. "
The distinction between a UK Real Estate Investment Trust (REIT) and an authorised investment trust in the context of property investment is important.
While all UK REITs are essentially quoted investment companies (or groups) holding property, they are not all necessarily regulated as an "authorised investment fund" in the same way as some other collective investment vehicles like Property Authorised Investment Funds (PAIFs) or Open-Ended Investment Companies (OEICs). However, many property-focused closed-ended companies that are REITs are commonly referred to as Property Investment Trusts or are members of the AIC.
Comprehensive List of UK Listed REITs (Total Instruments: 42)
Perhaps you should add Value and Indexed Property Income Trust (VIP) to the list. It became a REIT on April 1st, 2025
OK, Gemini AI missed that one !
Charles, useful summary. There is a tax difference as well. REITs property income distributions (dividends out of qualifying property income) have a 20% withholding tax applied at source. This is not withheld for payments to ISA's and SIPPs. Dividends from IT's are just normal dividends.
Can someone explain what is the difference in effective yield to a private investor if one holds a REIT outside an ISA or SIPP? Is there anyway of offsetting the effect of the 20% withholding tax when one files one's annual tax returns?
I think this is a question for your accountant as everyone's circumstances are different. Like any shares it will be taxed as income.
I asked ChatGPT's whether it made any sense for a UK retail investor to own shares in a REIT outside of a SIPP or ISA and got the following reply.
That’s an excellent and nuanced question — and the short answer is: usually, no, it rarely makes financial sense for a UK retail investor to hold REITs outside a tax wrapper (like an ISA or SIPP), unless there’s a specific reason to do so.
It would- maybe re-ask the question if your tax wrapper is full. I am not aware of any difference in tax treatment from an REIT than a retail PLC. Some REIT do pay dividends as a property distribution as I recall from one I hold. I just pay the tax if outside a wrapper, got to help the country and not going to ruin my lifestyle.
The gross dividend is taxed at your marginal tax rate and you get a tax credit for the 20% tax suffered. Normal UK dividends suffer no withholding tax and are effectively taxed at a slightly lower tax rate, dependent on your marginal tax rate. So there is a difference with IT's. The great benefit of REITs compared to a normal taxable property company are that there is normally no tax on property income or gains in the company itself - the tax structure is trying to put you in the position of you holding the property yourself. The difference is that gains can roll up tax free in the REIT and don't have to be distributed. It's a little more complicated than that but that's the essence.
Double check this as I could be wrong.... but the general gist is: REIT dividends are treated as "property income" (as does any buy to let property income) and are a separate item for those who have the joy of doing a tax return, these get a £1K allowance. Which is separate to the usual £500 reduced dividend allowance. Differs (removed?) for higher rate tax payers I think!
So makes sense still to include as much as possible in an ISA etc
Just to confirm Land Securities for example - appear as "Property Income Distributions (PIDs)" on the tax certificate issued by my broker.
Not that I want this thread to be even busier, but should we be including REIT's ? The difference between a trust Reit and a property trading Reit is property trading companies might buy and develop land and are likely to have large workforces. A trust Reit tends to have few if any employees. Basically an Investment Trust Reit is the board are not the managers and they stick to a clear investment policy. A non-trust REIt will have a board actively involved in the company and no particular investment policy. As I understand it anyway.
Just looked at British Land, huge discount to NAV and decent yield. Here is the Gemini AI research doc. https://docs.google.com/docume...
Well yes I think so. We already mention the likes of L&G etc. Plus the IT REITS are disappearing.
Hi Charles - I hadn't realised that these were "excluded" as I think we have spoken about many of them in the past eg. Supermarket Income REIT (LON:SUPR) Schroder European Real Estate Investment Trust (LON:SERE) etc etc. (BTW - I have held both in the recent past, but no longer).
I'd have thought that any "collective investment" is open for discussion as we all want to share ideas and bring forward anything that we might find interesting for the broader community.
Supr was an authorised investment trust until 2023. I have a list of all reits with status, will post later.
Has anyone got any thoughts on Emerging Markets? I hold Jpmorgan Emerging Markets Investment Trust (LON:JMG). It has had a very good run and I am thinking about taking profits. I also hold Ashmore (LON:ASHM, but that is more of a longer term hold for EM recovery and the high yield.
I have mentioned Emerging markets quite a bit recently. As well as direct trust in Vietnam, India and China I hold Blackrock Frontiers Investment Trust (LON:BRFI) , Ashoka WhiteOak Emerging Markets Trust (LON:AWEM) Scottish Oriental Smaller Companies Trust (LON:SST) . I also hold Ashmore (LON:ASHM) . I am holding on, everything I read- mainly FT -suggests outlook is bullish. I feel we will be seeing some changes in trading patterns post Trump tariffs and emerging economies should benefit.
I agree with Charles - all I read says it should be positive for EM's. As well as Blackrock Frontiers Investment Trust (LON:BRFI) I also hold Ashoka India Equity Investment Trust (LON:AIE) and my main holding is in a Unit Trust called Redwheel Next Generation Emerging Markets - a core holding of mine which I think I have posted on in previous months.
Its worth looking at the geographic exposure when looking at any emerging markets ETFs or trusts. Jpmorgan Emerging Markets Investment Trust (LON:JMG) has 18.7% in China and 15% in India. iShares Core Msci Emerging Markets Etf (PCQ:IEMG) has 27% in China and 16.85% in India. I found I was too heavily weighted in these countries due to the skew in emerging markets ETF.
One could argue these are quite developed markets now so if you are looking for pure emerging markets might be worth going for country specific such as VietNam Holding (LON:VNH) Ishares Msci Taiwan Etf (PCQ:EWT), Ishares Msci Poland Etf (PCQ:EPOL) or Xtrackers MSCI Pakistan Swap UCITS ETF 1C (LON:XBAK) .
Following Londonmetric Property (LON:LMP) taking a stake in Schroder Real Estate Investment Trust (LON:SREI) I have increased my holding. I have done some research into why they would ttake a stake and can find no reason other than to make a bid. Schroder Investment Manager hold 13.87% so that I assume a bid if forthcoming would have to be at a decent price. Here is an AI report on why LMP would take stake https://docs.google.com/docume... and a rather longer one based on how LMP could integrate SREI- which assumes a bid has been made https://docs.google.com/docume...
Agree Charles. I’ve posted several times about Schroder Real Estate Investment Trust (LON:SREI) looking a very good buy under 50p. Hope a few readers here bought, as it’s now looking VERY interesting.
You have indeed Ken. I increased my average cost price a bit, but still in the money
Agree Ken. Wondered what had pushed the price of Schroder Real Estate Investment Trust (LON:SREI) last week on no news. Now we know. Could be a while before they make their move but clearly a stake in place. GLA
Edit: Do we think they may have taken out Rathbones stake? Seems a similar size. Guess we'll find out in the next few days.
Kenmitch, Charles.
Thank you both for the heads-up on Schroder Real Estate Investment Trust (LON:SREI). Ken - I bought at 44p, got that one right, I think it was from your 'tip' at the time.
Excellent also to see Charles's posts on the IT and REIT thread, much appreciated Charles
Ken, as an aside, pleased to say that my portfolio overall is moving upwards in line with a currently strong market. This wasn't always the case in M Walters days, quite a bit of rubbish was touted there (no reflection on Mike, although he did get some very wrong), but (some) posters were often pushing poor investments. I'm mostly in funds, inv trusts , a few REITs, with just a handful of individual shares. All this doing better than I ever did by myself.
Hope you've recovered from your illness. Also to say, good to see a number of MW members active here. (No 33, 7cc, brucie to name a few that come to mind.
All the best
Thanks dartagnan and good to hear that you got into Schroder Real Estate Investment Trust (LON:SREI) at such a good price. REITS are mostly flatlining at present but the sector looks to have bottomed so the next move (perhaps eventually) is more likely to be up than down, except obviously any that issue a downbeat update. And as looks very possible with Schroder Real Estate Investment Trust (LON:SREI) there’s always the chance of a bid or some form of positive corporate action.
The rest of this post is a one off topic. Apologies if it annoys just ignore it and stop reading! ………………………………
………….As for Mike Walters, he was well meaning ………but the most telling thing he posted was that Maggie had asked him not to put any new money in to the stock market. As for the junk shares he enthused about like Eden Research (LON:EDEN) 80 Mile (LON:80M) Reabold Resources (LON:RBD) unfortunately too many “respected posters” there so influenced by him, who got high recommendations for their rubbish posts, lead others astray.
This bit is even more off topic, but a few ex MW readers have asked and a bit of it might be very useful like the warning about over subscription of powerful antibiotics, I’ll post it.
As for my health…..I’ve gone from walking miles and travelling just a few months ago, to being completely housebound now and trying to learn to walk again, Reason? Long period of enforced 24 hour bed rest in hospital with severe back pain. as they feared paralysis and it so weakened my leg and other muscles that it meant inability to walk etc. . And there’s a chance I might never regain full mobility. I’ve several other health problems that I’ll gloss over.
The worst thing hanging over me is frequent Rigors and high infection levels where despite trying every obvious check they can’t find the cause.
Here’s a warning for anyone still reading………….the standard solution for this is powerful antibiotics and I have developed resistance to them, but I’ve had these so often that they now give me potentially life threatening Cdificile which I’ve now had 4 times. So the medics are hoping I can continue to manage without yet another course of antibiotics. THE CAUSE OF THIS IS TOO MANY POWERFUL ANTIBIOTICS along with (unnecessary) spells on OMEPRAZOLE which the NHS website highlights as a key cause of getting Cdificile.
I’m now on a very good Hospital at Home service which is what it says…….an alternative to otherwise being in hospital ……..with nurses calling every day and available 24 hours a day.
I look in here and at Trust and other updates , and still posting to take my mind off it all. There are some great posters here and Charles has done so much to get this now thriving thread where it is.
Ken, Sorry to hear of your health woes. Thoughts are with you. Charles
Ken, so sorry to hear this. stay strong, get better. Glad to hear you're back at home. I spent most of yesterday in hospital being checked out for tachycardia, which may be a side effect of a new medication I'm taking! Like you suggest, it's often the law of unintended consequences that costs the mostest!
On subject of REITS/ITs, I had some extra money put by with which to buy the following: Tritax Big Box REIT (LON:BBOX) (now a 3.5% holding); British Land (LON:BLND), Schroder Real Estate Investment Trust (LON:SREI) and Biopharma Credit (LON:BPCR). Unfortunately all outside the ISA tax wrapper so 20% will come off the dividends for starters, but I feel as seevral do here that it's a very good value sector atm.
VinaCapital Vietnam Opportunity Fund (LON:VOF) Last weeks presentation.
We are now up to 14 Investment Trusts and Funds exhibiting, presenting and speaking at the MelloLondon event next month. Additionally another five companies were announced as attending MelloLondon last week and a few Stockopedia favourites amongst them. Also a new headline guest speaker...the ex hedge fund guru Hugh Hendry who is a real character and will be joining us on the 19th November
Investor Education, Networking & Presentations - MelloLondon will have it all.
I am sure many of the Stockopedia community will be there - for Mello2025 we were lucky enough to welcome the likes of Ed Croft, Graham Neary, Mark Simpson & more from the Stockopedia contributor list!
You can get a 25% discount if you use the code Stocko25
Tickets - https://www.melloevents.com/mellolondon2025
Looking forward to it - some interesting companies & trusts so will start to do my homework.
Rainy Sunday afternoon so did some Gemini AI deep research on PR trusts (includes what AIC refer to as Global growth (Molten, Chrysalis etc). Here is the link which might be of interest to those less familiar with these trust vehicles https://docs.google.com/docume...
Super Charles. Thanks as always. I really appreciate all the work you and others do and share on here. What a great bunch you are.
Also, I have no issues loading the monthly post and vote to leave it as is.
I think the monthly post is good.
The comments page is hard to read and a bit slow to load when the nesting is very deep - but looks ok on a bigger screen.
If you choose to split it up i suggest geographically - uk and overseas.
Slow to load ... on a phone which admittedly is a bit old now.
Thanks for the comment. Splitting it geographically would be challenging for me !
If interest in the ETF side grows that could be a separate thread. But I suggest it's fine for now
Good idea little Dave. I had sort of that in my mind. The only other one I would consider is fund managers, which connects in a way with trusts. Nearly retired now, just been joined by a young woman to take on the main work of my company, 3 years to go and she will own it. Quite pleased, I would(genuinely) like a young person to take it on and make a go of it- I have rather run it down over the last couple of years but we used to do OK. So will work with her part time.
Investor Meet Company this coming week.
Target Healthcare Reit (LON:THRL) TARGET HEALTHCARE REIT PLC
Full Year Results
28th Oct 2025 at 10:00am GMT
RIT Capital Partners (LON:RCP) RIT CAPITAL PARTNERS PLC
Investor Webinar
29th Oct 2025 at 3:30pm GMT
Custodian Property Income Reit (LON:CREI)
CUSTODIAN PROPERTY INCOME REIT PLC
Investor Presentation
30th Oct 2025 at 11:00am GMT
Just been looking at performance of our funds(ISA, Sipp, Dealing) since April 5th. Probably a bit pointless as the market had dived then after Trumps tariffs announcement. All I can see is that I would have been better off just buying the FTSE index on April 6th ! Funds have done OK, but lagged FTSE. I have got quite a lot invested overseas, might have to review the portfolio geographic spread, although a lengthy process as some Trusts have holdings worldwide. Avoiding the US to a large extend has also affected performance.
Be interesting to see what happens after another 6 months, I find the resilience of the UK market encouraging given the noise about the budget.
One stand out trust which is mentioned very rarely is Fidelity Special Values (LON:FSV) In my wife's ISA and up 38% since bought in March 2024. Dividends are re-invested. FSV has 88% in the UK, 23% in financial services- top holdings include Aviva (LON:AV.) ,British American Tobacco (LON:BATS) Standard Chartered (LON:STAN) and Natwest (LON:NWG) . 39% in FTSE100 stocks, 34% in FTSE250, 9% in FTSE small cap. 20% is in non FTSE which I am not 100% clear about as only 12% outside of UK. 31% of assets are in the top 10 holdings.
Arguably nothing very exciting about the portfolio- they do hold Glenveagh Properties (LON:GLV) in Ireland which is an interesting company and I held directly for. while. But the manager has delivered. The FTSE100 is up 21% over the same period.
It tops the 1, 5 and 10 Year performance on the AIC UK All companies table https://www.theaic.co.uk/aic/f...
I welcome more comments per post. I never have a problem with loading. Is the problem the way you access the Investment Trust threads? Once logged in I go to “ discuss” and then “all posts. “ I’ve set how I see posts to “latest”.
. Isn’t the last thing we should be doing is asking people to restrict posts here or anywhere else? There are superb posts here and the more the better including replies to a post.
Agree Ken. Lets keep in monthly.
Just a suggestion here. This post is generating such a massive amount of comments that they are taking a quite a long time to load. Maybe you might like to consider doing something like this more frequently eg fortnightly or weekly? That way the number of comments per post would become more manageable.
How are you viewing Stockopedia ? I have no problems on my iMac and iPad ? I guess I could split it into 2 weekly, but might break the threads. Anyone have an opinion ? Ken?
Hi Charles, I am on a Windows 11 laptop with 100mb broadband.
That is odd. Lets see what the others on thread say.
I'm on a windows 11 laptop, 16gb ram, chrome browser, with 30mb broadband and no problem at all.
If nobody else is having a problem then I should check my settings.
All good for me - I have problems with the "Trade/Chart Ideas" board that was set up some time ago, but that runs to thousands of posts (2638 at last count) - and I have now given up looking at it due to the load time.
The monthly refresh of this board is fine on my Mac.
No problems with speed on my Android tablet and 4G WiFi
Slightly off-topic, but we have been discussing private equity funds on here.
Shawbrook is listed for IPO in early November. Shawbrook is owned by Marlin Bidco who are 50% owned by Pollen Street (LON:POLN).
At the proposed valuation of Shawbrook (approx imately £1.4 billion) the value of Pollen Street's stake in Shawbrook will be worth around £750 million. The Shawbrook valuation doesn't look excessive, as you'd expect at this point in the IPO cycle.
Pollen's Street's current market cap is £450 million with around £200 million in cash on the balance sheet. The partial float of Shawbrook will add another £150 million to their cash pile. On the face of it Pollen Street's valuation looks anomalous in relation to their Shawbrook holding.
On the downside:
I own a fair chunk of Pollen Street (LON:POLN) so bear that in mind when considering this, I am not unbiased.
timarr
Pollen Street (LON:POLN) Very interesting post Timarr, thanks for pointing that out. Now I have to try and get my head around a rather complex business. The first question that comes to mind is is their 50% stake in Marlin Bidco entirely a direct investment of their own balance sheet, or is part of it AuM managed for third parties?
Pollen Street (LON:POLN).
The first question that comes to mind is is their 50% stake in Marlin Bidco entirely a direct investment of their own balance sheet, or is part of it AuM managed for third parties?
That's a terrific question and one I hadn't considered. It potentially makes a big difference.
I think - although I can't be sure - that most of this is held on behalf of third-parties and therefore the direct economic benefit doesn't flow through to the Pollen Street balance sheet. There is significant upside for the company in terms of carried interest and fees, but we're probably talking between £100m and £200m, and not all at once.
A typical Pollen Street investment also involves the company taking a 10% stake in the target. Useful but not going to shoot the lights out of the NAV.
So ... err, not as good an opportunity as I'd thought. D'oh.
I also spent some time looking through the Shawbrook prospectus - I think for a growth oriented business bank with a pretty clean balance sheet this looks like a decent price. The owners probably need to recycle some funds and at this point in the cycle they need to price keenly to do so.
timarr
Maybe as I'm writing this on an Android tablet, but I cannot post a link - the usual 'at' sign brings up the box but when I enter the ticker, nothing. Ah well. Anyway, the reason for my post; I've just reduced my holding to HFEL, and may reduce further.
It was making up a larger than 'full' portfolio position but as a long term hold my divi return is not as good as one can get by buying today (7.6%) and I'd lost some capital. Despite overall being in profit I am concerned - regularly reading that HFEL has issued more equity. This is becoming far too frequent - sometimes 3+ a week! I can't help but think that the generous divi is being paid out of the funds raised by constantly issuing new equity. Surely this is unsutainable; and the constant dilution will peg / limit any SP upside.
Can anyone help ?
Why is Athelney Trust not mentioned on the site .
As far as I can see dividend around 6% , an AIC dividend hero on a 13 % discount .
I appreciate portfolio is extremely concentrated ....what am I missing ?
Why is Athelney Trust not mentioned on the site .
Hi Prof
It's significantly sub-scale - a market cap of £3.5m is a rounding error in the scheme of things.
Interestingly it was one of the original ten stocks on AIM - it's the only one still listed. There are three companies that joined AIM in 1995 that are now on the main market, of which Athelney is one. The other two are Hiscox (LON:HSX) and Genus (LON:GNS) who have a rather better record.
Other companies in the 1995 cohort include Wynnstay Properties (LON:WSP), Journeo (LON:JNEO), ECO Animal Health (LON:EAH), NWF (LON:NWF), Westmount Energy (LON:WTE), IG Design (LON:IGR), Proteome Sciences (LON:PRM) and Bezant Resources (LON:BZT). A more diverse bunch you couldn't make up!
timarr
Thanks Timarr..appreciate it
Is Aew UK Reit (LON:AEWU) looking fully valued? NAV at 109.9p end September with SP 110p/111p. Favourable funding at 3% in place til 2027. Spare cash for more property acquisitions flagged in update. Divi is c7.3%. Pro's and Con's. Nice to hold quality and take a regular Divi. But are there better opportunities in a rising market? Have this as one of several property REITs and originally selected for the divi. On that basis I should continue to hold....
Not one I know well, but on discount grounds I would be looking at others on a larger discount- maybe even a property company reit rather than a trust. I hold for example Hammerson (LON:HMSO) and that has NAV of 382p , share price 308p yield 5.9
Isn’t it too late to be buying superb performer Aew UK Reit (LON:AEWU) (which I bought at 63p in 2020 when it was at a big discount and have had 40p of that stake back in dividends, a 13% annual yield, at that buy price?)
BUT BUT….isn’t it a strong hold for you and other longer term holders, if you’ve held for a while as the yield will be better than current 7.3%.
That big discount has long gone and it now trades around NAV. Their update today was as usual impressive, including 40 successive quarters of paying an 8p a year quarterly dividends, but that’s reflected in Aew UK Reit (LON:AEWU) being by some way the best performing REIT.
Aew UK Reit (LON:AEWU) is in the VIRTUAL PORTFOLIO and up well over 100% if including dividends.
It’s one of the biggest REITS in the World!
Ken- not sure the biggest REIT in the world. On the UK market-talking Trusts only we have Tritax Big Box REIT (LON:BBOX) Custodian Property Income Reit (LON:CREI) Schroder Real Estate Investment Trust (LON:SREI) Regional REIT (LON:RGL) . SEGRO (LON:SGRO) Land Securities (LON:LAND) Londonmetric Property (LON:LMP) British Land (LON:BLND) It is a sector full of opportunities and I am looking at the non-trust ReIts increasingly.
I agree Charles after checking following your reply. It was Aew UK Reit (LON:AEWU) who made that claim as readers can see from this section today.
“About AEW
AEW is one of the world's largest real estate asset managers, with €73.8bn of assets under management as at 30 June 2025. AEW has over 860 employees, with its main offices located in Boston, London, Paris and Singapore and offers a wide range of real estate investment products including comingled funds, separate accounts and securities mandates across the full spectrum of investment strategies. AEW represents the real estate asset management platform of Natixis Investment Managers, one of the largest asset managers in the world.
As at 30 June 2025, AEW managed €35.8bn of real estate assets in Europe on behalf of a number of strategies and separate accounts. AEW has over 520 employees based in 11 offices across Europe and has a long track record of implementing core, value-add and opportunistic investment strategies on behalf of its clients. In the last five years, AEW has invested and divested a total volume of almost €15.0bn of real estate across European markets.”
Global Real Estate Asset Manager Hierarchy (2025 Snapshot)
(SO AEW are not far off with 73.8bn)
7CC - as Ken alludes to, what is the divi rate you receive on the investment? If you bought in at a lower price you'll no doubt be getting more than the 7.3% that anyone buying in now would get. Some long term holdings can be paying astonishing divis - divis that it can be impossible to equal (or even come close) by selling and buying something new.
Can someone please help my confused brain, as I must be missing the ( tax ? ) point ... every time that I read about historic dividend rates I can't quite fathom the importance .... if our portfolios are marked to market each day, then surely only the next dividend rate is of any relevance...
e.g. if you invested £ 1 000 with a 5% yield at the time, but is now worth £ 2 000 and still paying 5% ... why is the 10% yield on the original investment relevant please ? Genuine question, as the holding is worth £ 2 000 ( whether you hold or sell ), so still only yielding 5%... whichever way it's represented it's still only £ 100 cashflow coming in ?
I'm just concerned that I'm missing a point re buy and hold here and consequently over-trading ... is it related to IT's outside a tax wrapper please ?
Many thanks in advance
Can someone please help my confused brain, as I must be missing the ( tax ? ) point ... every time that I read about historic dividend rates I can't quite fathom the relevance
I too am confused.
Let's take an imaginary example:
So the historic yield is 16p per share at £1 - 16%.
This, as far as I can tell is completely irrelevant.
If I sell my ExampleCo shares at £4 and buy something NewCo yielding 10% (i.e. the equivalent of 40p per share) and I will now have an effective historic yield of 40% on my original ExampleCo purchase. Which makes no sense whatsoever and is never a consideration.
My decision today as to whether to buy, sell or hold should surely be decoupled from both the original yield and the historic yield?
As far as I can tell this is nothing to do with tax and is some kind of confusion between absolute yield (i.e. 16p versus 40p) and relative yield (i.e. 16p at £1).
But perhaps I'm wrong, because it does seem to get mentioned a lot.
timarr
Hi Lincs
Appreciate your perspective and views of the Mitchell Brothers on Aew UK Reit (LON:AEWU) . Definitely feels like the classic case of on the one hand and then again on the other.
Over a 2 year+ holding period this REIT has provided me an 8% pa yield and 5% pa capital appreciation. So a decent 13% pa return, which I'd settle for across my entire portfolio tomorrow.
On the other hand this has fluctuated from my buy price at 100p to 86p and back now to 110p+. I understand the view of taking the yield on your buy price but I don't think that's a valid measure. Imo that's a case of anchoring and misses the opportunity to put your money where it will get the best return in the here and now.
In this case, on my 110p I will now generate 7.3% and being fully valued on NAV I'm as likely to see capital deprecation as appreciation, though hopefully upward only as property seems to be slowly on the up. I could redeploy this 110p and get either a better yield (not many better solid returns around) or a greater chance of capital appreciation.
I have the same dilemma with Alternative Income REIT (LON:AIRE) , though that is still 10%+ below NAV. Also hold Schroder Real Estate Investment Trust (LON:SREI) , which is having a strange uptick this last week, Tritax Big Box REIT (LON:BBOX),Schroder European Real Estate Investment Trust (LON:SERE) and Newriver Reit (LON:NRR) in this area. I see these as providing a nice steady annuity style income base for my SIPP. But always wonder if I could successfully deploy these funds more effectively.
Guess it is a good offset to the more speculative gold and silver shares in my portfolio and provide some reassurance on the days those plunge!
So in this property related area Charles has suggested Hammerson (LON:HMSO). I need to have a look at that. I've got an eye on Workspace (LON:WKP) for recovery, seems to be on the turn, and also the likes of Land Securities (LON:LAND) , British Land (LON:BLND) and Great Portland Estates (LON:GPE) . Question is do I swap from a solid, reliable fully valued Aew UK Reit (LON:AEWU) or do I stick? Perhaps too much desire to be actively involved!
In the days when I used to trade quite often I would have considered selling Aew UK Reit (LON:AEWU) if in your situation. I.e probably not much upside and “only” 8% yield to compensate. Similar point applies to other REITS you hold.
But isn’t it important only to buy a share or Trust where you believe there’s a high chance of significant capital appreciation? . That’s not easy with Market having had such a good run.
This comes back yet again to the big plus of buying the big dips. I paid 63p for Aew UK Reit (LON:AEWU) and get annual 13% dividend. 13% a year is worth getting with no share price upside. Ditto shares like Aviva (LON:AV.) TP Icap (LON:TCAP) M&G (LON:MNG) Chesnara (LON:CSN) Phoenix group (LON:PHNX) Marks and Spencer (LON:MKS) (where there’s a modest dividend likely to rise further and already 7% yield for me) and even Aberdeen (LON:ABDN) ….when yields were either in or near to double figures when the shares were for so long ridiculously cheap. As with Aew UK Reit (LON:AEWU) there’s now a good capital gain on top.
Finally when taking advantage of big market falls that used to be when I sold some that had held up well and suited to bear markets, to switch to what looked to be ludicrously cheap shares and Trusts (e.g India Capital Growth Fund (LON:IGC) around 50p). Key (obvious) point…..any new buy must now outperform the one(s) we sold.
Having said I was going to hold onto Foresight Solar Fund (LON:FSFL) andRenewables Infrastructure (LON:TRIG) I have just sold them. Small profit but I needed to raise cash to invest further into Private Equity trust where on a 24 month view I see a better potential for capital growth. The overall income on the total portfolio mix had increased to 5.6% so slightly overdone the income stock selection.
Harbourvest Global Private Equity (LON:HVPE) I hold. With the uplift inGrow's share price I missed HVPE results which also showed a 5.6% gain over 6 months. Interestingly in part due to strong performance in Infrastructure(+11.4%)! Chair statement said ""As private markets show signs of recovery, HVPE is uniquely positioned to capitalise on these opportunities. Our new SMA structure enhances our cost efficiency and flexibility, while our active share buyback programme continues to deliver value for shareholders. With a robust balance sheet and a high-quality, diversified portfolio, we remain confident in our ability to deliver long-term value for shareholders."
Unlike GROW price is unchanged. Estimated NAV at 30/9/25 was £43.06. I have bought a few more.
VietNam Holding (LON:VNH) Latest report with an interesting comment on the move to emerging market status. https://www.vietnamholding.com...
Molten Ventures (LON:GROW) I Hold. Another positive statement with NAV up to 719p (unaudited) from 671p March 31st 2025. "
I am encouraged by positive signs coming out of PE sector- not only the trust but in the wider private equity market both in Europe and The US.
Certainly a sector one would hope will not suffer in a market correction. Not sure why they continue with the buybacks as the discount is hardly narrowing fast, though it did uplift NAV by 13p. I now routinely vote against buybacks , not that my votes will count for much!I also vote against getting rid or pre-emption rights.
I am sort of coming to the conclusion that if Trusts feel buybacks is the only way to control the discount then maybe the boards should look at alternative solutions to get value to shareholders. Special one off dividends (most of us I assume have holdings in a tax wrapper) or corporate change such as becoming an ETF( though would be difficult for non-liquid trusts like PE and Infrastructure assets), merging with an unlisted fund with an exit opportunity. Most of the managers run other funds, often substantially larger. Time will tell, but buybacks do not work and just reduce the investable capital available.
The following has not afaiaa been covered in posts here, probably because most know already….but there are also people here new to Investment Trusts who probably don’t.
The key bit is the bit ahead of the dots.
But in case not:-
When trading at premiums to NAV, Trusts can issue new shares to help pay for needed investments. when trading at discounts to NAV they can’t.
Renewables (and similar) Trusts were trading at premiums for a good while and they took advantage by regularly issuing new shares.
Once these Trusts began to fall out of favour and went to discounts they couldn’t do that.
………………………………………………………………………………………….…………………..
Unfortunately that now means they sometimes have to make disposals they might not want to instead. If this has to be done repeatedly (if there is no other way to raise new cash) it shrinks the Trust and NAV. And whether that NAV is anywhere near reality is guesswork.
No wonder the shares have fallen so far and discounts to NAV got so wide (and with buybacks usually failing to reduce that discount). Where NAV is fairly accurate, arguably some are now very tempting bat current depressed prices. (NAV for Mainstream Trusts with transparent holdings are normally accurate).
I don’t understand how much each Trust needs to invest in their various investments, but guess some need considerable amount.
Very happy to have any factual errors pointed out with correct info instead.
That's the exact point Bluefield Solar Income Fund (LON:BSIF) made yesterday in their results announcement- to keep the dividend at the level it is would mean gradually selling off it's assets, which is obviously unsustainable in the medium term.
Hi ken
I think you're largely correct about the need for some IT's to sell assets if they're trading below NAV. However, as most IT's consistently trade at a discount and have been around for years that's not the whole story.
Most traditional IT's hold portfolios of stocks. Dividends are funded from income received from those stocks and the NAV is increased by making wise buying and selling decisions (the opposite is also true). As these are open ended funds then if the market falls there's no need for the managers to sell the underlying assets, although usually the discount will widen because investors sell the IT's shares and / or don't buy it.
Some of the more exotic IT's are different types of animal. In the case of renewable funds in particular they often hold portfolios of generating assets (wind farms, solar fields, etc) at various stages of development. Some of these need further funding to reach full capacity (which leads to funding shortfalls if the IT can't raise new funds, and forces asset sales). Unlike traditional IT's where the NAV is simply a question of multiplying each holding by its public stock price and adding them all up the assets of alternative ITs are valued by a range of mechanisms - mark to model methods conducted by (hopefully) independent valuers and actual realised asset values.
Similar processes apply to the more exciting technology funds (e.g. Augmentum Fintech (LON:AUGM) or Seraphim Space Investment Trust (LON:SSIT)) and to many of the infrastructure funds (e.g. HICL Infrastructure (LON:HICL) although as the market for the underlying assets is more transparent we can have more confidence in the valuations.
We've seen some horrible car crashes in these alternative ITs - Hypgnosis with music royalties and Digital 9 Infrastructure (LON:DGI9) for example, where it turned out the valuation models were, shall we say, less than perfect.
I think it's important that IT investors realise the difference between these different types of IT and recognise the different types of risk they're taking. In order of less to more risky (in my judgement):
That's not a perfect categorisation - where, for example, would you place Scottish Mortgage Investment Trust (LON:SMT) or Supermarket Income REIT (LON:SUPR) ? However in general it's important to understand that investing in (say) Edinburgh Investment Trust (LON:EDIN) (class 1) and Cordiant Digital Infrastructure (LON:CORD) (class 7) brings very different risks.
To summarise the above: not all investment trusts are equal and some are decidedly more equal than others.
I'd note that nearly all of my IT investments are in classes 5, 6 and 7 ...
timarr
Great post timarr. Most of my Trusts are classes 1, 2 and 4.
Hi Timarr, thanks for your excellent and very insightful post. I've noticed a minor typo - I think you meant to write "close ended funds" rather than "open ended funds" in your second paragraph.
Hi pka
I've noticed a minor typo - I think you meant to write "close ended funds" rather than "open ended funds" in your second paragraph.
You're absolutely correct. For some reason I've programmed my brain the wrong way around and I can't undo it!
Thanks
Tim
Ken, This only applies maybe to the PE and Infrastructure trusts. A small % of the sector. Most Trusts invest in tradable equities, so have no requirement to fund them.
So if your warning is about the smaller number of Private Equity and the infrastructure funds a valid point. But not for the majority of Trusts which offer a range of investments opportunities from Japan to North America via Vietnam and South America with no risk of redemptions forcing Trusts to sell holdings- as happens with Unit Trusts.
Discounts have always been a thing with Trusts, may be partly as they can gear up so benefit on a rising market and reverse in a falling market.
The discount is illogical as in theory one could by a trust, hedge the indexes and make a profit (if you did 100% buy of that fund via a bid)- a low risk return if a trust is on a discount of 15-20%. less the no doubt large corporate broker fees nowadays.
Charles. It was Renewabkes Infrastructure Trusts I was posting about.
Though not doing so specifically this time I’ve made it very clear that it does not apply to the many mainstream Trusts where it’s easy to check out their portfolios . (There’s more on this point in timarr’s post yesterday). I much prefer those to risky non transparent Trusts.
OK Ken, I thought so but as it was unclear and not in a thread I just wanted to reassure newer people to Trusts.
Gore Street Energy Storage Fund (LON:GSF) See some director changes, but the Chairman is clinging on !
Augmentum Fintech (LON:AUGM) seems to continue to drift down at the moment to the point I am thinking about trimming. I wonder what will help turn the sentiment here. Chrysalis Investments (LON:CHRY) had a decent bump from the Klarna listing, hopefully AUGM can do the same soon to give the share price some fuel
Tide bank would help- I fail to understand why AUM is dropping when probably the goods time are coming!
I have mentioned Macau Property Opportunities Fund (LON:MPO) on occasions, saying I was monitoring having held pre-covid and did OK. Todays announcement is a big red flag, sounds to me that they could well run out of cash unless a fund raising is successful. I would avoid.off my monitoring list.
Seraphim Space Investment Trust (LON:SSIT) Citywire had an article this evening https://citywire.com/investmen...
Seraphim Space Investment Trust (LON:SSIT) Excellent results yesterday - very happy to be in here, and hopefully it will continue to come good. Plenty of exciting companies in its PF - compared to the US Space ETF we are a long way behind on the space/tech journey although I appreciate the vehicles are very different.
I did do an analysis on Sunday of VanEck Space Innovators UCITS ETF USD A (LON:JEDG) but ChatGPT wouldn't let me open up the CSV file it sent giving me all of the details I had asked for of its Top-20 holdings. I have got a written summary for each, but now need to spend some time reviewing it line by line, rather than getting the summary table.
This is what Gemini AI came up with on Top Ten holdings https://docs.google.com/docume...
At last, a Renewables Trust facing up to negatives affecting the whole sector. Today Bluefield Solar Income Fund (LON:BSIF) were frank about those problems and are facing up to them. (The dividend is clearly at risk….as this bit later in the Statement makes clear).
“(This transition would require a re-examination of our capital structure and dividend policy as we examine the proportion of our net income that we would be able to distribute if we are to fund our pipeline from retained earnings and additional borrowings)”.
I sold most of my Renewables a while ago including Bluefield Solar Income Fund (LON:BSIF) at 90p, but for reasons I’ve forgotten to check before posting this (probably convincing posts here?) I bought Foresight Solar Fund (LON:FSFL) again recently at 75p.
Here’s the relevant section on from the Bluefield Solar Income Fund (LON:BSIF) Results statement today. The whole statement is well worth pondering.
“Introduction
I am pleased to place before Shareholders a significant statement regarding the Company's future direction, drawing upon the fundamental review of BSIF's strategy which is currently underway.
The Directors recognise that the historically low interest rate environment that supported the early years of the Company and its peers is unlikely to return; these conditions fostered the creation of a substantial new industry sector, becoming known as 'renewable utility yieldcos', with BSIF as one of the leading actors on the stage. But financial markets have changed and your Board has therefore been working to determine a more appropriate structure in which to place an integrated green power entity, suitable for the next decade and beyond. In this statement we will analyse the background to the current situation and explain what your Board has done to assess it, together with our conclusions to be discussed with Shareholders.
The past financial year, which ended on 30 June 2025 (the "Year"), has seen a continuation of most of the issues your Company has been confronting since 2022 - with the happy exception that irradiation was much better in the second six months (January to June 2025).
Longer term Shareholders will recall that, until summer 2022, with our shares trading at a consistent premium to NAV, we were able to raise significant equity capital through a series of oversubscribed placings. This route became more challenging towards the end of the Johnson administration, when the Financial Times ran articles suggesting that the renewable energy sector would face windfall taxes. The fundraising door closed completely following the Truss mini-budget in autumn 2022; although most measures proposed therein were promptly reversed by Jeremy Hunt on becoming Chancellor, the legacy spooked markets and provoked significantly higher sterling interest rates for an extended period.
This caused our share price to fall and a concomitant discount to NAV emerged (at times to more than 30%), a position which we, along with the rest of our sector, have found ourselves in for the past three years; we are thereby becalmed in a sea of equity starvation, with little prospect of more benign conditions. Access to equity capital, which had facilitated the expansion of the Company's asset base and its burgeoning development pipeline, has been closed. Fortunately, our Investment Adviser has been successful, not only in creating a series of liquidity events which have realised over £120m in cash proceeds in the past eighteen months, but also in identifying other sources of funds, notably through our partnership with GLIL Infrastructure ("GLIL").
Much of this narrative will be familiar to Shareholders who read last year's Annual Report. Recognising that positive action was required, my statement in the Company's interim report, released on 27 February 2025, disclosed that "the Board is committed to exploring strategic initiatives to address the share price discount and to continue to seek to maximise value for our shareholders" and it is indeed down this path that your Board has been working for the past seven months to explore options for the future of the Company.
The Board, in conjunction with the Investment Adviser and with the support of its own financial advisers, has evaluated numerous and diverse possibilities to seek to maximise value for BSIF Shareholders, including evaluating offers for the Company's assets as a whole. Despite the strong level of interest shown, leading to an exclusivity agreement and the commencement of due diligence, the preferred bidder decided not to move to a binding offer for the Company's assets. We learned a great deal from this experience; it became clear to the Board that potential investor interest was greatest when considering the Company's operating assets in combination with its sizeable development pipeline, alongside the Investment Adviser, with its proven development and operating capabilities. From the launch of BSIF, our Investment Adviser has been Bluefield Partners and together with its affiliated service companies is known today as the Bluefield Group.
Put simply, we discovered that the whole Bluefield enterprise is worth more than the sum of its parts. This insight helps define the Board's current thinking in terms of the future direction of BSIF, which I discuss further later in this statement.”
Ken Mitchell,
You always seem to be able to sell your investment trusts before problems arise! Perhaps you could help those of us who continue to hold these renewable sector trusts by advising when to get out. Unfortunately I am sitting on big capital losses in Renewables Infrastructure (LON:TRIG) - 42%, Gore Street Energy Storage Fund (LON:GSF) -33.6% the aforementioned Bluefield Solar Income Fund (LON:BSIF) - 46.8% and sadly Asian Energy Impace Trust (in administration!). Fortunately with the exception of Renewables Infrastructure (LON:TRIG) the amounts are a relatively small part of my portfolio. I have continued to hold for what have been good historical dividend yields and the hope that by waiting there might be some share price recovery through strategic review, mergers/takeovers and ongoing asset sales. It looks like Bluefield Solar Income Fund (LON:BSIF) tried the sale route but the prospective buyer walked away which doesn't augur well for future prospects. You obviously believe that given the Bluefield Solar Income Fund (LON:BSIF) annual statement that future dividends from this sector are in serious danger of being cut or removed altogether - the market would seem to agree given the share price reaction today though I note the other renewable plays have not fared quite as badly.
I holdNextEnergy Solar Fund (LON:NESF) ,Renewables Infrastructure (LON:TRIG) Foresight Solar Fund (LON:FSFL) and Gore Street Energy Storage Fund (LON:GSF) . I am holding on for now. I think a key part of the BSIF statement was that strong interest was shown- but in complete package (that part I did not fully understand but got the impression some of the pipeline might be with manager). GSF I am sure will see a resolution and the rest I am going to sit on for the moment. I know we have seen major issues with DGI( but I am hoping all are not tainted.
A ACounsell
Sorry to read about your big losses on those Investment Trusts. Obviously I can never advise when to sell, not least because I might be wrong. Also I use high quality comments on this thread (e.g don’t miss timarr’s brilliant post yesterday) as a guide, along with updates from the Trust itself to help.
Do Your big losses on some of the Renewables (fortunately with small stakes) reflect buying them when imo they were way overvalued on big premiums to NAV a couple of years or so ago. My favoured tactic is to buy low and sell high.
And the main reason I sold the Renewables was because of my ruthless tactic “if having any doubts then sell,” and not because of genius intuition!
As you can see from posts here many choose to hold on in the hope that of better or even very good news to come. There could well be……but I prefer not to take that risk.
I want a portfolio where I’m confident about nearly every holding in it (aside from a very few riskier fun punts) . if an update then shows I was wrong then I sell at once. e.g sold B&M European Value Retail SA (LON:BME) on their first profits warning, at a profit, around £5 and it’s now £1.80. Many choose to hold on after profits warnings. Why? I rarely do that. There are plenty of alternatives issuing successive “better than expected” updates to check
The focus of many posts here is on non mainstream Trusts which are at the riskier end of the Investment Trust spectrum. Most of my holdings are successful, much more transparent Trusts and so less risky than sectors like Renewables. Mainstream Trusts don’t get as much coverage here. Mainstream Trusts enable us to invest all round the World. Perhaps if you don’t already hold any that’s a change of focus you could consider?
There’s a VIRTUAL PORTFOLIO here full of mostly mainstream Trusts. Might be worth having a look at some of the holdings? The Portfolio has more than doubled since it started … and if better run would have done far better still.
Not sure any of this helps much, but I hope your experience with Investment Trusts can improve now regardless.
SUMMARY
If the whole of this has bemused readers then my simple tactic is:-
1. To buy quality shares and Trusts after big falls at bargain prices. ,
2. To sell any holding on an iffy update or if I’m having doubts.
3. Aim to have a portfolio where we are confident and happy with every holding in it.
Hi ken
I don't hold Bluefield Solar Income Fund (LON:BSIF) but I do hold a number of other renewables trust including VH Global Energy Infrastructure (LON:ENRG) who have noted the same problem but taken a different approach, and intend to wind the company up. I'm happily well in profit on that one, although I'd prefer the company continue rather than throw the towel in.
The problems that BSIF directly note potentially apply to trusts outside the renewables sector. Higher interest rates - probably permanently higher than those we saw at the beginning of the decade - have led the trusts to trade at significant discounts, closing off the possibility of raising new funds and growing the business. What remains are companies that can only grow slowly, if at all, and which will need to cut their dividends to do so.
That, of course, is what the very high dividends across lots of ITs are telling us - that the market doesn't believe that the dividends are sustainable if there's to be any level of growth. But frankly how is that different from the performance of, say, Legal & General (LON:LGEN) in the last decade? And if LGEN's performance is maybe - possibly - starting to improve that's just more evidence that no market conditions last forever. Humans habitually project current conditions indefinitely into the future. Humans are habitually wrong.
I would note that the BSIF approach to this issue is interesting - they appear to be suggesting some form of amalgamation with the wider Bluefield Group to create an integrated business covering the future pipeline and the management functions. If BSIF is the public vehicle for this to happen, morphing into a solar focused integrated energy provider I for one would be very interested. A lower dividend in return for better prospects seems like a reasonable deal to me.
The other points the Chairman makes about the approach of governments to renewables are, frankly, depressing although this did make me laugh (albeit hollowly):
And, in the case of the US, even planning to dismantle its apparatus for measuring the levels of greenhouse gases, a move which is the equivalent of disconnecting your car's thermometer in the hope that it will stop the engine overheating.
As ever, I appreciate the work you and Charles put into this board.
timarr
Timarr, I agree the merger with the manager is potentially very interesting. I will watch the vote with interest
Ken, I bought 2 or 3 renewables after latching onto to them from this thread but despite receiving the attractive cracking dividends it didn’t take me long to dump them. Despite the yields the share prices didn’t act well and have continued to fall since for quite a while. I didn’t really understand them so also didn’t trust them. I accept that I maybe showing my ignorance as they are all about what may or may not happen in the future but I wasn’t comfortable so got out and put most of the proceeds or added to other high yielding shares which have done okay. Could well end up with egg on my face as now should probably should reconsider buying them back based on our bargain basement method but I don’t think I will be.
RE: "Here’s the relevant section on from the Bluefield Solar Income Fund (LON:BSIF) Results statement today. The whole statement is well worth pondering."
Interesting. Reading between the lines they are suggesting the IT structure where they cannot raise funds due to the large discount is a hinderance and seem to want to do something about it. Some sort of merger with the managers Bluefield Group might be a future development. I'd suggest they MIGHT move away from the IT structure in the future.
Of course that could be positive or negative depending on how they structure any deal. Bluefield Group's fee seems to have reduced. Also to note recent changes in management with Michael Gibbons , CBE being the new chair.
Am not aware of any stakes by Saba etc
I will stay on the sidelines for now.
As I researched this - then Google produces this: https://citywire.com/investmen... headline Bluefield Solar proposes de-listing after being starved of capital - which is slightly different !
Note their long report suggests / mentions ? possibly / likely to stay a listed company... so as I mentioned earlier possibly to stay listed as a operating co rather than an IT. Or maybe the new chair is already changing course!
https://bluefieldsif.com/wp-co... page 14 -
It has become evident that internalisation of the Bluefield
Group platform and the creation of an Independent
Power Producer (IPP) is attractive to private capital and
should be explored further. It also has the potential to
offer an attractive and ambitious future to existing and
new Shareholders on the public markets. It reimagines
the Company as a growth-orientated vehicle that can
maximise the value of its large development pipeline
supported by Bluefield’s platform. It would require an
evaluation of the purpose the Company - balancing
growth, debt and income - but has the ability to be
a self-funding model that could deliver higher total
returns for Shareholders than is currently available.
All of this requires the consultation and the support of
the Shareholders and, to be clear, all options remain on
the table; however it offers a ‘built in’ long term growth
opportunity for Shareholders to consider as a compelling
solution to the challenges the sector faces today.
I am under no illusion of the boldness of this vision. It is
made with the conviction that the solid foundations we
have built since leading the listing of BSIF in 2013 provide
the ideal launchpad for making this transformation and
turning the Company from one constrained and frustrated
by sector challenges to one empowered to embrace the
changes of the wider macro-economic environment and
to continue to thrive in the decade to come.
Our sole aim is to work with the Board to ensure that BSIF
delivers highest possible total return for Shareholders
and, if we were to become an internalised IPP, we feel
incredibly optimistic about the future.
James A
Bluefield Solar Income Fund (LON:BSIF) results today seem to indicate that as part of a strategic review, they will change strategy, including what sounds like a revision downwards of the dividend going forward.
I sold this morning based on that, and some other factors iincluding a reduction in electricity generation, despite being a record year for solar irradiation, the uncertain direction going forwards, and too much corporate word salad:
*Completed a Double Materiality Assessment (DMA), used to refresh the Company's ESG framework and strategy.
*Delivered an industry-academic research partnership focused upon circular economy.
I sold BSIF at the beginning of the month- luck not judgement re a change in policy.
Does anyone have any experience or comments about The Nutshell Growth fund? This fund is registered in Ireland. Trustnet says it has a 5 Crown rating. It looks like I can put it in my ISA. It was recently the subject of a news article on Trustnet. It looks like it is employing hedge fund like practices and has a share turnover of 700% per year. What do you make of it?
WarrantStar- look like a standard global growth fund at a quick glance-they claim to be long term investors with a concentrated portfolio. 700% stock turn would not fit in with stated aims.
Charles, Thank you for your reply about the Nutshell Growth fund. What they are saying is that their objective is long term growth for their clients. They are not saying that that the period of time that the fund holds a share is long term. I will do further research.
The manager of Nutshell did an interview on the Merryn talks Money podcast in the summer. Worth listening to. They generally hold a lot of things for the short term, trading off volatility, iirc. Was a very interesting interview tbh.
Basing our investment decisions on our guesses and opinions about where markets are heading is a mistake. So often Markets do the opposite of what we thought.
A market crash and big bear market might or might not be imminent.
If worried about big falls then best to sell anything we think is at all iffy and to top slice big winners to raise plenty of cash to have available to invest in time at bargain prices. That’s a sound tactic anyway regardless of whether or not there are going to be big market falls.
I.e……cash in some of the profits in the bull runs, and look to buy after big falls, when most are too scared to. I’ve done that for ages now……and it works.
What percentage of cash would you be looking to hold now ( given where markets have run up to ), please Ken...? I hope that your health is recovering... many thanks indeed
Cancun.
Thanks.
Our portfolios have been geared now to run themselves with regular income boosting cash holdings naturally so that when I’m no longer here it should be worry free for my wife with the only thing she would need to do is withdraw built up income from time to time.
So I no longer do what I suggested, but if I was it would not be to have a specific percentage in cash. The cash total would increase a lot with widespread top slicing of big winners and removal of anything iffy.
Just as an example……I top sliced Marks and Spencer (LON:MKS) at £4 after buying (and posting the fab buy opportunity) at £1. Took out the original stake and more on top but still have a very big holding. And did similar with lesser winners ….especially if gains looked overdone.
I stopped top slicing my big dividend paying shares and trusts years ago. This is similar to John Lee’s approach…..but he has done it for decades and me only for last dozen years. The bulk of our ISA portfolios are big dividend paying investments …..with the best now over 20%. By comparison…..John Lee gets 100% and more of his stake back on some of the shares he holds every year! His methods work and ride out big market falls……albeit obviously with big changes in the overall value of the portfolio.
There’s no right way of doing this or how we invest….beyond the obvious of it it works do it and it doesn’t don’t. Some may well prefer to go for a fixed percentage in cash, and others always to stay fully invested.
Hi Cancun, I generally don't hold a lot of cash - I tend to be fully invested most of the time.
I did recently hold about 15% in cash as I top-sliced/sold-out of some big winners as Ken does eg. Golden Prospect Precious Metals (LON:GPM)
I was going to be holding this, but as usual I found a load of compelling buys and so have dropped back down to minimal cash holdings.
I don't think there is any one-size fits all answer -each to their own comfort levels. I have at times regretted not having more cash, but then to counter balance this, if I wasn't fully invested then my gainers wouldn't have gained as much as they did.
I will likely do another PF review in the next couple of weeks and try and find a bit more cash incase there is a late-Oct early-Nov pullback, but who knows................ I've a few other commodity stocks that may have run ahead of themselves so might be another opportunity to follow Ken's approach of top-slicing under these circumstances.
Many thanks indeed Kevin.. very sensible approach, similar to mine, but everyone is different, so others may not agree...
The problem that I wrestle with is best described as... 15% or less cash isn't really moving the dial... but north of 30% and you can miss a lot of potential upside... judgement calls / crystal balls required... or a 60 / 40 , or similar, portfolio type approach that can be tweaked as circumstances suggest...
We'll all probably go to our graves not knowing the answer... :)
Many thanks indeed
For anyone interested in the two European Banking ETF's I highlighted across the last couple of days here is a quick analysis I pulled together utilising JustETF and ChatGPT. Amundi Euro Stoxx Banks UCITS ETF Acc (LON:BNKE) Invesco STOXX Europe 600 Opt Banks UCITS ETF Acc (LON:X7PP)
They both have a remarkably similar return across most periods and also a very similar risk profile. However, X7PP is synthetic vs full replication on BNKE. In addition X7PP has 27% in UK banks whilst BNKE has virtually nothing. There is also a marked difference in their size but both are pretty large.
Thanks for sharing this. European financials have had a strong run over the past few years, as evidenced by the returns of both funds, and no doubt driven by the normalisation of interest rates over the period. Do you think they still present a compelling opportunity at present? There are some pretty juicy yields on offer for dividend investors, but I still have a question mark over where future growth in the sector will come from.
(Should add that I don't hold either fund, but I do have a big position in BNP Paribas SA (EPA:BNP) which looks profitable and well managed, despite the French political situation weighing on sentiment.)
Vietnam’s VN Index fell as much as 5.6%, its largest drop since April, after regulators flagged widespread corporate bond violations. Inspections of 67 issuers, including five banks, revealed misuse of proceeds, poor disclosures, and delayed payments. Heavyweights Vingroup, Vinhomes, and Vietcombank led declines, while selling intensified after Novaland said it could not meet convertible bond obligations. “Retail leverage left the market exposed to forced selling once negative news hit,” said Marco Martinelli of Turicum Investment Management.
Sources: Bloomberg, Việt Nam News, Vietnam.vn
Seraphim Space Investment Trust (LON:SSIT) results out today .NAV 118.52p v.96.8p. Not sure why the price is down, maybe because unlisted investments % has increased as some listed investments were sold . This increase was despite exchange rate losses of -5.2 p.
Still catching up on my reading. This bang average investor is trying to focus on quality and avoiding any unnecessary punts.
Nick Train uses the Finsbury Growth & Income Trust (LON:FGT) September fact sheet as an opportunity to discuss Diageo (LON:DGE). Certainly the portfolio is concentrated and invested in quality UK listed shares.
https://tinyurl.com/2pttc3jm
The latest fact sheet from Polar Capital Technology Trust (LON:PCT) states 'valuations are also not cheap, although in our view remain far from ‘bubble’ territory; during the dot. com period of 1999-2000, the technology sector traded at above 2x the market multiple compared to 1.3x today'. That's much less than I thought. I don't hold because of valuations but maybe I am wrong.
https://tinyurl.com/46xpfemf
AIC Showcase Event recordings are now available on the web site.
https://showcase.theaic.co.uk/login
I suspect there are a lot of holders of M&G (LON:MNG) on this board, just for the dividend. I wanted to buy when the Japan carry trade was unwinding last August but I was on holiday and couldn't get work approval. It's on my watch list. The latest 'Lee and the IC' podcast includes an interview with Andrea Rossi, CEO of M&G (LON:MNG).
https://tinyurl.com/8xpkntrf
Post Aviva (LON:AV.) payout, SSB dividends are now at 104% of full year 2024. I get a strange enjoyment out of updating my spreadsheet :-)
SSB
SSB
Is the Polar Capital Technology Trust (LON:PCT) comment on tech valuation against market now v in dotcom bubble skewed somewhat? Tech market now must surely be a much larger proportion of market size wouldn't you say? Agree there may be further to run for AI, etc but when the shake out comes it may be some way short of 2x market multiple and have similar impact as the dot crash, though I would hope somewhat muted as other tech now almost in the utility bracket!
Thanks for the link to M&G (LON:MNG) SSB, very good interview. I have held for a while and added on the Dai Ichi announcement. A positive that they have to buy there 15% in the market and no new shares being issued by M&G (LON:MNG)
Thanks for the IC podcast tip, SSB: rather reassuring. I might increase my own Target Price for the holding we have.
The article below is the kind of issue though where whenever things do eventually blow up its not going to help the situation, figures out by estimated $1.4 trillion just a rounding error.
https://www.marketwatch.com/st...
KevinS- Indonesia. This was in Nikkei Asia today "
Indonesia must look beyond nickel to unleash its global potential
As the world accelerates toward net-zero emissions, batteries have emerged as the cornerstone of the energy transition -- storing renewable electricity, supporting industrial decarbonization and powering electric vehicles.
This, Jannata "Egi" Giwangkara writes, is a strategic opportunity for Indonesia to lead the global battery and EV supply chain and lift the economic complexity of its manufacturing sector. "With abundant nickel and cobalt reserves, Indonesia can become a key player. But to truly lead, the country must broaden its vision beyond nickel."
Two options for exposure HSBC MSCI Indonesia UCITS ETF USD (LON:HIDR) and Xtrackers MSCI Indonesia Swap UCITS ETF 1C (LON:XMID) .
I might take a small position in one of these and see how this develops.
There is a forum on the outlook for Asia on Nov 12th- at 16:00 (I am double checking time with them)
From the twists and turns of Donald Trump's tariff war to clashes along the Thai-Cambodian border, 2025 has been a year of challenges for Asia. The year 2026 promises to be no less tumultuous. Will the AI data center building boom go bust? Who will prevail in elections in Thailand and Myanmar? Wither local currencies and stock markets?
Tune into "Nikkei Asia Live: Our editors' predictions for 2026" for exclusive insights into these questions and more.
If you're not yet a subscriber, you can join the webinar by subscribing for just $1 here. If you're already a paid subscriber, no registration is required.
Thanks Charles,
Reckon I would have to be super bullish on Indonesia turning itself around to go into one of these. I know I said I'd read it had potential, but I don't think my risk appetite at this point would allow me to invest into that chart.
Interestingly it made me look into my main fund/holding for EM/Frontier markets (Redheel Next Generation EM's) and that holds 6% in Indonesia. Blackrock Frontiers Investment Trust (LON:BRFI) also has a similar holding as well.
Perhaps a bit too risky for me at this point, but always good to keep an eye on things.
I have a half position in Blackrock Frontiers Investment Trust (LON:BRFI), which gives exposure to the markets that I don't have the knowledge/skills to invest in directly (e.g. Indonesia, Poland, Vietnam etc). Discount has closed over the last 12 months, but still OK at ~4%, with a ~4.5% divi.
Agree Kevin, might just put a couple of grand in to see what happens. You just never know with these emerging markets. I liked the nickel story, the battery potential is news to me so will have to research further before buying.
Kevinaving read this AI researched report I think a step too far for me as well at the moment. https://docs.google.com/docume...
Nikkei Asia is at 2.00 am so I will watch the archive. The archive is schedule to be uploaded on November 17 at the URL below. You need to log in to see it.
https://asia.nikkei.com/member/register/webinar/202511/ https://asia.nikkei.com/member/register/webinar/202511/
Seraphim Space Investment Trust (LON:SSIT) very interesting commentary on Money Makers podcast today from Andrew Mchattie about Ssit largest holding - ICEYE. FT rumour it’s going to raise funds at significant premium to most recent valuation. Mchattie suggestion he has seen broker note that could imply a 27% increase in NAV of Seraphim if ICEYE pull it off at suggested valuation
I sold my Chrysalis Investments (LON:CHRY) holding recently at good profit and may buy a few of these. Seraphim Space Investment Trust (LON:SSIT) Results on Monday so could be difficult to do so at current price
Seraphim Space Investment Trust (LON:SSIT) quite volatile since July with a big drop followed by a big rise.
Thanks to Charles this one was bought to my attention and I like the sound of the ICEYE raise. There are some really interesting companies within the trust and I am hopeful of some decent returns over the longer term. Might be one to lock away and not look too closely in the short term.
I still havent looked at the US Space ETF yet VanEck Space Innovators UCITS ETF USD A (LON:JEDG) but might look at that early next week as it has some very good returns.
Despite the turmoil on on Friday my portfolio did not drop- which surprised me. Golden Prospect Precious Metals (LON:GPM)-7.7% was down as was BlackRock World Mining Trust (LON:BRWM) -4.2%. My direct holding in Perseus Mining (ASX:PRU) was up 2.2%.Invesco Physical Markets (LON:SLVP) down 3.4%. Ishares Physical Metals (LON:SGLN) was dowmn o.1%
Seems a disconnect between fears on a US minor banks collapse and falling mining stocks.I assume just a bit of media coverage scaring the markets after the gold led mining boom, AI stocks and a couple of US banks. IO took the opportunity to buy Invesco STOXX Europe 600 Opt Banks UCITS ETF Acc (LON:X7PP) (thanks Kevin for mentioning).
Interestingly some of the High valued consumer brand stocks seem to be showing improved performance, so Fevertree Drinks (LON:FEVR) and Remy Cointreau SA (EPA:RCO) went up a bit, reducing my paper loss.
If I was really bearish I would be snapping up the UK Treasury Gilt 4.125% 2031 just being issued. Maybe at my age I should be in an ISA- if the Chancellor does get rid of cash isa's this is as close as.
I made a comment on the FT re an ridiculous piece about buying put options to hedge a PI portfolio, having seen a few bear markets over the years. One cheerful chap said after nearly 50 years investing I will probably never see a bull market again ! Not quite 50 years, I started in the city in 1979 and seen a few, and not always been able to invest for many reasons- family, business issues in the 1980's,. But you never know and having sold on Black Monday in the morning and bought back in the late afternoon managed, thinking how smart I was, to lose another 20% =Bad times!! Sadly some of that was leveraged at the time with bank borrowings . But now markets are way higher.
I'm 50-50 on where we go next over the coming year to 18 months Charles, on the one hand everything looks stretched already and I'm pretty sure longer term Trump will be proved to have been dire for the US economy and country as a whole.
The flip side though is the Fed are looking to stop QT and a lot of informed commentators are saying more QE is due to start, plus they the US are cutting interest rates into rising inflation.
In this scenario I'm seeing a possible repeat of 2021 where everything shot up including absolute rubbish most of all and I do wonder if this will be repeated followed by inflation of 6-8% per annum as a way of getting the debt to gdp back to something like 80%.
Remember Turkey cut interest rates in the face of rising inflation and their markets doubled over a year even though the economy was on its backside.
So its a case of if you don't own assets or your in cash you will be carried out, if you own assets you will be bloodied and bruised but still able to leave the ring under your own steam.
Interested in if others agree or not .
So its a case of if you don't own assets or your in cash you will be carried out, if you own assets you will be bloodied and bruised but still able to leave the ring under your own steam.
The old adage is that bull markets climb a wall of worry - the average bull market rises 170% from trough to peak, we're currently around 80%. How brave do you have to be to sit out the chance of a 50% rise in your portfolio value?
If inflation does take off again then everything gets hit - but companies that are able to pass on inflationary cost inputs to their customers do better than most.
timarr
Interesting stat Tim I must admit even allowing for a great last two years I'm inclined to think baring a left field curve ball 2026 might not be to bad if massive liquidity is unleashed again.
Phoenix
In many ways I hope you're right and we have the chance to do well out of the situation. More QE anywhere in the Western world strikes me as the haves looking after themselves and destroying the future of the next generation even further....unless of course they are related. Many of today's problems with housing costs and the like are imo due to the excessive QE in 2008 and the slow moves to unwind it and raise rates in the early 2010s. COVID of course added another dollop and Russia has added further to the problems.
Is there a chance we are all wrong on the Orange Man? Could the bullying and tariffs work for the US? Lots of inward investment generating lots of employment and at some point the dollar rising again to make imports cheaper too? Things like Pharmaceuticals getting cheaper, not unreasonably, China being tackled aggressively even allowing for the odd TACO move, and NATO countries having to spend lots on defence....and guess what lots of what we buy will come from the US!
From his perspective the rest of the world can go hang. Or become part of an expanded US Empire? Certainly seems to be intent on stealing the oil from Venezuela or making it a vassal state in true colonialist style. Inability to tackle Putin may be his Achilles heel. But then he has surprised us by providing some real impetus in Gaza, though let's see if that really leads to any kind of fair and equitable peace. Meanwhile the Trump family continue to enrich themselves and their buddies in what looks more and more like another version of state capture. Again imo!
Utterly agree Sevenccc the young and poor if they don't have assets will be obliterated which will create further social divide. I don't think its any accident that since social media really gained traction division in the West in general has gone into overdrive and the old rules order that has worked since the second world war seems to be slowly ending.
I don't know what comes next but don't see it as being good, I was speaking to a fund manager last week who was telling me global conflict is now at its highest point since world war 2.
I don't like Trump but do to a degree understand his logic and the UK and Europe really should be trying to shore up their own houses with making sure we can function in a more isolated world.
What I can't stand about the fella though is the blatant grift by him, his family and cronies, re middle east he could always lean on Israel as the US supplies most of their weapons and is their greatest ally.
Re Ukraine he doesn't really know what he's doing flip flopping from one side to the other every three months.
Investor Meet Company this coming week.
Temple Bar Investment Trust (LON:TMPL)
TEMPLE BAR INVESTMENT TRUST PLC
Investor Presentation
22nd Oct 2025 at 11:00am BST
Extraordinary increase in the CQS Natural Resources Growth and Income (LON:CYN) quarterly dividend from 1.26p to 6.02p. Ex dividend date is October 30th.
The increase and change to 8% of NAV payouts had been well flagged and it means a 35% dividend yield at my main 75p buy price in 2020. For anyone prepared to take what looks the big risk of buying CQS Natural Resources Growth and Income (LON:CYN) now it’s 8%.
High chance the share is almost at the peak now?
There’s a big BUT surely? How on earth can they sustain this yield.? Is the dividend anywhere near covered? So far they haven’t explained but presumably will. Does anyone here have possible answers?
CQS Natural Resources Growth and Income (LON:CYN) is an obvious hold for those buying at a much lower price than the current £3 to cash in on the huge yield while it lasts. Buying now seems very risky imo but good luck to anyone who does.
btw Sabre’s involvement did no favours for the large number who accepted the tender offer price of £2.03…..compared with the quick rise afterwards to current £3. Shareholders staying with CQS Natural Resources Growth and Income (LON:CYN) have done much better.
I’d welcome thoughts from anyone else. Dividend too good to be true? How on earth can they afford it without selling key investments?
Ken, This is what I found using Gemini AI "
The affordability of the 6.02p payout is structurally secured by transitioning the trust to a Net Asset Value (NAV)-linked dividend policy, which targets an annual distribution equivalent to approximately 8% of NAV. The specific 6.02p figure represents 2% of the preceding quarter-end NAV, confirming the mechanical application of this mandate.
Crucially, this enhanced dividend is not covered by current revenue earnings. Analyst commentary confirms the payout is only covered by revenue at a ratio of roughly one-third. Consequently, the majority of the payment (approximately two-thirds) is funded by distributions from the trust’s accumulated realized capital reserves, a standard and permissible practice for UK investment trusts.
Has this practice become more widespread now as the underlying holdings of CQS Natural Resources Growth and Income (LON:CYN) are focusing more on share buybacks than paying dividends? The accumulated capital reserves won’t necessarily be backed by cash, unlike dividends received into CQS Natural Resources Growth and Income (LON:CYN) but are distributable, so do they borrow to fund dividends payment ? Or sell investments?
Sell investments.
One of my concerns about ETFs if that they encourage switching to the theme of the moment, which increases momentum, because they have to buy the underlying stocks at the prevailing prices available at the time. That will create upward momentum that is increasingly divorced from the state of the undertlying assets. And when that theme goes out of fashion, they have to sell, creating the reverse. Don't seem healthy for long-term investment to me. So I don't touch out of, possibly misguided, principle.
If you want growth, income is not relevant, but if you want income, the ability of ITs to smooth them over time seems valuable. Seems like a stabilising force.
Anyway, for those nervous of Renewables ITs, I would just highlight the RNS from Renewables Infrastructure (LON:TRIG) yesterday. https://newsfile.refinitiv.com.... The Power Purchase Agreement with Virgin Media isn't huge, but it is an indicator of how renewable generation can go from subsidy-dependent to viability as stand-alone assets. This can grow quickly and be a solution also for data centres. Solar/wind/batteries are already cheaper and faster to build than gas/nuclear solutions. I just hope the government has the cojones to transfer the renewables obligation charge from electricity to gas to level the playing field before Reform tell us we can't afford renewables.
Ragged- good points, clearly made. I use a few ETFs for specific purpose to give exposure a trust cannot give me.
Hi Raggedtp,
I use ETF's to get specific exposure to themes where IT/UT's cannot provide the focus I would want.
Whilst I appreciate that you lose out on the potential for discounts (buying assets worth £1 for 80p) you sometimes cannot get the focus you are looking for in more generalist IT's.
I think getting out of any investment before the momentum reverses is an occupational hazard for anything we invest in - unless you are holding for the long-term I am sure we would all want to quit before we see our profits eroded. One of my faults is I often desert an investment way too early - but I console myself with the fact that in many cases I have made a profit and I should be thankful for that - running my winners is a major issue I have.
An example of an ETF I am currently in and cannot find anything else comparable is Invesco STOXX Europe 600 Opt Banks UCITS ETF Acc (LON:X7PP) - I am sure I wrote about this previously.
I was looking for a European wide investment into the banking sector (I think that this area still has a way to go) and looked at all of the other obvious targets (see table below). However, by doing the research I found an "optimised" ETF that invests in the highly liquid banking stocks in this sector - I interpret this as potentially the larger banks.
I recognise the risks that it is a "synthetic" ETF and that it has been on a run YTD, but I am happy with that risk.
In comparing it to the other European Banking sector ETF's it has a far better performance record across all periods. I found this through a ChatGPT enquiry when it threw all of the below at me when asked about exposure to the European banking sector.
I have a number of other ETF's in specialist sectors and continue to research others in specialised areas where I want exposure to a theme eg. silver.
Best wishes
Kevin
Given the fall in Barclays (LON:BARC) and other banks will have a look at the ETF. I am reasonably confident an imminent banking collapse is not looming in Europe.
Hi KevinS1, have you looked at Amundi Euro Stoxx Banks UCITS ETF (Ticker BNKE)?
Thanks PKA - very interesting. Like Invesco STOXX Europe 600 Opt Banks UCITS ETF Acc (LON:X7PP) the Amundi Euro Stoxx Banks UCITS ETF Acc (LON:BNKE) has a very similar return over all periods - and in fact marginally beats it over most time periods.
It is fractionally more expensive 0.3% vs 0.2% and you can see the holdings in BNKE whereas to date for X7PP all I know is it holds the more liquid banks.
Both of them seem to have a better return than the other European Banking ETF's so I'd be happy with either - although I'd like to do some more research.
Oakley Capital Investments (LON:OCI) (I hold) Continues to achieve profitable disposals “
Oakley Capital Investments Limited1 ("OCI" or "the Company") is pleased to announce that Oakley Capital Fund III2 ("Fund III") has reached an agreement to sell its stake in atHome, which operates Luxembourg's leading property and automotive marketplaces.
OCI's look-through share of proceeds is anticipated to be c.£16 million and the sale represents a material uplift to the 30 June 2025 carrying value, resulting in an uplift of 2 pence per share to the Company's NAV.
CQS Natural Resources Growth and Income (LON:CYN) has issued the first interim dividend update:
The Board of the Company has declared its first interim dividend of 6.02 pence per share in respect of the year ending 30 June 2026 (2025: 1.26 pence per share).
Such dividend will be paid on Friday, 28 November 2025 to shareholders on the register on Friday, 31 October 2025. The associated ex-dividend date is Thursday, 30 October 2025.
That's a meaningful increase from last quarter and shows they are making good on the "value enhancing initiatives" promised at the time of the tender offer. I only bought in this week and didn't realise there was a dividend declaration due, so this came as a nice surprise :)
It’s a bit disappointing to see people totally abandoning Investment Trusts, as there are plenty of excellent performing well managed Trusts to search out.
If holding what turns out to be a dross, badly managed Trust, like Digital 9 Infrastructure (LON:DGI9) Home (LON:86HW) etc my solution to that has always been to sell on the first bad news. I remember selling DG19 around 75p on the drop from over £1 on the first obviously awful update. Another “solution” I use is not to buy Trusts in more complex sectors like Renewables.
In a big bull market like this one don’t we want a portfolio containing very very few losers and a lot of big winners? And if we’re holding too many losing Trusts is it the entire Investment Trust range to blame, or our own investment methods?
Ouch, that was a bit of a sideswipe to points that I did not make. Anyway, I feel there are less potholes to navigate on the road to being a billionaire by using ETF's than IT's.
Apologies. That post wasn’t aimed at you (but I can see that by referencing 2 Trusts you held I can see how you thought it was) but the increasing number posting that they’re looking to get rid of all their Investment Trusts.
Each to their own with investment choices and methods, and if it works do it, and perhaps if it doesn’t,don’t. I’ve done much better since selling on the first bad news but that approach doesn’t appeal to investors who prefer to continue holding.
I too really like the Just ETF site. Its a really good resource.
ShoeShine makes some very good points re exposure. Personally I don't worry too much about the replication method.
Whilst I hold some LON:SWLD I don't want to take such massive US exposure at the moment and so have created my own soup by buying LON:XMWX which is a World Tracker, excluding the USA, some LON:FTAL a FTSE ALL Share Tracker to bump up the home bias and LON:JAM (which is a fund not a tracker ) for US exposure. I hold a number of other ETF's for specific sector exposure but they are not relevant to the conversation.
Its really easy to blend the exposures you want, keep costs down and to move exposures up and down as you see fit.
Using Trading 212 I have no dealing costs so my soup is as cheap as can be but is very nutritious !
As an aside I have held a number of Investment Trusts but am very fed up with the incompetent managers ( DGi9, HOME, HGEN ) the "double fee dippers" ( SUPR), Strategic Reviews, SABA antics, the swings from Premium to Discount, etc etc. I'm gradually clearing my IT's out for a simpler life.
Have you found anything for UK housebuilders in the ETF world ? I've found one that covers a lot of different property companies but would prefer UK builders specific due to dividends being decent and they look value all be it maybe on a 1-2 year view.
There are none Phoenix- only US and a European mixed one
Thanks Charles
Thinking about it you could probably do your own tracker- just do a full holding of X amount and in that do a weighted split amongst the various companies.
I could Charles but it means scaling in to say 8-10 positions over maybe a six month period then rebalancing them quarterly or six monthly where ideally I'm trying to cut back a lot of the maintainance in running my portfolio moving forward.
That said I still spend 2-3 hours per day on here and probably will do until I'm pushing up daisies.
Andy if you are still looking at UK housebuilders then today is a down day for them, so could be an opportunity. Looks to be due to more bad news on flat house prices, pre-budget worries, you know the general results of Rachel from accounts' growth policies!!
I averaged up a smidge to my Taylor Wimpey (LON:TW.) position at 101.7p, accepting that it is unlikely to sink back to those mid Sept entry price levels around 97p (with thanks to those that highlighted this as a buy the dip opportunity back then, most likely Brucie and Ken!)
Thanks Tim I might take a look at Taylor Wimpey (LON:TW.) as a lot of the shrewd posters seem to rate them as one of the more favored in the sector.
I had a screen set up for exactly this - might be a couple of others & I think Henry Boot (LON:BOOT) is more of a land bank than builder, but hope this helps.
As it is I only hold Taylor Wimpey (LON:TW.) but thats because I have a slight bias through an old family connection (stupid & sentimental...........I know).
This article may be useful to some, regarding the 5 most popular dividend ETFs of 2025.
https://www.etf.com/sections/f...
Relative Performance of Emerging Markets Investment Trusts
It took me a while to create these charts using Hargreaves Lansdown's new charting tool so I thought I'd share them on here. These are share price charts, not total return, Emerging Market Trust yields are mostly between zero and 4%.
The trusts shown are:
Jpmorgan Global Emerging Markets Income Trust (LON:JEMI)
Blackrock Frontiers Investment Trust (LON:BRFI)
Utilico Emerging Markets Trust (LON:UEM)
Ashoka WhiteOak Emerging Markets Trust (LON:AWEM)
Barings Emerging Emea Opportunities (LON:BEMO)
Fidelity Emerging Markets (LON:FEML)
Jpmorgan Emerging Markets Investment Trust (LON:JMG)
Templeton Emerging Markets Investment Trust (LON:TEM)
Mobius Investment Trust (LON:MMIT)
Note: AWEM launched in May 2023.
To expand a chart, right click and open in a new tab.
Interesting, Thank you
As the EM recovery appears to have started just six months ago here's the six month performance chart.
"ARK Invest Europe will break an 18-month launch hiatus with an upcoming active ETF combining space and defence themes in what will be is maiden 'Europe-first' strategy, ETF Stream can reveal.
The ARK Space & Defense Innovation UCITS ETF has received regulatory approval from the Central Bank of Ireland (CBI) and will join UCITS iterations of its flagship trio of active ETFs which launched after Cathie Wood's firm acquired future theme specialist Rize ETF from AssetCo in 2023."
https://www.etfstream.com/arti...
Good morning all, just looking for a quick steer I'm on the verge of pulling the trigger and buying a starter position in iShares MSCI World GBP Hedged UCITS ETF (Acc) (LON:IGWD) , no currency risk and 0.55% ter.
It mentions Physical (Optimized sampling) which I'm guessing is something to do with how the various global market allocation is worked out ?
I appreciate we are near a high point but I'm gradually turning my portfolio over to 95% Etf's and Investment Trusts with a view they can eventually be left alone other than half yearly rebalancing or more frequently if we get big down days like April this year.
I've probably got 25-30 years left on planet earth with a view this position will be held to end of days so not overly concerned with current high point all be it this purchase will be a third of the end total position and will add on any future dips.
Any alternatives and reason they would be a better choice welcomed but hedged to gbp for me is a must.
I totally agree that sticking most of your wealth into a low cost tracker fund is the best way to go. The only trouble is that 0.55% TER is not really "low cost" these days. The reason for that is that currency hedging isn't a free lunch.
If you're determined that you want to avoid currency risk then this looks a decent option. Just be aware that SPDR MSCI World UCITS ETF (LON:SWLD), which is my largest holding, has a TER of 0.12% (and there are even cheaper ones out there), so hedging the currency risk is costing you between 40 and 50 basis points. Only you can decide whether that's an insurance premium worth paying, but my personal decision was that it wasn't worth it!
Thanks Daniel I did notice the 0.55% TER which I did think was expensive but the currency hedge wasn't a reason that came to mind when I first looked at it so thanks for the steer on that.
Its a tricky one as you say there are other unhedged options at a quarter of the cost I don't know the figures but from memory think if you look at the S&P ytd you have been better off in a sterling hedged instrument than in USD.
The ideal will be when we guess the USD has bottomed to switch to that version and also benefit from the lower ocf charge.
Hi Phoenix,
I'm just getting used to using the https://www.justetf.com/uk/ web site myself as a result of Edmund Shing's excellent posts.
Looking at iShares MSCI World GBP Hedged UCITS ETF (Acc) (LON:IGWD), it does say the replication is 'physical (optimized sampling)'. JustETF has a very helpful academy section for questions like this:
Replication methods of ETFs
And says the following on Optimized sampling:
If the selection is made up using quantitative models, one speaks of optimized sampling. This method of approximation also tries to select only a few securities that have the greatest influence on the index performance. A sampling ETF also invests directly into the selected securities.
The advantage of both sampling methods compared to full replication is, that the trading and management costs can be significantly reduced, especially for indices with many securities. One possible drawback is that a deviation between index and ETF performance may be more volatile, especially the more aggressively the underlying portfolio is optimized. Two key figures to measure the tracking quality are tracking error and tracking difference.
What does this mean in practice ? From my experience, I take it to mean that the investment bank that iShares uses does not buy every single physical security to create the performance of the ETF offered to investors through iShares. Instead, it buys only a selection of the most important securities. The positive is that this approach reduces dealing costs. The negative is that it does not offer the exact performance expected from retail investors ie: it will deviate from the index.
My preference would be for an ETF to have full physical replication. It's more expensive but it means that the investment bank being paid by the ETF provider to execute administration buys every share in full in order to ensure that a retail investor gets exactly what he or she is buying ie: the index in full. Also there should be less execution and operational risk with full replication.
Hope you don't mind me saying this but it's worth reading the factsheet in full. This is a higher risk ETF because it is weighted (ie: larger mkt cap companies take up a higher percentage of the total ETF position).
The top 10 holdings are as follows:
iShares MSCI World GBP Hedged UCITS ETF (Acc) | IGWD | IE00B42YS929
And the factsheet also says the average PE ratio is 25 times earnings.
The risk score is 6 out of 7.
This appears to be higher risk to me.
I would prefer a non-weighted global ETF which should be lower risk. Agree with the currency hedging.
I will copy/paste the recent ETF favourites from the IC when I get time (sorry but will probably be at the weekend).
Hope this is a useful answer.
And I hope others also respond.
SSB
If you have some of your portfolio sitting outside of a tax wrapper it could be worth looking at direct indexing (buying a selection of individual stocks within an ETF) , with a view to harvest tax losses and offset any capital gains. Time consuming but there's benefit in holding the underlying stocks, especially if using trading212 with no fees and tight spreads on large caps.
That is interesting, thank you
SSB many thanks for the comprehensive reply you have highlighted a couple of points I wasn't aware of around it not being full replication and the concentration risk also , I'm happy to hold it but will look for a more suitable alternative.
If you find anything before me please post SSB like you I'm trying to get up to speed on ETF'S I do like the fact they don't attract stamp duty which is a tick as its one lest cost hurdle to overcome.
Ashmore (LON:ASHM) caught my eye this morning on its TU:
AuM increased by US$1.1 billion (+2%) over the period, comprising positive investment performance of US$1.4 billion and net outflows of US$0.3 billion.
"Net flows continued to improve through both higher subscriptions and a further reduction in redemptions, as investors increasingly recognise the outperformance and relative attractions of emerging markets. There were net inflows in the local currency, equity and alternatives themes, and a net outflow in external debt driven by institutional activity early in the period. Net flows in blended debt and corporate debt were flat. In aggregate, this activity delivered a net inflow to the Group's globally-managed strategies.
Emerging markets delivered strong returns over the three months, with fixed income indices rising by 3% to 5%, and the main equity indices returning around 10%. Ashmore's active management approach continues to generate outperformance for clients across the Group's fixed income and equity strategies."
As you know I have full position in this, recently topped up to 4% of the Bruciefolio. While almost all UK asset managers have had a turgid time over the last couple of years, I believe it will be those with a niche that recover strongly. In the case of ASHM, the niche of course is emerging Markets, which is proving to be a beneficiary of dollar weakening, so possibly a new secular trend, in which ASHM supplies the picks and shovels. And of course, you're paid handsomely to wait, assuming that earnings rise in a timely way to cover the dividend going forward. At this rate, I think they will.
Finally, return to the first sentence of the Update: it appears that the positive investment performance has more than compensated for the reduced but continued outflows, to create a net rise in AuM. What happens when outflows become inflows?
I agree Brucie and bought Ashmore (LON:ASHM) back again today. Graham Neary also gave a green rating and positive comment on the Daily Stock Market Report. 9% dividend appeals.
Mello investment trusts and funds show today at 1pm...
Mello's Investment Trusts & Funds are back for our October webinar. Andrew McHattie will start the show off with a 30 minute investment trusts presentation followed by company presentations and educational content.
Here is the FREE webinar for investors to tune in to: https://www.melloevents.com/mitf141025
Join us on the 14th October from 1pm for an excellent Trust & Funds show.
The full line up is as follows (subject to minor change):
1:00pm Andrew McHattie, Investment Trust Newsletter
1:30pm Company Presentation from India Capital Growth Fund (LON:IGC)
2:00pm Company Presentation from Foresight Solar Fund (LON:FSFL)
2:30pm Educational Presentation
Like others here, for UK small companies I much prefer to buy my own choices.
For help with that right now I IMPLORE people to listen to a section of this week’s MONEY MAKERS podcast with Richard Staveley who runs the outstandingly successful Rockwood Strategic (LON:RKW) . He is imo VERY impressive. Listen and makeup your own minds and posts if agreeing or disagreeing….in which case say why please.
I suggest starting at 22 minutes in where he starts by making the strong case for Capita (LON:CPI) . He also covers other small companies in his portfolio up till the end after 37 minutes.
. For Capita (LON:CPI) he makes a VERY VERY strong case for the share price at least tripling from here. It’s a classic turnaround recovery share. Also he says he buys these much smaller Companies (and why) that most of the other Trusts in the sector won’t (and why). Capita (LON:CPI) is now the 3rd biggest holding in his concentrated portfolio.
Here’s the link:-
https://money-makers.co/2025/1...
I posted about Richard Staveley’s enthusiasm for Capita (LON:CPI) a few months ago and that I preferred to play the Capita (LON:CPI) upside by buying the share and not Rockwood Strategic (LON:RKW) . Unfortunately it didn’t generate any interest or follow up, so the opportunity at the much lower share price then may well have been missed. My own holding is up around 45% after averaging up to a full stake. The Rockwood Strategic (LON:RKW) stake is up 68%.
( Irrelevant paragraph! That’s been the long term result of previous BARG (bargain shares I posted regularly about on Mike Walters site, So many of those rocketed (e.g Aviva (LON:AV.) as low as 245p, and nearly £7 now) in time……but the posts though getting well recommended rarely seemed to see any buying follow up follow up or if they did it was after they went up)
Anyway ………..
Back on topic. If readers listen to the Money Makers interview today you might react this time and maybe even decide to buy the very successful Rockwood Strategic (LON:RKW) too?
AND there are other small company shares he covers in the interview that his Trust holds that might also appeal and like Capita worthy of Stockopedia and other research. So the whole 37 minutes might be worth your time.
Finally (this has happened before) after the recent strong run we can never rule out the share price falling back for a while from here. A way round that is to buy a part stake and later average up or down,.
Ken, fwiw I’ve held Rockwood Strategic for a couple of years or so now purely based on their fantastic record. Without blowing the lights out my holding is nicely ahead and although the fund is at a slight premium it’s arguably the best way to have exposure to recovery play Smallcaps. Richard Staverley doesn’t/can’t get every one right but to date his winners have more than made up for his disappointments. Buying individual picks of such shares can be a disaster which sadly happened to many on Mike’s site, albeit they were nothing but blue sky gambles . This was despite us and one or two others stressing the opinion that they shouldn’t be touched which thankfully we never did. So yes based on the funds track record a part holding, especially on a market down day is an option to get exposure to a spread of his chosen recovery companies. I’m going to listen to the interview now!
Hi George/Grecian.
It’s always good to see posts from you, the more so because we use similar investment methods that work. As on Mike’s site, I get the impression that few here seem convinced!
I have to post either sitting in pain or awkwardly lying down and might, as applies with you, post less frequently here, as constantly trying to persuade when most (as they should of course) prefer to use their own methods, gets unwise.
I thoroughly enjoy reading the posts here … ..that’s the easy bit. It’s a thriving thread now and my go to first choice on Stockopedia.
Ken, As you will be aware if everyone agreed a stock was a buy and no-one sold it would go through the roof ! Hence a market. Your contributions are highly valued by me- and I am sure many. But as you say we all do different things. CPI may now be a buy, I just recall the shambles of 2018 and whilst I have looked on and off never been convinced. Time to look again and I am happy to pay more for a lower risk proposition.
That’s all fair comment Charles. Another key thing for Capita (LON:CPI) now is, as Richard Staveley also explained, that the old Management team have gone. So isn’t what happened in 2018 when Capita (LON:CPI) was justifiably called Crapita by Private Eye irrelevant now?
Obviously it’s not a one way bet. No single share ever is. And Richard Staveley doesn’t get every one right. I thought the AI summary you posted was very good including what could yet go wrong.
I have the full report I can share if anyone wants it. I might take a small holding and see what happens, have followed it for years, just never quite sure when to buy.
Ken - bought Capita just over 2 years ago, when, like now, there was a lot of positivity about it. Despite new contracts and the sale of non-core software companies being announced the SP did nothing for those 2 years so I was glad to exit at a breakeven some 3+months ago - at a price similar to today's. You say back in 2018 the title of Crapita may have been justified - but the articles in PE kept on coming for years, so my purchase of 2+ years ago was a leap of faith, for which I didn't see much return. Perhaps Staveley is correct now but I can't help but think he's been very lucky with Canaccord putting out a ridiculously high price for their initial coverage - without which the SP might still be languishing. One to watch for me.
Lincs
2 years ago was before the potentially transformative change to a (so far) dynamic new Chief Executive (Adolfo Hernandez) with a clear plan for turning things round and already there’s evidence (as explained in the Money Makers interview) that it’s happening.
I first realised that Capita (LON:CPI) could well be a classic recovery after a full page feature with him in the Sunday Times. He was so clear about what had been wrong and even clearer on the ways to reverse it at long last.
I always take most notice of Company updates and go through them with a fine tooth comb looking for anything potentially negative or positive ahead. And if the likes of Graham Neary analyse on Results days and trading updates then I take a lot of notice of that comment too.
Obviously if it becomes clear in an update that Capita (LON:CPI) is going to continue to disappoint then at that point I change my mind and sell.
DID people who’ve kindly replied to my post also listen to the Money Makers interview? So far all the replies have not covered anything in it.
The focus instead is on the past dire performance that saw the share price fall (pre the 15-1 consolidation) from over £20 to just 5p! It fully deserved the Crapita title then.
Shouldn’t investors be looking forward instead of back now??
Ken. I for one did listen to the interview. Staveley made a convincing case while talking up his own book. I still think Capita is a high / medium risk with quite a few unknowns to surmount on the way. It is heavily reliant on Govt contracts and spending - and Rachel's cash pot isn't exactly overflowing. Cash flow still negative and no guarantee that it will turn positive by year end. Targets / margins are in place - but are not guaranteed. Have investors already factored in the much publicised turn around? If so, any miss could hit the SP hard.
I'm happy to be a spectator at the moment.
Hi Lincs
I don’t disagree with anything in your latest post and you’re covering possible hurdles ahead that perhaps I’ve been too dismissive of. You and others have made the strong bear case for Capita (LON:CPI) to balance things.
And many thanks for replying again too.
I understand the original award to Capita (LON:CPI) to run the civil service pension scheme was nearly two years ago. They’re running well behind on my project is my understanding and probably incurring big overrun costs just in proving they can administer it. They’re yet to actually go live. It just doesn’t seem to be a well-run business to me despite the spin to shareholders
The focus instead is on the past dire performance that saw the share price fall (pre the 15-1 consolidation) from over £20 to just 5p! It fully deserved the Crapita title then.
Of course the Crapita moniker had nothing to do with the share price performance but rather more to do with the behaviour of the company, and its numerous failures to deliver. The nature of these outsourcers is always likely to end in some form of bad publicity - public service and the profit motive often don't fit easily together.
Purely personally I try and avoid companies heavily and directly reliant on governments for income. It's never a comfortable existence. Capita (LON:CPI) may well do well for shareholders but that wouldn't change my mind about investing in it.
timarr
On further examination I decided to avoid it. And I do not, and will not buy Rockwood Strategic (LON:RKW) . They are issuing new shares and to be honest I never understand why a manager would push his own stocks to investors.
Hi Charles
I'm cautious on principle about anything Staveley is involved with. There's nothing underhand going on, but they're ruthless about prioritising their own interests.
Of course, sometimes interests overlap, but I tend to find Rockwood Strategic (LON:RKW) involvement a negative point rather than positive.
timarr
Thanks for so many counter replies to my post plugging Capita (LON:CPI) and Rockwood Strategic (LON:). The latest ones from timarr and Charles make points that I hadn’t given a thought to….but certainly should have! Add to that Toweller’s post yesterday and those before, and the net result is that unusually I’m going to halve my current full Capita (LON:CPI) stake, without as I usually do, deciding about that on the next update.
Also apologies if anyone used my posts as a part reason for buying Capita (LON:CPI) this week. It could be that the plus case wins out and Richard Staveley plugging it so strongly was justified , but it’s certainly not the confident buy I suggested it was.
Again we’re so privileged to have this superb Investment Trust thread created and run by Charles. The quality of posts and posters here leaves many other threads standing. Many thanks Charles.
Hi ken
Please don't think I'm suggesting that Capita (LON:CPI) is a poor investment or that Rockwood Strategic (LON:RKW) and Staveley aren't worth following. I'm not, but they're outside my circle of competence, and I'd rather stick to my own knitting.
timarr
Thanks for replying again.No, I didn’t take it that you didn’t think Rockwood Strategic (LON:RKW) and Capita (LON:CPI) aren’t worth following, but you (and others) did cover negatives that I hadn’t even thought of.
Time will tell with Capita (LON:CPI) but I think the long term record of Rockwood Strategic (LON:RKW) by far the best in the sector, does speak for itself.
Agreed Ken some real top table posters on here ,Tim in particular is a great poster super humble but by god he knows his stuff.
I remember when Truss blew up the bond market I found out via Tim that it had nearly brought down the final salary pension industry, this was a good half day before the mainstream news picked up on it.
Interestingly Legal & General (LON:LGEN) were one of the companies who could have been in serious trouble with this , I met the Legal & General (LON:LGEN) strategic bond fund manager six months after Truss's antics.
Even he said he was blindsided by it all and he is one of the best bond managers in his sector and it was also his own company so just shows how hard this game can be.
Or like me you end up liking so much of what he outlines its simpler just to buy the fund !
Hi Charles,
Can you kindly explain why Rockwood Strategic (LON:RKW) issuing new shares is a negative for you? Are they doing that whilst at a discount or because trading at a premium?
Do you think they are chasing additional management fees for the IM by making a the Trust larger by issuing shares? Interested to understand why its a negative.
They for sure want more management fees. They do issue a a small premium, so that is a positive. But it will stop the price going up potentially unless NAV increases as they keep issuing shares. They want to be £150m as I recall he said.
The bigger they are potentially the less liquid their individual holdings will be.
Charles
Hi Charles when you say the bigger they are the less liquid their holdings will be good you expand on this as I would have thought increasing the scale of the trust would increase liquidity or is it a case more money means they will have to chase ever smaller tiddlers to deploy the additional capital ?
Regards
Andy
I meant the holdings of the trust- they buy stakes in small number of companies. If they suddenly wanted to sell it might be harder to do this quickly. But I guess not a major issue, they will at least not have redemptions , unlike open ended funds could have.
My understanding is that Rockwood Strategic (LON:RKW) tend to take 5% minimum positions in the capital of companies they invest in. That may include the other Harwood Group entities too. They want to be able to exercise power over those entities to drive turnarounds for shareholder benefit. So they are linked together with Harwood and in for the long term
So Harwood is already taking positions in companies which are going to be reasonably illiquid in short term (I.e difficult to dispose of 5%+ of a small cap).
Yes. I have nothing agains Harwood- just not my sort of investment.
I agree with you Charles, thanks for your input
Thanks Charles , Buffettology had problems like you mention had many years of great performance until small caps fell out of favour.
They then got massive redemptions and were having to sell illiquid positions to fund redemptions which was a self fulfilling doomloop.
To be fair to Rockwood they are doing the number in a pretty dire market for small/micro caps.
I deal with these outsource companies regularly Tim even XPS pensions which is a fave for UK fund managers has awful service but the smaller outsourcing companies are truly dreadful with near zero customer service and even if you complain to the CEO you won't get a response.
Also caught several interviews with Staveley/Rockwood recently. I have an idea that about a week before the recent VOX he did one (cannot remember where now) and Centaur Media (LON:CAU) was mentioned as being cash rich (more cash than m/v) and with an interion to return cash to shareholders. Martin Rowland seems to be Rockwood's guy on the board.
I dont buy many small caps these days but took nibble on this one after doing some research to make sure it checks out. As said each to their own!
Capita still appeals however. Cannot help thinking....... Mr RS wants them to sell the call centre division in due course. However to me that sounds like the sort of thing (the old) Capita would have wanted to hold onto. Would have thought there is scope to turn that around but maybe management have got enough to keep them occupied. Time will tell.
Hi littledavesab,
I think you’re referring to the Money Makers podcast (link below — those interested can start listening at 34:56). In it, Richard mentioned that Centaur Media (LON:CAU) has around £70m in cash, with two more businesses still to sell, and a commitment to return cash to shareholders “in short order.”
Meanwhile, the market cap sits at about £60m (the RNS from 8th Oct reports £69.8m in cash, and Stocko currently shows a £63.59m market cap).
I also took a little nibble.
?t=2098
Capita (LON:CPI) has been a successful trade for me twice this year, managing to catch the rise in the summer and also the recent rise, but selling out both times to protect the profit. I'm uncertain about the market at the moment, so would rather not hang on to shares like this for too long.
Regarding the podcast, and Rockwood's main holding that he lists I'm not too familiar with any of them, so can't pass comment, but the only one that piqued my interest while listening was Centaur Media (LON:CAU) . But I'd need to spend more time looking into all of those he mentioned.
But thanks for posting about the podcast, it's not normally one I listen to.
Interesting post about Capita (LON:CPI) . I bought briefly last week only to sell, at which point it rose 8%! Trouble is I have very little patience with non-income producing shares, which means that I lack generally the necessary to do them justice. However I do believe CPI can do well. I think CR pointed out the chart in a recent roundup and it does look very good so I may take another bite!
In the meantime, I have just bought two more patient ideas: Tritax Big Box REIT (LON:BBOX) , which issued an interesting RNS this morning. I look forward to your views! And Biopharma Credit (LON:BPCR) , which I hold profitably and without any particular worry in third party folio. A proxy punt on biopharmas in similar was that Real Estate Credit Investments (LON:RECI) is to commercial real estate and Ashmore (LON:ASHM) to EMs.
Folio looking a bit more chipper today after Friday's fall. Not sure what to think, except that I'm delighted of course, with the release of the hostages and prisoners in the Middle East. Though what comes next may be a lot harder.
Brucie.
I’ll reply another time but I get the impression from your post that you haven’t listened to the MoneyMakers brilliant interview with Richard Staveley. As I wrote in my post it is SO worth doing that for Capita (LON:CPI) at least.
Like you I focus on income investments but I’m not averse to buying the odd non income share that could triple or more. If you want a high quality plus case for Capita (LON:CPI) imo Richard Staveley provides it.
Well you've all but sold it to me - again!
I hope you mean I’ve sold you on listening to Richard Staveley! (He’s also about to begin at Mello event, where I guess he’ll include Capita (LON:CPI).
For what it is worth here is Gemini AI research conclusion on Capita "
The question of whether the problems that caused Capita’s share price collapse are resolved requires a nuanced assessment. The analysis indicates that the foundational financial problems—unsustainable debt leverage and severe liquidity concerns—have been structurally resolved through aggressive deleveraging and successful negotiation of extended credit facilities.
The original causes of instability have been met with targeted, comprehensive countermeasures:
Risk and Reward Profile Supporting the 2-Year Forecast
Capita has transitioned from a distressed debt story to an equity turnaround play. The analyst consensus forecasts of 440–525 GBX in the 2026/2027 horizon are highly dependent on execution and carry a significant risk premium, evidenced by the wide spread in analyst targets.
The investment thesis relies on the management's ability to successfully deliver two simultaneous outcomes:
If Capita maintains its current trajectory of debt reduction and its Public Service division continues to validate the technology focus, the forecast price targets are achievable, reflecting a necessary and successful strategic re-rating. Failure to monetize the AI pipeline or an adverse ruling from the ICO, however, would immediately push the valuation toward the lower end of the analyst range.
That is useful. And with Analyst coverage resuming it does suggest the larger fund managers would start to buy back in, which backs up RS's comments.
Thanks Ken, just listened to Rockwood Strategic (LON:RKW) Rockwood in the car and agree very compelling and may switch some US shares into a starter position. Also bought Aviva (LON:AV.) way back and one of my largest and most rewarding positions which compensates for some of the historic dross!
For the income minded FT adviser has this article https://www.ftadviser.com/equi...
BlackRock World Mining Trust (LON:BRWM)
Just added to.
If you believe the US/China thing will blow over this looks good value. Discount has gone out to over 8%.
The gold holding (over 30% at last disclosure) gives some protection/interest as well .
A.
Tritax Big Box REIT (LON:BBOX)This has gone done well in the market , shares up 4%. I hold. "The Board of Tritax Big Box REIT plc ("BBOX" or the "Company") is pleased to announce it has exchanged contracts to acquire a high-quality portfolio of logistics assets valued at £1,035 million (the "Target Portfolio") from certain real estate funds advised by affiliates of Blackstone Europe LLP ("Blackstone") (the "Acquisition"). The acquisition is expected to complete on or around 22 October 2025, subject to the satisfaction of certain conditions including (amongst others) the Company entering into a debt facility to fund the cash consideration." https://www.stockopedia.com/sh...
I haven't posted any thoughts in a while. Work, family commitments & holidays back in August taking up my time.
Like others, good to see Ken posting again. Best wishes from this subscriber.
Also enjoyed reading George/grecian's post and happy to say I have some of the same shares & trusts, also for dividends.
I continue to do very little with my own portfolio. Last year's loser (BlackRock World Mining Trust (LON:BRWM)) is this year's winner thanks mainly to the increase in the price of gold. Other positions continue to pay good levels of dividends. AVI Global Trust (LON:AGT) and Caledonia Investments (LON:CLDN) are doing okay this year. HgCapital Trust (LON:HGT) less well.
I've still got a chunk of cash in Royal London Short Term Money Market Fund, it pays a decent monthly dividend according to HL. Primary Health Properties (LON:PHP) is still the problem child although the capital loss is largely offset by a healthy dividend stream. The Assura acquisition will take a little time to integrate.
I buy and sell very little which suits me. And I'm fortunate to be able to add the full ISA allowance for tax year 25/26.
I am behind on my reading but fwiw, some thoughts on what I've seen last couple of months....
Always enjoy reading and listening to Max King and agree with his take on renewables versus infrastructure trusts
https://tinyurl.com/5a8aum7b
Law Debenture (LON:LWDB) reported recently and have taken positions in both HICL Infrastructure (LON:HICL) and Greencoat UK Wind (LON:UKW), the thinking being that the discounts won't persist in the long-term and the yields make up for the wait.
https://tinyurl.com/stjbetxz
Really liked the following CityWire interview with Laura Foll.
https://tinyurl.com/mwmunzz5
The Caledonia Investments (LON:CLDN) resolution on the sub-division of ordinary shares went through. It will be interesting to see if the (supposed) increased liquidity improves price performance and discount to NAV. I hold as a (hopefully) long-term investment.
https://tinyurl.com/2p9z58kn
It will be interesting (again) to see if the Caledonia Investments (LON:CLDN) discount narrows as a result of the share buybacks. Or another waste of money ?
https://tinyurl.com/5c65ccyk
The Caledonia Investments (LON:CLDN) private equity sale is exactly what investors want to see.
https://tinyurl.com/ybuk63u5
Decent MoneyWeek article on popular shares, funds and trusts.
https://tinyurl.com/muh5vxdd
My 2025 dividends are at 97% of the total for 2024 so I'm happy about that. Like a lot of people, world events make me nervous and I don't trust UK politicians of any colour but at least I'm more invested in the value end of the market. No holdings in gold or silver which has been a mistake. My largest holding now is Royal London Short Term Money Market (Class Y - Income (GBP)) which showed a small loss when I first bought it but now has dividends flowing so seems to be working as the managers intend.
Good luck to all for the rest of the year. I will try to post some further articles, time allowing.
SSB
Jpmorgan China Growth & Income (LON:JCGI) anyone else holding this and wonder what Monday will deliver? Has had a decent run since April but wondering whether sitting on the sidelines for a bit might be a prudent approach
Scotty, A coincidence but I was just about to a post on China following an article in the FT today. To sum up it suggested local investors would now look at the stock market rather than buy property(2nd-5th homes !). A change bought on by the government to change the perception the Stock Market was like a Macau casino- so encourage savings into the market not property. Ninety One (LON:N91) were quoted as saying there are far more quality companies than say 20 years ago, over 5000 now listed with 2000 plus have market caps of £1bn. They are also encouraging overseas investors trying to get reforms going to make companies focus on shareholder returns- "a bit like I assume what is happening in Japan though not sure China is ready for activist fund mangers yet.(My opinion-not mentioned in article)"
Once the Government accept these reforms are beneficial and US-China relations calm down, the prospects would seem good. China is only a small part of the MSCI all country world index 3.35. Foreign investment in China has lagged Hong Kong and Chinese ADR's.
I have a holding in Fidelity China Special Situations (LON:FCSS) and when funds are available will be increasing my exposure. I had been out of China for a couple of years. Timing is always tricky but my feeling is that China has good potential, and Trump will have to accept he cannot bully anyone who does not do what he wants into submission. In China he may have met more than his match.
I think he's already showing the usual signs of a u turn a nano second after he does his all in capitals tweets as he's said he still want to meet with XI.
Some brief thoughts on the AIC Showcase....
# I watched online rather than attend in person. Probably a personal issue but I was less engaged watching from home.
# I didn't think the quality of the speakers was as good as previous years. Especially the infrastructure discussion in the morning, the guests were from relatively small infrastructure trusts rathaer than International Public Partnerships (LON:INPP) and HICL Infrastructure (LON:HICL).
# Nick Train was good. I don't own Finsbury Growth & Income Trust (LON:FGT) but that has been a mistake on my part. The trust invests in companies with high ROCE and high margins.
# The Vietnam Enterprise Investments (LON:VEIL) discussion was good but I can't help feeling the guest missed some opportunities to really sell the developing story.
# I liked the international income panel session. With so many UK investors depending upon the UK economy to pay dividends, it's good to hear about alternative options. I hold Schroder Oriental Income Fund (LON:SOI).
# Best presentation for me was the afternoon session by Mat Masters of Caledonia Investments (LON:CLDN). I hold and would like to add so I hope a recording of this is available at a later date. Most of my portfolio is held for income. Caledonia Investments (LON:CLDN) is one of my holdings specifically for long term growth. I am hoping it is a long term compounder.
# The keynote speaker was awful again! Baroness Morrissey took so long to make basic points, I stopped listening. No better than previous years.
# I will attend for as long as this is a free event but I will only go along in person if the speaks are good quality. I recall in a previous year being part of a small group outside of one of the rooms speaking with Peter Spiller of Capital Gearing Trust (LON:CGT). That was brilliant and a real insight into his thoughts on inflation and index linked bonds; you can't do this watching from home!
Thanks SSB for taking the time to give us your thoughts and update. Lets hope the Mello event is higher quality speakers/presentations.
I am guessing a few of us are going to the Mello event in Chiswick in person in November. Looking forward to it as it will be my first.
Thanks SSB. Bought FGT finally after listening to Train. The portfolio should come good some time soon.
With yourself & Charles mentioning Finsbury Growth & Income Trust (LON:FGT) in the last couple of days I thought I'd take a bit of a deeper dive at the holdings - I ran them through my screen I use sometimes to try and understand a company a bit better and also to then look at the there year chart to see how it looks.
Apologies if it has come out very small - there are a lot of factors I like to consider.
I def. agree that the UK should be doing fine over the next couple of years as it plays catch up and/or the US reverts, but I struggle with a lot of the Top-10 being the ones to drive the re-rating. I know I could be very wrong here, but my gut is telling me that these may not be the real growth stocks - I hope I am wrong.
On the +ve side there is plenty of forecast EPS growth, but the turnover upgrades in the last three months have been virtually zero.
In the meantime, I might start to do the same with some of the PF offerings that come from Neil Woodford and see what those look like in comparison.
I do need to find some decent UK growth companies - preferably in a collective instrument as my own share picking leaves a lot to be desired :-)
Just another thought - I was on the AIC website trying to find UK inspiration and it looks quite clear that Fidelity Special Values (LON:FSV) is the clear winner over the last few years - excellent returns.
It is on a tiny premium (less than 1%), but might be worth a further look. I am def. interested. I think I held a tiny amount previosuly but cannot find a record of it, but think it got thrown out when I was trying to cut down my holdings, so anything less than 1% went - suspect it was in my wife's a/c and came across when I closed a broker holding.
Hi Kevin
I don’t invest in UK equity oriented investment trusts as I am happy to select my UK companies directly. From the limited research I’ve done I would agree that Fidelity Special Values (LON:FSV) has a decent record but so too does Rockwood Strategic (LON:RKW)
They have very different profiles with FSV focusing on larger companies with lower concentration,…
…while RKW focuses on smaller companies and taking much higher conviction positions
Of course, I make no recommendation here but it might be worth looking at them in tandem for exposure to UK equities.
Thanks Brilliant Leader.
You are def right about Rockwood Strategic (LON:RKW) , but in the past (and I think I have said it here before) I like to try and pick my own smaller company shares, but am finding it hard to be consistently "good" at doing so. Whilst having some successes I am beginning to question my own abilities in this area as I have had some real stinkers as well, although TBH the returns this year have been OK, although I think my commodities may have a large part to play here - more analysis needed.
Saying that prompted me to take a very quick look at this years losers and TBH it looks more like I need to stop catching falling knives than anything else. So maybe a time to reflect some more before changing my approach, although I have def moved a much more significant proportion of my PF into IT/ETF/UT's, but I think thats as much about reducing risk than anything else.
I also prefer picking my own small and mid sized UK companies. In my case most of my holdings are long held and comfortably in profit but increasingly, I am diversifying out of the UK via funds. Another approach to investing directly in the UK is to use the Stockopedia NAPS approach. Perhaps this is something you might consider?
Yes - am considering allocating a proportion of my TF cash when it comes through to a NAPS project/test, but things might then get a bit messy in my PF to manage..........but one to think about a bit more.
I've already trued a small sum in the Ahead of Expectations theory, but still early days yet and nothing to shout home about yet.
Hi Kevin,
right click & 'open image in new tab' opens up a new tab that provides a bigger image to view. The only thing is that Microsoft or Stockopedia or whichever programme is running the software doesn't automatically take you to that new tab. You have to deliberately click into it. Oh well, someone will fix that for us at some point!
The high ROCE is clearly visible for each constituent but investors are being asked to pay a higher multiple (PE). Value investors won't like this but growth investors will not be put off as the thinking is that future higher earnings will allow each constituent share price to grow into the valuation. The problem comes if the higher earnings don't appear. Nick Train is nothing if not consistent and has been picking good quality shares for 25 years.
I am attending Mello next month so may well bump into you there. Would be nice to have a chat. A few other posters have mentioned Mello Chiswick next month. Red carnations in lapel buttonholes all round :-)
SSB
VinaCapital Vietnam Opportunity Fund (LON:VOF) My wife has received a letter this morning inviting her to attend a zoom meeting. She holds them through AJ Bell, so VOF have spent money, as I recall from the GSF recent letters re EGM, at a reasonable cost. Why they feel the need to do this is interesting. I will be asking the question at the meeting !
Meeting link is here https://register.vinacapital.c...
Investor Meet Company this coming week.
ASHOKA INDIA EQUITY INVESTMENT TRUST PLC
Introduction to Ashoka India Equity Investment Trust
15th Oct 2025 at 9:00am BST
RIVER UK MICRO CAP LIMITED
Quarterly Investor Update
15th Oct 2025 at 10:00am BST
CRYSTAL AMBER FUND LIMITED
Presentation by Morphic Medical Inc
16th Oct 2025 at 10:30am BST
MOBIUS INVESTMENT TRUST PLC
Investor Presentation
17th Oct 2025 at 11:00am BST
Augmentum Fintech (LON:AUGM) Article re Tide in India- apologies loads of ads in the article. https://economictimes.indiatim...
Couple of interesting charts made their way to my inbox this week.
First one on Emerging Markets, I think we already knew this but interesting anyway....
Second chart on India specifically (I've wanted exposure to India for some time but it's always been too expensive for me)....
Manchester And London Investment Trust (LON:MNL) I was looking at this to-day, thinking how long would the majority shareholder keep it listed. Citywire seem to think other things going on https://citywire.com/investmen... I can see why MNL might want to consolidate with other trusts. They have had to stop buybacks as they were in danger of losing Investment Trust status :
"The Board notes that the aggregate proportion of the Company’s voting power held by the public (as that
term is used in section 446 of the Corporation Tax Act 2010) is now close to the minimum 35% threshold. If the Company were to fall below this threshold, or otherwise fail to satisfy the HMRC investment
trust regime (including the conditions in CTA 2010 s.1158), it would risk loss of its investment trust status,
including loss of the exemption from UK corporation tax on chargeable gains and other adverse tax consequences, which could be detrimental to net asset value and shareholder returns. To ensure continued
compliance with applicable UK tax, listing and company law requirements, including, without limitation,
CTA 2010 s.446, the FCA Listing Rules, the HMRC investment trust regime and the Companies Act
2006, the Board has resolved that, with immediate effect:
• the Company will pause all further on-market share buybacks; and
• no further market purchases of the Company’s ordinary shares will be made by the Directors,
PDMRs or by M&M Investment Company Limited and its associates (as defined in CTA 2010)
until further notice.
The Board and the Company’s Manager are reviewing structural options that could, in due course, permit
a resumption of buybacks while remaining compliant with the above frameworks. However, given the
complexity of potential solutions (including interaction with the public ownership condition under CTA
2010 s.446, Listing Rules equal-treatment requirements, HMRC investment trust conditions and other
legal constraints), the Board does not expect a near-term resolution. The Company will update shareholders in due course"
For anyone interested, the AIC Showcase Event is happening today. I usually go along in person but I'm tired today so just logged on from home. Coverage is good.
It's free to log on and watch using the following link. Click on 'Livestream' and watch presentations / discussions from 3 rooms.
In previous years, the AIC have made videos available on the web site at a latter date.
The Investment Company Showcase 2025 - Enterprise | The AIC
Watched this morning and boughtFinsbury Growth & Income Trust (LON:FGT) . I have looked at it several times over the years. Top holdings include several I have been thinking about London Stock Exchange (LON:LSEG) Relx (LON:REL) Diageo (LON:DGE) and one I have traded a few times Finsbury Growth & Income Trust (LON:FGT) . Nick Train bought a load of shares this week and is pretty vested in it. Lets hope after 4 years of dull performance is picks up again. Certainly the top holdings are all pretty now near share price lows. A defensive move given my general feelings of unease, though I would not go into cash. Amanda has quite a lot tied up in Gilts and Fixed term interest deposits, so am normally full invested for the funds we have in equities.
Finsbury Growth & Income Trust (LON:FGT) think there was an article on Sharescope on this a few months back (their articles are free to access I think - if I can find it I'll post the link). Also quite a few views are out there on some of the holdings eg. Diageo (LON:DGE) - is it a fallen star/value trap or a recovery play - I am concerned about the long-term impact for alcohol sales based on what I read - cannabis replacing booze (in some countries such as Canada), youngsters reducing their consumption etc etc.
I have been looking for an ETF or Trust to play the UK larger cap market, but still searching - one unit trust is the new Brickwood one launched in Feb by the ex-Jupiter star fund manager Ben Whitmore. FGT looks to be far more concentrated (80% in top-10 vs 30% in Brickwood). Time will tell.
Obviously the discount helps at FGT, but Nick Train didn't impress me recently on the Podcast of Steve Clapham.
Any other UK IT's you have looked at Charles? Or any good ETF's anyone knows of.
I did like the Foresight Solar Fund (LON:FSFL) pointer and took the plunge earlier. For Vietnam I think I'll play this through EM funds - I also read that Korea and Indonesia look to have potential so work to do there to find funds with this exposure (Korea already looks to have jumped a lot already) & some uncertainty over Indonesia in recent weeks - but current policies (if they survive) look promising for markets.
Currently wrestling with the question of "when" for UK investments - await the budget outcome and miss potential growth if the money thinks things will be fine, or take the plunge now but get caught in the turmoil if markets dont like the end Nov announcements.
Apologies - the article was actually about the Lindsell Train Investment Trust (LON:LTI) and not FGT. They are obviously both managed by the same Investment Company (Nick Train), although LTI is more internationally focussed and has unlisted holdings. But they do both hold some similar holdings.
If you are interested in the article here it is. - from August this year. FGT does get a few mentions.
https://knowledge.sharescope.c...
Going to give FGT 18 months.
About 2 / 3 years ago I went into Fundsmith rather than FGT. At the time I felt Mr Smith more confident in his approach compared to LT who sounded a bit beaten up. Also went into a few other things but I remember comparing the two managers.
I must hand it to NT on the FGT side he has re-invented the portfolio a bit when you look at the top 10 holdings a lot are what you might call UK digital winners, Experian, ERLX, Sage, LSE, Rightmove etc. - This move I like, although it doesn't seem to have helped performance !
However is massively concentrated in the top 10 holdings also at... 88.3% !! That would worry me. Enough not to be interested for now.
https://www.finsburygt.com/app...
I understand that. I like the concentration in some companies I have followed and are unpopular.
Kevin, I have no great insights at the moment. I am not convinced that alcohol is doomed, type of drinks may be changing but I know my young Nephews love Guinness- and Niece I think.
I have avoided Train's stuff before, but he has a concentrated portfolio many of which I would buy individually.
I looked for anETF re Korea but found nothing, I think I did find an Indonesian one, but never bought it.
I have gone boring on some things- Global Opportunities Trust (LON:GOT) which I have topped up- I am selling some direct UK equity holdings in the building sector- looks like that recovery is a way off and took a profit on half my holding in Biotech Growth Trust (LON:BIOG) , and sold some of Seraphim Space Investment Trust (LON:SSIT) , I went well above my normal holding on the last fall so cashed in that bounce on some.
I trade too much on the fringes of my portfolio, probably would have made more just sitting on my hands, but started life as a broker in the stock exchange and it comes naturally having spend years trying to get a few institutions to buy (or sell)! So far make money, and can't worry too much about indexes. Yield on the the portfolio is OK so will carry on. I am however quite nervous that a correction will come, just not sure what the trigger will be.
When I look at what has happened to some of the very niche funds, its almost as if the market punishes those who try to be too clever! Boring can be good.
GOT is safe I think, a load in cash instruments. But they do have 11.9% in AVI Japan Opportunity Trust (LON:AJOT) which I like- well Japan and I do hold AJOT in a portfolio. Rest look solid, I hold Sainsbury's rather than Tesco. I have 5 portfolios running, all with different aims- and 2 outside of a tax shelter so need to manage those 2 funds to make capital gains allowance and no more. Probably easier to have all the same, but that would be too easy !!
That made me laugh - I am similar - wifes & mine SIPPs, ISA's, drawdown a/c's, GIA's plus the kids ISA's - think thats nearly 10 PF's. I am sure it is a complete mess, but trying to get some semblance of order - most single-company investments are now gone & into collectives. GIA's are generally low(er)risk bonds plus testing out Ed's Ahead of Expectations Theory.
Once in a while I find I've gone overboard and ended up with a far too bigger weighting in some obscure thing that I've managed to buy across all PF's in error. No wonder my dealing costs are so high................
Keeps our brains active and beats Wordle. I am 67 and told must keep my brain working by the 32/35 year old daughters. Got a Kia EV car to buy in a few weeks when it arrives, so need to increase those divs to pay for the leccy!
Wife thinks I am weird - got electric car last Oct and solar this May - I track/analyse my generation and grid consumption to see if I can squeeze every penny out of the system. Way too analytical/anal, but like the fact I manage to charge at home most of the time, yet rarely have a month where I don't offset my full consumption. Winter might be another story (especially in Scotland).
Looked at Solar panels, but local CC kept blocking, conservation area stuff. Proved them wrong after 5 years- but not sure if we will move. Sounds your stuff is great
I’ve just broken my “rule” of trying to buy the dips and not after already big gains, by buying Vietnam Enterprise Investments (LON:VEIL) this morning at 784p.
Why?
It suddenly dawned on me that Vietnam Enterprise Investments (LON:VEIL) with a market cap of £1.3 billion is twice the size of VinaCapital Vietnam Opportunity Fund (LON:VOF) , whilst VietNam Holding (LON:VNH) is a minnow at under £100 million.
So which Trust is easiest for big investors to go for? Vietnam Enterprise Investments (LON:VEIL) seems the obvious answer. And Vietnam Enterprise Investments (LON:VEIL) is on a discount of 18% . AND 1 year performance is way better than VinaCapital Vietnam Opportunity Fund (LON:VOF) and VietNam Holding (LON:VNH) though longer term it has underperformed both of them.
I’ll probably top slice VinaCapital Vietnam Opportunity Fund (LON:VOF) and VietNam Holding (LON:VNH)soon, to cover the cost of buying Vietnam Enterprise Investments (LON:VEIL) as I’ve already got as much as I want in Vietnam.
Here’s the AIC link for 1, 5 and 10 year gains for all 3 Trusts….and much more on top.
https://www.theaic.co.uk/aic/f...
Thoughts on this anyone?
Sounds a plan, though I listened to a presentation by them 2 or 3 years ago and was under-whelmed. But it does look like they may have picked up performance why and the discount has narrowed.
I saw the VEIL fund manager at the AIC event and thought she was very good so I will be buying as well. I have to say I thought Nick Train was very poor so won't be following Charles into FGT. NT's argument was that patience pays off but I do think he would have been better off churning the portfolio eg when Diageo got to its all time highs. The other manager who impressed me was the Baillie Gifford China Growth Trust (LON:BGCG) manager who I thought did an excellent job of outlining the pros and cons on investing in China and why the Chinese goverment's approach to the private sector is much more nuanced than the media gives it credit for.
On investment trusts there is a good Citywire article written by David Kempton:
https://citywire.com/investmen...
Vietnam index was up another 1.7% today. Whatever Vietnam Trust or ETF we choose the prospects for all of them with the Emerging markets status news this week, , looks good.
VinaCapital Vietnam Opportunity Fund (LON:VOF) NAV btw is up to 622p today and the discount (despite all the buybacks) has widened to 23% with the share at 488p.
https://tradingeconomics.com/v...
Well, Ken, while I know you're more cautious in this area, I've not been able to help myself and have just increased our stake in Foresight Solar Fund (LON:FSFL) to full fat. I see no particular trading reason for the slide back down from 92p about 10 weeks ago. At just under 75.4p obtained, I'm OK with about 10.6% div and a 20% cap gain to be had on a flicker of optimism. That would still have a buffer of 15% discount to NAV.
It is on my list to buy as well- back to where I bought it at. As I get nervous about the strength of some market sectors moving into what look like more defensive buys.
You’ll be surprised raggedtp that I bought back Foresight Solar Fund (LON:FSFL) after the prompt from your post. I don’t like the sector, but I do like buying at or near the lows. There are few if any bargain priced Trusts and shares in sectors and Regions I like.
Having sold at 86p I paid 76p today. It goes ex dividend in a couple of weeks. It’s more likely to be a trading buy than longer term hold unless a convincing uodate
Thanks for the prompt.
Not sure I'd be confident investing in Foresight Solar Fund (LON:FSFL) at the moment. Although the board has stated they are comfortable with the 1.3x dividend cover for FY2025 notably they make no comment about future dividend cover beyond 2025. Going forward , the prices at which they have hedged power prices are declining year on year.
Thoughts?
The board of FSFL have paid uncovered dividends in the past-31/12/2020 and 31/12/2023. Dividends have increased from 6.9p 31/12/2020 to targeted 8.10p at 31/12/2025. It seems they have locked in 69% at £86/MW/h for 2026. But there could be a fall to £80MW/H by 2028. They are looking at BEES to smooth prices, but equally that if BESS becomes common place reduce prices further. No expert but as I understand prices can go to zero at the moment if no power required, and the power generated is not stored. With BESS you would get a price always, but not the peak prices. Happy to be corrected on this. An interesting situation with a discount to the NAV of 108.5 that could be eroded, but the chances the dividend will continue to be maintained, and increased unless the board come to shareholders for a change in policy.
It would be an irony if the move to help de-carbonise the economy meant these fore-runners in the industry suffered as increased power produced and BESS drove prices down. I , for one, will continue to support the company by holding shares, but accept it could be a bumpy ride. I can see a time where many of the infrastructure companies will be taken over to become a part of a much larger organisation involved in de-carbonisation.
Well, Charles, you are right to highlight caveats, and this is a dynamic industry. I was a fore-runner at nanoscale in 1990, and I know how painful that can be!
BESS itself is changing because of the rapidly increasing sophistication of software, in predicting market prices, in enabling tolling agreements, but also in increasing the amount of solar/wind that can be accepted and therefore not curtailed, which itself will stabilise the pricing available to solar/wind assets. Spain needs BESS bigtime and now to aid voltage stabilisation of an underconnected grid. And we should remember that decarbonisation efforts elsewhere in industry and society are leading, for the first time in 20 years, to an increase in need for electricity.
I am not a natural Labour supporter, but I do think Ed Milliband's directives are helpful both to climate mitigation efforts and to keeping Britain at the top table of an industry with a future for once. British BESS is actually the standard for most of the rest of the world.
Industry consolidation is likely, but I don't think Foresight investors will suffer from that.
Well, the cover will go down, as they have benefited from unusually high insolation this year, but... Australian and Spanish prices are already low; it's only UK prices that are coming down. They have (correctly, I believe), a development pipeline in complementary Spanish BESS to go after, and of course, any re-powering longer-term will be at hugely lower capex costs. Anyway, while it's a valid point: if you have time do look at their latest IMC presentation to help you make up your mind. Not sure if this link works, but here goes: https://www.investormeetcompan....
Foresight, as a management group, has a significant presence in the renewables industry, and I think they are cautious with their reputation.
This is no big growth stock, really a steady Eddie that is currently undervalued. If it got close to par, I would be looking to diversify, but I always try to invest with a 2-year horizon.
Thanks raggedtp - thats very interesting. As I said a few days ago there seems to be a lack of obvious IT investments currently. Will look at this more closely tomorrow, but seems to be attractive and hasn't changed its divi at all (in terms of halting it) which gives me confidence - a few of the others have cut or paused divi payments which means I am unlikely to touch them as I want strong reliable payers.
Thanks - Kevin
WOW!
CQS Natural Resources Growth and Income (LON:CYN) has DOUBLED since that April top up opportunity and BlackRock World Mining Trust (LON:BRWM) is up 70%. Fabulous performance……as there is for plenty of Investment Trusts. That’s why I like them SO much! I was already holding both Trusts and topped up on the big dip.
I have been mulling a small purchase of CQS Natural Resources Growth and Income (LON:CYN). I’ve probably missed the big move which must be related to the recent gold price action, but I do still see value in holding “real assets” at a time of increasing budget deficits and persistent inflation. Some form of financial repression is likely over the next decade and a fund like this ought to do well under those conditions.
Ken has mentioned CQS below in this thread- he is a fan.
Daniel.
As Charles posted I like and hold CQS Natural Resources Growth and Income (LON:) and added ahead of the big gains, but it has had a fabulous run in recent weeks. An earlier buy before the big recent gains would have been less risky. Yes gold price partly explains the recent gains (and the fall today after gold fell back at last…..other Commodity Trusts like BlackRock World Mining Trust (LON:BRWM) also fell today). Reason for the gold price fall was the Middle East peace(for now) at last.
A plus point if you like dividends is the new policy of 8% of NAV for dividends. It should amount to an 8% or so yield around the current NAV.
Can’t help beyond this beyond don’t bet the house on it.
Thanks, I think I will add a small starter position and see how it goes over the next few months. Most of my portfolio is in low cost trackers and I am trying to optimise the “diversifiers”, which represent about 20% overall. Government bonds would be the usual answer but I just can’t bring myself to buy them in an era of increasing deficits, lack of political will to deal with those deficits, and inflation which looks like it will remain above target for the next 5-10 years.
If it helps Daniel I'm splitting my portfolio 3 ways, 34% in various global etf trackers, 33% in gold bullion etf, silver etf, gold miners etf, blackrock world mining and Shell.
The final third is in money market funds these are paying mainly just over 4% but this holding is mainly there in reserve for crashes like we had in April to rebalance the other two asset classes as they fall.
The money market funds are drip fed in on every 10% drop in any of the other holdings with a bigger drip feed if they go to 20%,30%,40% down etc.
As one of my fave market commentators says your best buys are normally the one's you find the hardest to make.
Could it be that non mainstream Investment Trust sectors are in terminal decline, with ETFs increasingly popular?
Anyway re the apparently better performance of ETFs for Vietnam over 1 year than the Vietnam Trusts. Isn’t that partly because the likes of VietNam Holding (LON:VNH) have gone from a premium to a 9% discount? And VinaCapital Vietnam Opportunity Fund (LON:VOF) (despite the Managers reluctantly wasting £millions on buybacks instead of investing in exciting Vietnamese Companies) is still on a 21% discount. (The buybacks have been going on for ages without Any improvement in the discount).
Longer term (which is a better guide imo) haven’t the Vietnam Trusts matched the ETFs?
Don’t ETFs nearly always trade at or very near NAV with discounts and premiums if they happen at all, usually temporary?
In contrast investors can buy VinaCapital Vietnam Opportunity Fund (LON:VOF) worth 612p for 484p . VinaCapital Vietnam Opportunity Fund (LON:VOF) is up over 30% since that April buy opportunity I flagged here and topped up in April. And VietNam Holding (LON:VNH) also flagged then and I topped up then is up 50%. Such gains in 6 months are good enough for me? Despite an excellent long term record VietNam Holding (LON:VNH) has gone from that premium to a 9% discount. Why?
Ditto…..why investors start to buy after big gains instead of taking advantage of market dips and buying then is beyond me as it seems SO obvious. Quality Trusts like the 3 Vietnam Trusts could have been averaged down had the market falls continued in April.
I still don’t think investors have cottoned on to the exciting prospects for Vietnam. WHEN they do the 3 Vietnam Trusts could well go to premiums. That would turbo charge the gains!
I see big discounts as opportunities.
btw…the VITNAM index is up yet again today and has broken through 1700.
Below is a paste from this site today with more on what reclassification to emerging market status means:-
https://tradingeconomics.com/v...
“ FTSE Russell has reclassified Vietnam to emerging market status, pending an interim review in March 2026, with the change set to take effect on September 21, 2026.
The move, long anticipated by investors, could channel billions of dollars into one of Southeast Asia’s best-performing stock markets.
The index provider cited Vietnam’s significant progress in improving market access and aligning with global standards since it was added to the watchlist in 2018.
Key reforms include the removal of full pre-funding requirements on equity trades for foreign investors, a major step toward the upgrade.
FTSE Russell said the move would enhance transparency, reduce counterparty risk, and boost investor confidence.
Vietnam’s Finance Minister Nguyen Van Thang called the decision “clear evidence of the country’s sound development path and growing capacity to integrate deeply into the global financial system.”
I have sold Invesco Asia Dragon Trust (LON:IAD) which was up14% since Aug 4th and re-invested proceeds in VinaCapital Vietnam Opportunity Fund (LON:VOF) .
I hold VinaCapital Vietnam Opportunity Fund (LON:VOF) & performance wise for the year it's unremarkable - yes there was a buy opportunity in April (along with half the market at least), but for longer term holders the rewards have been slim. It's all very well buying at a discount, but if that never closes you're not gaining anything.
I'm going to look at the ETFs, and consider if it's worth switching.
I agree recent VinaCapital Vietnam Opportunity Fund (LON:VOF) share price performance has been poor. Even so it’s up 20% since June.
As for slim rewards for longer term holders, I’ve had fabulous profits from VinaCapital Vietnam Opportunity Fund (LON:VOF) originally buying around 60p. Is an 8 fold increase since then. Is that really a “slim reward?”
BUT there’s no denying that VietNam Holding (LON:VNH) has been much the better performer shorter term. I’ve held VietNam Holding (LON:VNH) too for multiple years (except for occasional sells like early in the Banking crisis falls in 2008) and it too has been superb multi bagging investment.
I hold both VinaCapital Vietnam Opportunity Fund (LON:VOF) and VietNam Holding (LON:VNH) but think VietNam Holding (LON:VNH) is the better choice for now……with the proviso that if the VinaCapital Vietnam Opportunity Fund (LON:VOF) 21% discount narrows, it might well start to catch up.
Hi thanks for the Royal London Money Market fund mentioned here. I did until recently have some of the GEN ACCIDENT PLC 8.875% preference shares (now part of Aviva). These have been redeemed by Aviva.
Does anyone else here have an idea of any preference shares worthy of consideration ?
Preference shares-Lloyds Banking (LON:LLPC) Santander UK (LON:SANB) BP (LON:BP.A) Though you can get 9.2% on Legal & General (LON:LGEN) . In the trusts ector tend to be ZDP issues Aberforth Geared Value & Income Trust (LON:AGZI) EJF Investments (LON:EJFZ) UIL Finance (LON:UTLH) - There is a premier Miton Renewables ZDP and I hope the UTLH is correct.UIL have 2 one 2026 and one 2028.
Here is the AIC page on the ZDP stocks- could not find it yesterday https://www.theaic.co.uk/aic/f...
I rolled over 50% of my EJFI Zeros (bought for a 10%+ pa return over the period of ownership) - and have bought a few more - 8.5%
Sounds good
Citywire today has an a article on PE trusts. https://citywire.com/investmen...
A few months ago I suggested there could be changes, SABA have dipped their toe into the area with a stake in Molten Ventures (LON:GROW) , although GROW is maybe more Venture Capital than PE. I hold GROW, Oakley Capital Investments (LON:OCI) and Harbourvest Global Private Equity (LON:HVPE) .
Saba have a 5.023844 stake through a financial instrument in under pressure Gore Street Energy Storage Fund (LON:GSF)
ReGore Street Energy Storage Fund (LON:GSF) could be the stake came from an institution who voted for the existing board, which would make another vote very interesting!. I remain confident value will be unlocked here.
Hmm, Saba move interesting, Charles. I'm happy to see no decline in SP on going XD this morning.
Anybody have a view on Fair Oaks Income (LON:FAIR) ? A bit too small for my liking. I think I understand Chenavari Toro Income Fund (LON:TORO) andVolta Finance (LON:VTA, and this is sort of similar, but 15% yield and thinks it's stable?!
Ragged , Not an area I invest in. Here is the AIC comparison page https://www.theaic.co.uk/aic/f...
Morning, I’ve just transferred in a small pension into my SIPP with ii and am not sure which IT to invest in at this time. So as a short term measure I was going to put it in Royal London Short Term Money mkt Y acc, which is yielding 6.11%. However reading the ii buying pop up l, it states settlement 5-6 days which is a long time, especially if I see a quality trust having a short term dip. How do other contributors store their ‘cash’ and make it readily available to invest if an opportunity arrives? Thanks.
Hi Mikemc999 and welcome. Can I ask where you got the 6.11% from? I thinks it yields closer to SONIA which is currently at 3.97%. I think The Royal London aims to yield slightly more than SONIA so I would guess it is closer to 4.1% atm.
I do hold cash in Royal London but don't worry too much about the settlement time (which I think is T + 3 and in my experience can be less). There are always new opportunities coming along so no rush really.
ii does pay a small amount of interest for cash held but it's only around 1.9 % to 2.75% depending on how much cash there is (check ii). I do, though keep some as pure cash in my ii accounts including my SIPP for quick buy opportunities.
Hi Peter, thanks for you reply. I too was surprised at the 6.11% yield. I pulled it straight off the ii web page for the fund. I kind of remember it stating between 4-5% in the Key Investor Information Doc but that was a while ago.
You could also try Amundi Smart Overnight Rtn IE Acc (LON:CSH2) .
I keep some ready cash in the account (which also pays some interest), ready for trading, the rest is in Amundi Smart Overnight Rtn IE Acc (LON:CSH2).
Maybe do half & half?
Morning Mikemc999
I have held the Royal London Short Term Money Market Y Acc since the start of 2025. AJ Bell's overview quotes a yield of 6.35% but that is a historic figure and according to Royal London's own fact sheet (31 August) current yield to maturity of the bonds they hold is 4.1%. Looking at my returns for the year I estimate the likely full year yield at 4.4% so not sure where AJ Bell or ii get there 6%+ number! Again referring to the fact sheet settlement is quoted at T+2 which seems a perfectly reasonable time frame in which to access the cash for investment in attractive IT propositions. Consequently quite happy to hold some cash in this vehicle for when the crash comes - as I fear it inevitably will!
Thanks for the replies. I will indeed do half and half and have some dry powder (taking a leaf from Ken’s posts) for the next dip whenever that happens.
Vietnam is made an emerging market by FTSE Russell. Puts in on a par with markets such as China and India. This should lead to inward investment as Emerging funds buy in. See VietNam Holding (LON:VNH) Chairman Craig Martin’s comments https://open.substack.com/pub/...
Hopefully it will be added to the MSCI Emerging markets index in the near future.
Good news on Vietnam being upgraded to emerging market status.
As this board now covers ETFs is Xtrackers FTSE VIETNAM SWAP UCITS ETF worthy of consideration? It appears to have the best return ytd (compared to VOF, VNH & VEIL) and has cheaper ongoing costs.
From Just ETF: The ETF's TER (total expense ratio) amounts to 0.85% p.a.. The Xtrackers FTSE Vietnam Swap UCITS ETF 1C is the only ETF that tracks the FTSE Vietnam index. The ETF replicates the performance of the underlying index synthetically with a swap. The dividends in the ETF are accumulated and reinvested in the ETF.
This is Xtrackers FTSE VIETNAM SWAP UCITS ETF (LON:XFVT) above and chrt below
Below is VietNam Holding (LON:VNH)
My reading is VNH has performed better over the long term- but if I a misreading happy to be corrected.
Chart comparison backs this up x10 years. It surprised me that the ETF has been going 10 years (actually since 2008). Wanted a visual comparison not sure the FT link is the best option but still
https://markets.ft.com/data/in...
I hold VietNam Holding (LON:VNH) and VinaCapital Vietnam Opportunity Fund (LON:VOF)
Hi Charles what currency is the X Trackers Etf priced in ?
GBP but the fund currency is $US
Thanks for the reply Charles but I was only focused on the more recent performance hence why I mentioned year to date in my original post. Here the EFT outperformed the ITs significantly.
Picking a different timescale i.e. 9th April 2025 to now the performance is closer, however the ETF still slightly edges it over VEIL. See table below.
To amuse myself I asked ChatGPT and Copilot which of the four might benefit most from Vietnam's upgrade to Emerging Market status and they both put XFVT at the top. Your access to Gemini may come up with more accurate analysis but I am sufficiently interested to now hold a little of all for four.
I think that time scale is very short- there was a shake out in the Trusts. early year with Trump etc . Guess always what suits you best, I am very comfortable with VNH and Craig Martin's communications. So happy even if short term might not be so good, I value the inter-reaction.
I was rather puzzled by your figures, wonder if currency is having an affect. Anyway ran the query in Gemini and came up with this. I will keep my current holdings. A google Doc,.AI generated https://docs.google.com/docume...
Out of interest Charles how do you get Gemini to produce such detailed reports rather than the 3-4 paragraphs you get from something like chat gpt ?
I pay for Google.gemini 2.5 which has deep research as a tool. Works well on my iMac. I am happy using it, makes the odd error but will correct if prompted. I use the gemini 2.5 flash for calculating redemption yields etc. Just been looking at Trust ZDP shares and a couple have 8.3% annual redemption yields. UIL Finance (LON:UTLH) and EJF Investments (LON:EJFZ)
Thanks Charles I thought it was probably subscription related as none of the free stuff seems to produce anything near what you post here, how accurate in percentage terms would you find the end content ?
95%- errors are normally minor like a date. Sometimes I was not clear enough, a simple p[rompt corrects it. I think you can go a month trial free @one.google.com. I have a Google workspace account of the business so was easy enough.
Thanks for clarifying Charles I will do some further research my end but it looks an impressive piece of kit.
I opened a position in Marwyn Value Investors (LON:MVI) today, the share price has been doing well this year and still offers an almost 7% yield, with a discount of almost 50%. Undoubtedly higher risk than some other ITs, but I don't mind taking a bit of risk now and then. Not sure it's one for the long term though...
Interesting. I held it for a while to get exposure to La Chameau a few years ago. Given the luxury market was in the doldrums and general market I sold at breakeven. It does look very cheap compared to declared NAV- will have a look again.
Here is a Gemini AI generated research for those not familiar with MVI https://docs.google.com/docume...
Thank you. Can you share the prompt you used to get that report?
Andrew- very simple query "Investigate Marwyn Value Investors. In particular try and find out what the funds they are invested in hold. Also the prospects for other holdings like Le chameau." This was using Gemini Deep Research not the Chat
thank you. i use copilot in my job and it doesnt seem to be that simple. happily have gemini at home.
I pay for it , but all part of the Google sheets etc I pay for in my business.
Not available to buy everywhere as the Halifax is not supporting Marwyn Value Investors (LON:MVI)
More reasons to invest in Vietnam "
On the white-sand beachfront in the Vietnamese tourist hot spot of Danang sits an inconspicuous empty field. Seven kilometers to the northeast lies a site with views similar to San Francisco Bay. Next to it are five potential artificial islands in Danang Bay, inspired by Dubai's Palm Islands.
Should Vietnam get its way, these locations will turn into part of its International Financial Center (IFC), combining with Ho Chi Minh City, the country's commercial center 900 km to the south. The aim is to attract large pools of foreign capital to fund the Communist-led nation's double-digit growth target and propel it to become a developed country by 2045."
https://asia.nikkei.com/spotli...
Emerging markets performance . This is AI generated - there was an article in today' FT about how well emerging markets have done in 2025- This is not a copy of the FT chart- they do not allow copies.
Cumulative Performance in GBP (2000 - Sep 2025)
This chart shows the growth of a hypothetical £100 investment made at the end of 2000.
As of September 30, 2025, the cumulative values (Base £100 at end of 2000) are:
US $ returns
Decision on whether or not Vietnam is promoted to Emerging Market status (from existing”frontier market”) will be announced after the US Market closes today. Fingers crossed…..though disappointment on this might see a (probably temporary) market fall and top up opportunity.
More here:-
https://tradingeconomics.com/v...
Global electricity trends in the first half of 2025
Solar and wind met and exceeded all demand growth in the first half of 2025, leading to renewables overtaking coal for the first time and fossil generation falling slightly.
https://ember-energy.org/lates...
Aberdeen fund managers of abrdn New India Investment Trust (LON:ANII) are confident opn India despite tariffs. I am not so sure myself, though they should benefit from the "brain drain" reversing following Trumps tax on overseas workers. https://citywire.com/investmen...
The KraneShares Global Humanoid and Embodied Intelligence Index UCITS ETF (KOID) has been approved by the Central Bank of Ireland (CBI) and will launch on the London Stock Exchange later this week. There is KraneShares Global Humanoid And Emb Intell Idx ETF (NMQ:KOID) on Stockopedia, but I guess listed in the US as AJ Bell do not list it as a dealable ETF. More info here https://www.etfstream.com/arti...
Alternative Income REIT (LON:AIRE) Surprised the share price is so firm after this "Provided this remains the case and in the absence of any unforeseen circumstances, the Board has announced that it is targeting a dividend of no less than 5.6pps for the year ending 30 June 2026†. The resetting of this dividend target, which is lower than the previous year, is entirely due to increase in financing costs of the new facilities, which will rise significantly to approximately £2.2 million, as compared with £1.4 million in previous financial years."
I havenot looked into AIRE recently so maybe there is more than just the div going on. See the NAV increased over last year, but the discount has narrowed down to 11% so not one I am going to look into at the moment.
The small Alternative Income REIT (LON:AIRE) dividend cut had already been flagged so was priced in. The small decrease follows a previous increase. I agree there are better REIT choices now, but I’ll continue to hold as at my 55p buy price the yield is still 10%. fwiw..I thought the Results were encouraging but not enough to tempt me to buy more.
Temple Bar Investment Trust (LON:TMPL) is a value IT well worth watching, if only for its approach and top holdings. This interview with Ian Lance well worth watching IMHO.
I'd invest in ITV over Netflix: Temple Bar's Ian Lance on bargain shares | This is Money
Hi Brucie
Sadly I bought Temple Bar Investment Trust (LON:TMPL) for a relative at 146p where I run his portfolio and it is up 167%….but for some reason I didn’t buy for mine. Can’t win them all.
I continue to hold a lot of your choices. Thanks for posting them.
Ah! I know that feeling. I bought back into ITV (LON:ITV) last week before I saw this interview with Ian Lance. What I find particularly refreshing is his total disinterest in momentum. If you buy value and it comes with an income, you can afford to be patient. Whereas if you buy momentum, that is literally what you are buying!
Needless to say my ITV (LON:ITV) shares have fallen...
Ian Lance and his co manager have been beating the drum on UK value & income for at least the last 4 years, often on deaf ears. So much so that they changed the team name to Global Value, from UK Value, partly because they had almost given up on seeing any serious inflows to the UK!
They also show conviction with their positions - holding 10% or so in Capita (LON:CPI) being a case in point.
That's a huge position. I think CR also likes the bowl there. A further nudge for me to take another look.
Meaning Capita (LON:CPI) ... Where I currently have no position.
VinaCapital Vietnam Opportunity Fund (LON:VOF) and Vietnam Enterprise Investments (LON:VEIL) are both higher today as is the Vietnam Index. See this link for more on the index gains:-
https://tradingeconomics.com/v...
A key reason why their Market soared today is that there might be news on Vietnam’s promotion to Emerging Market status this week. See this link for a lot more on that. (I hold VinaCapital Vietnam Opportunity Fund (LON:VOF) and VietNam Holding (LON:VNH) ):-
https://vietnamnet.vn/en/vietn...
Craig at VNH expects announcement this Weds.
I wasn't expecting any kind of announcement on Vietnam until some time next year, so fingers crossed it comes through this week.
I checked on the last country to be promoted to EM status using AI (normal search engines proved useless). Kuwait in 2020 was the last. Obviously with the pandemic at the time it's difficult to assess the impact on the Kuwait stock market, so will be interesting to see how the Vietnamese market reacts.
Investor Meet Company this coming week
Wed 8 Oct14:30TWENTYFOUR INCOME FUND LIMITED TwentyFour Income Fund (LON:TFIF)
Investor Presentation
Wed 8 Oct15:00DIVERSE INCOME TRUST (THE) PLC Diverse Income Trust (LON:DIVI)
Post AGM Presentation
Thu 9 Oct10:30ORYX INTERNATIONAL GROWTH FUND LTD Oryx International Growth Fund (LON:OIG)
Introduction to Oryx International Growth Fund Ltd and Portfolio review
There is also an Investor presentation from VietNam Holding (LON:VNH) on the 9th, 10.00am
https://sparklive.lseg.com/Vie...
In case of interest to anyone, here are the Investment Trusts held in our portfolios. I’ve added gains and losses since purchase. All gains and losses are EXCLUDING dividends.
Aberdeen Equity Income Trust (LON:AEI) up 16%
Aberdeen Asian Income Fund (LON:AAIF) up16%. Recent buy ….tempted by enhanced dividend policy.
Aew UK Reit (LON:AEWU) Up 51% (and more than doubled if including 13% dividends at my buy price). Fully priced for now?
Alternative Income REIT (LON:AIRE) Up27%.
Amedeo Air Four Plus (LON:AA4) Up 62% and 22% dividend on top. So dividends have now covered my original stake. Amount of cash Investors will get back is uncertain. Far too late to buy.
Blackrock Energy and Resources Income Trust (LON:BERI) Up 189%. Well timed big dividend paying buy years ago.
BlackRock World Mining Trust (LON:BRWM) Up87%…..gains reduced by averaging up.
Custodian Property Income Reit (LON:CREI) up 3%. Recent buy.
City Of London Investment Trust (LON:CTY) Up 67%. Solid high quality UK Trust…..a “dividend “ hero with annual increases every year for approaching 60 years!
CQS Natural Resources Growth and Income (LON:CYN) Up 302%. New dividend policy of 8% of NAV has turbo charged the gains recently. The many Investors who opted for the 203p tender offer might now be wishing they hadn’t! Very fully priced now though after recent 50% further gain.
Henderson Far East Income (LON:HFEL) DOWN 3%. I’ve held for years and performance has been dire…..but I’m waiting to see if they can at last get NAV moving up. Hints recently that they are.
Jpmorgan China Growth & Income (LON:JCGI) Up 43%. Luckily timed recent buy. Have also held in the past.
Merchants Trust (LON:MRCH) Up 11% Relatively recent buy. Like City Of London Investment Trust (LON:CTY) a dividend hero and high quality Trust.
CQS New City High Yield Fund (LON:NCYF) up 13%. The tactic with this one with very little capital gain likely is to buy on the rare dips….it gives a bit of upside and maximises dividend yield too.
Oakley Capital Investments (LON:OCI) Up 93%.
Octopus Renewables Infrastructure Trust (LON:ORIT) DOWN 3%. I’ve sold most of my Renewables….but holding ORIT at least until their next full update.
Real Estate Credit Investments (LON:RECI) Up 7%
Regional REIT (LON:RGL) DOWN 6%. Risky one.
Schroder European Real Estate Investment Trust (LON:SERE) DOWN 12%. Bought in the hope that after the success of holding Tritax EuroBox (LON:EBOX^L24) which fell to a bid, SERE would soon follow. No luck so far and otherwise a weak hold.
Schroder Real Estate Investment Trust (LON:SREI) Up 31% . Well worth checking out and a buy imo whenever it drops below 50p. Good quality.
SDCL Efficiency Income Trust (LON:SEIT) Up 19%
Social Housing REIT (LON:SOHO) Down 3% . Recent buy.
Supermarket Income REIT (LON:SUPR) Up 12%. Bought ahead of a significant fall and then well timed average down. Well worth considering….but Charles isn’t so keen.
Twentyfour Select Monthly Income Fund (LON:SMIF) Up 19%. Same comments apply as for CQS New City High Yield Fund (LON:NCYF) . My buy was on a rare dip. I like the monthly dividend.
VinaCapital Vietnam Opportunity Fund (LON:VOF) Up 56%. On a 19% discount,
VietNam Holding (LON:VNH) Up 88%. Vietnam could be getting upgrade to full Emerging Market quite soon. Both my Vietnam holdings I’ve held for multiple years…..except for panic sells near the bottom during the big covid market crash. Obviously as with others the gains shown are only since the most recent buy price. Both Vietnam Trusts have been big winners….and imo there could well be a lot more to come.
Value and Indexed Property Income Trust (LON:VIP) Unchanged. A recent buy.
I’m looking to buy Tritax Big Box REIT (LON:BBOX) . See Citywire article posted by Charles today.
Comments/critisisms/suggestions etc very welcome.
Out of interest Ken do you equal weight across them all?
No. Stake sizes vary. I have much smaller stakes in (the few) riskier holdings I sometimes build up to a full stake by averaging down or up.
Tritax Big Box REIT (LON:BBOX) Citywire this morning mentions:https://citywire.com/investmen...
I watched an interesting video last night by all counts when the fed have been cutting and the market is within 2% of an all time high there's never been a time on a 12 month basis where the S&P has ended lower , so where probably due a miss lol.
There was a piece in the FT about BlackRock being in talks to buy Aligned Data Centres from Macquarie for $40bn. I am nervous of the AI bubble bursting and have sold my holdings (as best as I can in actively managed trusts) in Companies and Trusts exposed to that area. But I use AI for work and research on companies and can see the potential. So in order to get exposure if a less risky, as I see it, way I asked Gemini AI to identify UK Companies involved in data centres and the AI infrastructure. 3 Companies came up, one I hold and would not advise buying Digital 9 Infrastructure (LON:DGI9) . The top ranked was Tritax Big Box REIT (LON:BBOX) which I hold. The other Cordiant Digital Infrastructure (LON:CORD) which I have not looked at and will be doing so. On the basis of this report and the higher yields BBOX should get from Data centres I am going to buy more. The boom in the markets does slightly puzzle me but I am loathe to go into cash- I rarely manage to time markets very well. But what I am doing is moving into higher yield companies/trusts which hopefully will give some protection if the markets do suffer a shock. Trump is a scary individual and an American a while ago said there was a feeling that he would try and cause an insurrection so he can declare martial law and therefore avoid an election, Far fetched ? Maybe not the way he behaved after losing the last election.
But with out the magic looking glass I have no idea what the developed markets will do, hence the move into emerging markets and high yields. Hopefully this will create some resistance to a Wall street crash. On that subject I saw in the FFT today that Andrew Sorkin is just publishing a book "1929" "The inside story of The Greatest Crash in Wall Street" Lets hope it remains the greatest crash !
Link to my research Google document on UK Data Centres is here. https://docs.google.com/docume...
The top ranked was Tritax Big Box REIT (LON:BBOX) which I hold. The other Cordiant Digital Infrastructure (LON:CORD) which I have not looked at and will be doing so.
I hold both but the biggest UK player in data centres is SEGRO (LON:SGRO) who are moving up the value chain to provide fully fitted data centes in Europe. Tritax Big Box REIT (LON:BBOX) will provide powered shells, but the fit-out needs to be done by the tenants. Segro will incur a higher up-front cost but the total return over lifecycles should be higher.
I feel Cordiant Digital Infrastructure (LON:CORD) has been unfairly tarnished by the issues at Digital 9 Infrastructure (LON:DGI9) - it looks too lowly rated for such an interesting area.
timarr
Thanks Timarr, will have a look at Segro.
That was a good shout Timarr- instead of buying more BBOX I will buy into Segro. Looks like they have 8% currently in Data centres but that is expected to rise significantly- so a perfect way for me to get to exposure. Just shows AI is not everything- I had included all companies in my original search request- personal knowledge has proved very useful-thanks again.
Tritax Big Box REIT (LON:BBOX) Bbox I hold. I read somewhere, D Stephenson or Adam Tooze, that the Mag 7 depreciate the chips and possibly the rest ot the gubbins over 5 to 10 years. Sheds are 25? So Segro will need to be v clever in their spec selection.
Thanks for that Snowdrop. I have looked into it using Gemini AI Deep research and it came up with this conclusion https://docs.google.com/docume...
what a brilliant thread this is thanks Charles and Ken for setting it up each month, lots of the top table posters over here and all discussion covered in a pleasant manner what more could one want from a shares forum.
could not agree more !!
Thanks …but the success of the Investment Trust threads is entirely down to Charles, and not me. I just read and post here like everybody else.
Your a great contributor Ken- and wiser than me.
Humble as ever Ken and that's taking nothing away from Charles monthly efforts.
TGIF - and "Who's for a game of squash?" used to be the saying before I retired from the chalk board! But now I'm just inclined to put the kettle. But reason I post - unusually for me on a single share, given that this is an IT board- is that one of my two trading shares, Ceres Power Holdings (LON:CWR) has had a storming run since I started buying a couple of weeks ago - now up 33% off the back of massive apparent placement onto the market of shares by Bosch and a subsequent declaration of interest by Jersey based investor Richard Griffiths. It's always nice to find oneself in the company of far better investors. But reading Cockney Rebel's end of weekly update I also see him highlighting the same man's involvement in another of my shares, namely >7% in RWS Holdings (LON:RWS), which I repurchased back in April this year . Unlike CWR, RWS does pay rather a generous dividend, though it remains to be seen whether it is sustainable, or indeed whether the business can deliver on its promise of benefitting from rather than falling foul of AI within its business model. Nevertheless, perhaps another one to watch, as these current market continue their 'melt up'. And never of course forgetting the wisdom of keeping a wary eye on the exit. As an ex-copper once reminded me: "Never get yourself into a situation that you can't get out of!"
And now for that tea! Good weekends all.
Also holding RWS Holdings (LON:RWS) with a wary eye, brucie. Will check out Cockney Rebel. Happy w/e
Wow, so many comments since I last checked in. Thank you all. This is sort of a further response to Brucie5 and Charles M about renewables and REITs below. Plus debt vehicles.
No problem really with NextEnergy Solar Fund (LON:NESF) , Brucie: I hold it too. Our current list in that area is NextEnergy Solar Fund (LON:NESF) ,Foresight Environmental Infrastructure (LON:FGEN) ,Foresight Solar Fund (LON:FSFL) ,Renewables Infrastructure (LON:TRIG) ,Gore Street Energy Storage Fund (LON:GSF) and Octopus Renewables Infrastructure Trust (LON:ORIT) . I added to my Octopus Renewables Infrastructure Trust (LON:ORIT) holding today, as they are determined to stay in the game, and with a progressive div., and a partial catch-up to their (lowered) NAV can still give a capital uplift of 30%. This is just too low for patient capital. Not tempted, Ken, with a near 10% div at this level?
Thanks for your response on Newriver Reit (LON:NRR) , Charles. We've doubled our small stake this week to a reasonable one. Looks pretty solid to me. I'm a sucker for recovery plays, which has me looking at Regional REIT (LON:RGL) again. Didn't do well last time, and Stephen Inglis' presentation didn't sizzle. But they ARE slowly getting debt down; they HAVE made a sale above NAV, and perhaps a 45% discount could halve over the next year?
On the other hand, having done well with Chenavari Toro Income Fund (LON:TORO) and Volta Finance (LON:VTA) , I will look at TwentyFour Income Fund (LON:TFIF) . At least it's not cryptocurrency!
I dropped NextEnergy Solar Fund (LON:NESF) as I felt they were selling the crown jewels to pay the dividend - ultimately eating themselves.
I currently hold:
Plus IP (LON:IPO) which isn't an IT but shares many of the characteristics.
It's been a pretty good year with Life Science Reit (LON:LABS), Apex Global Alpha, Assura (LON:AGR), Warehouse Reit (LON:WHR) and Urban Logistics all being sold due to bid related activity. However, a lot of discounts have narrowed and I'm not at all interested in chasing ITs that are trading near to par or at a premium regardless of how good they are.
As and when interest rates fall further many of these should see their prices rise and current discounts narrow.
timarr
Ha, your comment, timarr, made me remember we also hold SDCL Efficiency Income Trust (LON:SEIT), Greencoat UK Wind (LON:UKW) , VH Global Energy Infrastructure (LON:ENRG) and GCP Infrastructure Investments (LON:GCP) , not to mention Sequoia Economic Infrastructure Income Fund (LON:SEQI) and Real Estate Credit Investments (LON:RECI) , and CT Private Equity Trust (LON:CTPE) in the PE space. Like you, some of this is after Assura and APAX buyouts, which left me semi-satisfied. We seem to have quite a bit in common, and I take your point that NextEnergy Solar Fund (LON:NESF) may be weaker than some (so no increasing investment), but I think today's discount is a big buffer.
Hi raggedtp
Yes, there is a lot of commonality! I'm on the verge of retiring and pursuing a natural income strategy (i.e. only taking dividend income out and never touching the capital) so yield is important, but I aim to balance that with some growth. I think a ten year view on most higher yielding investment trusts will show that the total return has been poor, so buying at high discounts is important (not many dividend heroes in my previous IT list).
For balance, my other higher yielding stocks (which share a significant overlap with ken's) are:
And those are just the stocks yielding 6% or more. Unsurprisingly I can balance this with higher growth opportunities like Wise (LON:WISE) and still maintain a portfolio yield of over 4%.
A quick scan of that list shows how unbalanced it is - conservatively 13 of the 21 holdings are in the financial sector. However, that's only a partial view as I'm careful about weightings overall and I will invest in multiple stocks in the same sector to get the sector exposure I want while spreading the risk of any individual stock going bad.
In general I manage to match or beat the market most years (21 out of the last 24), because otherwise I might as well stick everything in a bunch of EFTs. But times are changing - I'll need to review performance as I start to decumulate from my portfolio and decide if individual stockpicking is worth it anymore.
But it is fun, and that is often underrated ...
Anyone else going to Mello in Chiswick?
timarr
Thanks Ragged - most helpful and reassuring.
I hold RGL and have been considering averaging down- not made my mind up. NRR we will be buying more- well my wife will be- hate the word we as a singular.
Foresight Environmental Infrastructure (LON:FGEN) is within 1p of all time low. The chart since July is a shocker, but today's price is near previous support levels, if you are feeling brave. I've started a small top up at these prices, but only a trickle as sentiment is so bad it might fall through the previous lows (of 66p).
Hi all on sources of EFT info, have just discovered https://www.etfstream.com/ which looks very helpful - this was founded by David Stephenson https://substack.com/home/post...