Investment Trust , REIT and ETF's- Thoughts (November2025)
Investment Trust , REIT and ETF's- Thoughts (November2025)
Links to older monthly thoughts.
October 25 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.
October2025 Investment Trust monthly performance.
Top 10 Equity only
Molten Ventures (LON:GROW) +20.4%
Seraphim Space Investment Trust (LON:SSIT) +19.5%
Biotech Growth Trust (LON:BIOG) +17.9%
RTW Biotech Opportunities (LON:RTW) +17.4%
Fidelity Japan Trust (LON:FJV) +13.9%
International Biotechnology Trust (LON:IBT) +12.3%
Bellevue Healthcare Trust (LON:BBH) +11.3%
Ashoka India Equity Investment Trust (LON:AIE) +10.4%
Worldwide Healthcare Trust (LON:WWH) +9.6%
Manchester And London Investment Trust (LON:MNL) +9.6%
Bottom 10 (Equity only)
Chelverton UK Dividend Trust (LON:SDV) -8.1%
Digital 9 Infrastructure (LON:DGI9) -7.4%
Nippon Active Value Fund (LON:NAVF) -7.3%
Pantheon Infrastructure (LON:PINT) -4.8%
VinaCapital Vietnam Opportunity Fund (LON:VOF) -4.8%
AVI Japan Opportunity Trust (LON:AJOT) -4.4%
Majedie Investments (LON:MAJE) -4.3%
Baillie Gifford Shin Nippon (LON:BGS) -4%
CT UK High Income Trust (LON:CHI) -3.4%
Fidelity China Special Situations (LON:FCSS) -3.2%
Top 10 (All Trusts)
Gore Street Energy Storage Fund (LON:GSF) +24.7%
Molten Ventures (LON:GROW) +20.4%
Seraphim Space Investment Trust (LON:SSIT) +19.5%
Biotech Growth Trust (LON:BIOG) +17.9%
RTW Biotech Opportunities (LON:RTW) +17.4%
Fidelity Japan Trust (LON:FJV) +13.9%
International Biotechnology Trust (LON:IBT) +12.3%
Bellevue Healthcare Trust (LON:BBH) +11.3%
Ashoka India Equity Investment Trust (LON:AIE) +10.4%
Worldwide Healthcare Trust (LON:WWH) +9.6%
Bottom 10 (All Trusts)
Riverstone Energy (LON:RSE) -21.1%
Macau Property Opportunities Fund (LON:MPO) -19.2%
Regional REIT (LON:RGL) -10.3%
Aquila Energy Efficiency Trust (LON:AEET) -8.6%
Chelverton UK Dividend Trust (LON:SDV) -8.1%
Digital 9 Infrastructure (LON:DGI9) -7.4%
Nippon Active Value Fund (LON:NAVF) -7.3%
Octopus Renewables Infrastructure Trust (LON:ORIT) -6.4%
Greencoat UK Wind (LON:UKW) -4.2%
Ceiba Investments (LON:CBA) -5.5%
ETF performance
Top 5
Leverage Shares (LON:AMDI) +44.6%
UBS LFS MSCI Emerging Mkts UCITS ETF (USD) A-dis (LON:UB32) +42.19%
UBS S&P 500 UCITS ETF USD Adis (LON:UC13) +41%
UBS MSCI USA UCITS ETF USD Adis (LON:UC04) +41%
UBS LFS JPM Gl Gov ESG LdBd UCITS ETF (USD) A-acc (LON:EGOV) +36.9
Bottom 5
Hanetf Multi-Asset ETC Issuer (LON:MSTP) -13%
Wisdomtree Commodity Securities (LON:SUGA) -10.5%
iShares Europe Defence UCITS EUR (Acc) ETF (LON:DFEU) -7.5%
Wisdomtree Commodity Securities (LON:COCO) -6.9%
Incomeshares Microstrategy Options Etp (LON:MSTI) -6.9
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.
283 comments
Chelsea, interesting question. I will copy it and ask the AIC. Sounds like it needs a legal opinion.
Thanks Charles. The AIC would hopefully be part of the consultation process. Corporate bond funds with IT's or OIC's would not qualify as 'cash like' imo but who knows what the HMRC/Treasury would think.
Look forward to AIC response
Apparently there is to be a consultation prior to deciding the precise definition, so I doubt a definitive answer can be given at this stage.
In the past, I think there was a restriction that didn't allow 1-5 year Gilts to be held in an ISA wrapper, so I think that these (and related funds/ETFs) as well as interest on cash in a S&S ISA and money market funds, may be the main focus? The rationale being to close a 'loophole' where these cash or 'cash like' investments could be held in Stocks and Shares ISA to get around the new £12k limit?
What do they expect people to do when sitting out of the market for a while, e.g. in a bear market?
There's got to be some kind of leeway surely.
What do they expect people to do when sitting out of the market for a while, e.g. in a bear market?
Although they can ban using cash-like instruments it's hard to imagine they can stop people going to cash, so presumably the most likely approach is to remove the tax advantage by taxing the interest on cash held. That prevents people using their S&S ISA as a Cash ISA while allowing investors the flexibility to manage their portfolios however they wish.
The cash-like instrument definition will also - presumably - be to prevent people using near risk-free assets to emulate a Cash ISA. It'd be surprising if that group included anything where there was a reasonably risk of capital loss, although no doubt there'll be a ton of lobbying over the next year.
Previous rules also restricted the amount of cash that could be held but it was down to the discretion of the platform as to how long. Generally three or four months never seemed to be a problem, although I was asked a time or two to confirm that I was intending to invest the funds.
timarr
Chlesea, had this response "
Of course, we don’t know what the government test will be regarding the eligibility for stocks and shares and cash ISAs.
However, we do not think there is any chance of the investment trusts you mention below being assessed as cash. They are all listed companies on the London Stock Exchange and are all eligible for the Stocks and Shares ISA"
Investor Meet Company this coming week.
Sequoia Economic Infrastructure Income Fund (LON:SEQI)
SEQUOIA ECONOMIC INFRASTRUCTURE INCOME FUND LIMITED
Interim Results
1st Dec 2025 at 9:00am GMT
CQS New City High Yield Fund (LON:NCYF)
CQS NEW CITY HIGH YIELD FUND LIMITED
Investor Presentation
1st Dec 2025 at 11:00am GMT
EMV Capital (LON:EMVC)
EMV CAPITAL PLC
Virtual Meet the Portfolio – Wanda and DeepTech Recycling
1st Dec 2025 at 2:00pm GMT
CQS Natural Resources Growth and Income (LON:CYN)
CQS NATURAL RESOURCES GROWTH AND INCOME PLC
Investor Update
2nd Dec 2025 at 11:00am GMT
Foresight Environmental Infrastructure (LON:FGEN)
FORESIGHT ENVIRONMENTAL INFRASTRUCTURE LIMITED
Half Year Results
2nd Dec 2025 at 12:00pm GMT
CT Private Equity Trust (LON:CTPE)
CT PRIVATE EQUITY TRUST PLC
Quarterly update
4th Dec 2025 at 10:00am GMT
Mercia Asset Management (LON:MERC)
MERCIA ASSET MANAGEMENT PLC
Interim Results
2nd Dec 2025 at 3:00pm GMT
I added Mercia because commentators often refer to its portfolio of existing companies. I held for 3 years and did nothing for me.
Should be interesting to hear from FGEN and SEQI about the future of pricing.
I've not been around much this week as away visiting kids at Uni, but I have managed to read most posts.
I think it was Gloucester Bob who mentioned about NextEnergy Solar Fund (LON:NESF) earlier in the week. Like many others I had sold out of my renewables a few months back, but this prompted me to take another look.
I had taken a load of TF Pension cash prior to the budget, so have this parked in a couple of general investment a/c's awaiting feeding into the next couple of years SIPPs. To this end I put a small sum into NESF as I felt the drop has gone a long way (might go further, but hopefully it will stabilise and the divis look good).
In addition someone else also prompted me to take another look at property - I had previously stated that Aew UK Reit (LON:AEWU) was a bit too small, but felt this might be another lower risk option for income - capital gain would be a bonus.
In the wife's GIA I am tempted to "test" a NAPS portfolio - the rest of mine has gone into the above, plus my favourite 6 funds & trusts -already spoken about lots over the last couple of months. This might be a good experiment across the next couple of years before I get the money back into tax-protected wrappers.
In addition, someone on the SCSW board yesterday put a very interesting link into a Bond Ladder tool, for anyone wanting help with looking how to build a bond ladder for a set level of income over a set period - I haven't had a chance to play with it yet, but it does look like a useful tool for anyone considering this. Link below.
https://lategenxer.streamlit.a...
Thanks again for all of your work Charles.
Kevin, visiting children at University , happy memories. Both our girls went to Bath Uni, 2 years apart so spent 5 years visiting one of them or for a year both. Fun times seeing them develop away from home. Thanks for the link, I do buy short dated low coupon gilts for the tax free capital gain outside of a ISA/SIPP and the odd T bond in an ISA .
Just bought more Oakley Capital Investments (LON:OCI) and Palace Capital (LON:PCA) . PCA is winding up, the NAV is £2.44, they have been reasonably diligent in returning funds to shareholders. They are getting near to the last few properties unsold, which can be the hardest. But the CEO seems pretty straight with shareholders. Expect another. tender next spring. The share price has not fallen below £2.00 for a while, I bought at £2.08 and a new shareholder appeared 3 Nov 25- Lakestreet Capital Parters, a PE firm. The purchases are part of my defensive strategy to avoid any market shocks.
November was strange month, dominated by Gov leaks re the budget, which turned out a bit dull as most actions will not happen for a few years, which probably means a reasonable chance nothing will happen. I am assuming the chancellor is expecting interest rates to drop to 2% which would free up £50 billion in interest payments based on the OBR forecast of £112m. If that was to happen then some of the high yield Trusts ( and PLC's) would look very cheap now. I am expecting the rate to fall to 3.25-3.5% next year, barring any major issues. Unemployment is rising which points to a need to cut rates to get the economy going. Inflation seems entrenched at the moment above the 2% target. I am not an economist, so a simple thought of what could/I would like to see happen!
Disappointingly AI seems to think we will not see the report on the Indexation proposals until Winter 2026. That would be unhelpful as a shadow hanging over the sector for another 12 months. Hopefully the AIC and others will be lobbying to get a faster response.
Fascinated to see how I will pay my 3p per mile on our new EV. Comes in April 2028. Sounds like it proposed a sort of assessment of mileage with a top up at MOT ? Hybrids are probably hit worse as they will pay 1.5p on all mileage plus fuel duty.
I have no issue with replacing the loss of Fuel duty for EV's. I just hope it does not slow down the switch from Petrol to EV vehicles.
I will start a new thread over the weekend ready for December. Thanks for all the comments this month and look forward to reading more next month.
Briefs:-
Supermarket Income REIT (LON:SUPR) . More Director buying. Share price rising.
Social Housing REIT (LON:SOHO) announced their latest dividend today.
Schroder Real Estate Investment Trust (LON:SREI) trading update today, along with next dividend and dates.
I hold all 3.
Just to say that I’ve now added very useful (for anyone tempted to buy) AI info on Regional REIT (LON:RGL) to my post just now.
Regional REIT (LON:RGL) does look very cheap. It is not one I have really looked at but understand that a few posters here know quite a bit. I am currently watching the IM presentation to get a background but can anyone who holds give me reasons to think about investing rather than putting in the value trap bucket! Thanks
I just bought more so probably not unbiased. I feel there could be corporate activity, but others, who may know more than me think that is unlikely due to the regional portfolio. The share price, in my mind, is still showing the affects of the fund raising last June to solve an imminent £50m bond issue that was due August. LTV was at that stage well above their target of 40%. The last 6 month figures showed LTV doen to 43%.
timarr posted on Regional REIT (LON:RGL) on November 12th after their trading statement. I sold (I had held a small fun punt) after that update, and also posted why on the 12th.
Still very high debt along with dividend might have to be cut were 2 reasons. I’ve pasted below an AI summary covering the heavily discounted rights issue in 2024 along with the 10 for 1 share consolidation. They’ve done well to sill be going and after huge share price falls it looked, and some think still looks worth a punt now.
Here’s that AI section:-
“Regional REIT successfully completed a £110.5 million capital raise in mid-2024, which included a fully underwritten placing, overseas placing, and open offer (a form of rights issue). The proceeds were used to significantly reduce the company's debt and finance ongoing property enhancements. Details of the Capital Raise
Reasons for the Rights IssueThe primary motivation for the capital raise was to address the company's high leverage and an upcoming debt maturity.
Subsequent ActionsFollowing the capital raise, the company also completed a 1-for-10 share consolidation (reverse stock split) at the end of July 2024 to ensure the shares traded at a more sensible price and to increase liquidity. The successful completion of the equity raise was seen as a "lifeline" for the company, lifting funding uncertainty and allowing focus to return to operational performance and asset management. Regional REIT in last chance saloon with proposed equity raise26 Jun 2024 — Regional REIT in last chance saloon with proposed equity raise. ... Regional REIT has announced a capital raising of £1...
Association of Investment CompaniesUnderwritten £110.5m Capital Raise & Notice of EGM25 Jun 2024 — Regional REIT Limited (LSE: RGL), the regional property specialist, is pleased to announce a Capital Raising of approxi...
London Stock Exchange
On a more positive note that DGI( see Harbourvest Global Private Equity (LON:HVPE) share price is doing OK. I have moved money into a few PE funds now- hold Oakley Capital Investments (LON:OCI) Harbourvest Global Private Equity (LON:HVPE) Patria Private Equity Trust (LON:PPET) Chrysalis Investments (LON:CHRY) and Molten Ventures (LON:GROW) . Leant my lesson with Hydrogen Capital Growth (LON:HGEN) (though again I blame the directors, the managers were not held to account- and since they raised the bottom end of the IPO funds probably should have been aborted). Keeping the faith with Augmentum Fintech (LON:AUGM) and not sure if Seraphim Space Investment Trust (LON:SSIT) is strictly a PE fund, but a core holding for me.
Life Science Reit (LON:LABS) Harwood Capital have just announced a 3% stake. I do think there is more to this play then we all know. I just feel that reading the announcements over the last few months there is value in this one.
Should have sold Digital 9 Infrastructure (LON:DGI9) last week - at least then I would have a few more pounds of my original £7.5K !! Now it’s pretty much halved again. As Charles said a complete and utter disaster. How on earth can you do so badly in a ‘hot’ sector like Digital Infrastructure. I clearly backed the wrong horse when comparing this dog with Cordiant Digital Infrastructure (LON:CORD) which seems to be doing OK despite the.big discount which is probably as much to do with the read across from the dog that is Digital 9 Infrastructure (LON:DGI9) . As to legal action, Charles, I suspect there is no chance and it brings into question the competence of Infra Red the investment manager appointed in December 2024 to handle the wind down and ‘maximise shareholder value’. Given they are also involved in the HICL Infrastructure (LON:HICL) and Renewables Infrastructure (LON:TRIG) controversy I am minded to sell out of all 3 to avoid exposure to their incompetence!
I know it is unlikely. When it goes into liquidation that will be the time to ask for a DTI investigation under the Directors disqualification Act (If that still exists). These paid Directors who seem to do very little need to be removed from the PLC sector.
Wow! That’s a lot to write off on this awful (Digital 9 Infrastructure (LON:DGI9) Investment Trust. That’s money that could have been used for alternatives instead of having to write it off as is money tied up in other big fallers, if we hold any.
Ages ago I held too but sold and cut the then modest loss, for my usual reasons…….i.e bad news along with (what later became relentless) fall in the share price. It’s down well over 90% now. Ouch!
How often do rubbish shares and the occasional rubbish Investment Trust recover after bad news? Answer is rarely. Are alternatives (including in the same sector) much more likely to provide share price upside? Is it NO to the first question and YES to the second?
See another poor investment announced by Digital 9 Infrastructure (LON:DGI9) . Legal action should be taken against the previous managers and board.
Digital 9 Infrastructure (LON:DGI9) the numbers are truly shocking Charles, what a shambles...
If my rough maths is right Macq sold 25% for ~16m, valuing DGI9's ~50% stake at 32m. Which they bought for 200+m. Oof...
"The Company has received a pre-emption notice stating that certain minority shareholders of Arqiva Group ("Arqiva") representing a 26.5% aggregate stake held by Macquarie European Infrastructure Fund II ("MEIF II") and other Macquarie-managed vehicles (together "Macquarie"), have agreed to the sale of their interests in Arqiva for a consideration of £16.5m."
"The Company's 51.8% interest in Arqiva represented approximately 75% of the Company's adjusted Gross Asset Value as of 30 June 2025, based on an investment valuation of £213.2 million, net of the Vendor Loan Note ("VLN"). The sale of Macquarie's interests is clearly priced well below the value of the Company's VLN."
Any hope that because the Macquarie holding was a minority one at 26.5% it doesn't translate directly to a holder with a majority holding of 51.8%? So perhaps in some parallel universe it might be worth a bit more than £32m - not that it makes much difference given that the RNS content indicated the whole disaster could run until 2030!!
I am struggling to get the NAV assuming worth nothing, Still leaves some assets on my sums. But we will see and my faith is pretty much destroyed. But I will hold.
Yes but we already knew Arqiva had problems and the market had effectively written it off already - by my rough calculations the other parts of their portfolio which is being wound up are worth about 7-8p.
Couldn't help myself. Stephen Inglis, CEO of Regional REIT (LON:RGL) , having bought c. £50k of shares on September 11th at £1.252 per share, has declared today that he bought 50,000 shares @£1.01 on Friday. I have doubled our position @1.02 this afternoon.
Interesting. Will see if I have funds. I quite like this one, though I know other think not offering any great value
Disappointed that there was no trading update with the Supermarket Income REIT (LON:SUPR) yesterday. Also a bit concerned about further increasing exposure to ASDA …..with their huge debt issue. Opinions on this anyone?
Share price is still well above the 69p low but as with so many REITS at present, is doing nothing. The wretched incompetence of Rachel Reeves and Keir Starmer combined is causing untold harm. Maybe even worse incompetence is already priced in to a lot of shares and Trusts? We’ll soon know!
Schroder Real Estate Investment Trust (LON:SREI) is stuck around 53p. Londonmetric Property (LON:LMP) (which I bought recently at 185p) have further increased their stake. Looks like they could be biding their time before bidding and meanwhile buying more shares if there are any big willing sellers. Schroder Real Estate Investment Trust (LON:SREI) is a definite hold imo in anticipation of corporate activity at some point.
Land Securities (LON:LAND) I bought and then sold at a small loss after George54 reminded me of the golden rule of looking to top slice in bull markets and add in bear markets and not the other way round! But I bought Land Securities (LON:LAND) again at a lower price this week. Dividend yield is nearly 7% and it goes ex dividend this Thursday, as does Londonmetric Property (LON:LMP) . Again Londonmetric Property (LON:LMP) dividend now at a tempting level.
My key activity now, caused by circumstances, it to up portfolio dividend yield. So my big current dividend income is being deployed to buy more of the same.
On Supermarket REIT, these look like good quality, well-located stores so I'm sure they could easily re-let to another supermarket if Asda does get into trouble (perhaps even at a better rent?)
Molten Ventures (LON:GROW) and Seraphim Space Investment Trust (LON:SSIT) both had announcements today. GROW interims show they continues to increase gross assets and realisations continue. The emerging portfolio (18% of portfolio) looks like it is doing well with 15 of the 68 forecasting revenue growth to double. I hold . SSIT which I also hold quarterly results increased Assets but mainly due to FX gains of £3.8m. ICEYE is the key here short term, it represents 34.7% of NAV . If it was to IPO we could see a decent uplift in value for SSIT.
"ICEYE (34.7% of NAV) has strengthened its global presence with new agreements in Japan and Slovakia, supporting government and defence applications with its SAR technology.
· ICEYE is building a constellation with IHI Corporation in Japan, starting with four satellites and options for up to 20 more.
· ICEYE and the technology defence group Rheinmetall completed the establishment of their joint venture. The first satellite will be manufactured locally in 2026 and support Ukrainian forces' capabilities in surveillance, target identification, and battlefield positioning."
A question if I may for the more accomplished dividend players on this board.
I bought NextEnergy Solar Fund (LON:NESF) mainly for its dividend. My yield at buy price is over 12%, but the share even with dividends, is showing a 23% loss.
I would normally bail out of a share if it hit a 20% loss, but I am trying to build part of my fund to be mainly a dividend play. Does experience show, that I bought the share at the wrong time and should sell, or buy some more (not quite at my limit for a share) and let it ride out, and keep taking the dividends and forget the share price regardless, patience will win out. I do not need to money for a few years, so have time.
Given the discount to AV I would be averaging down. I do not hold at the moment but looks attractive if the outlook for energy pricing in the UK can be clarified. The AIC and the industry are pressing the UK government on this.
GloucesterBob
I don’t know whether you’re a regular reader here and anyway I won’t give an opinion on NextEnergy Solar Fund (LON:NESF) as I haven’t looked at it closely since I sold.
If you’re on this thread regularly you’ll probably know that my tactic (believe me it works far more often than not) is to sell at once whenever I have doubts and also on any bad news.
I (and some commentators) have serious doubts about the investment case for Renewables, so a while ago I sold a nearly all my Renewables Investment Trusts for reasons I posted at the time. I’m very pleased I did.
Has the sector bottomed yet? It has fallen a long way. Is that 16% dividend likely to be cut? That’s still a great yield of 8% if they cut it by half……but it’s much less good at your buy price if they have to cut……and what could the share price reaction be to an update saying we’ve got to cut the dividend? These are the sorts of things we need to factor before making our buy hold or sell decision.
In the end the decision is yours. I rarely buy or sell just on the advice of any poster however good that poster is. . It’s SO important to check out Results and other news from shares or Trusts we hold and quality comment on them., and then make our own decision.
Also keep an eye out on Results etc from other Renewable Trusts to help you see signs of the bottom getting reached at last, or that things are getting even worse for these Trusts.
Hope that helps.
I think the question you need to ask yourself (and that no-one here can reasonably answer) is what would be the catalyst to see the price start recovering for NextEnergy Solar Fund (LON:NESF) ?
Perhaps something will become clearer in the next few days regarding the electricity pricing model that was the most recent issue hitting these shares, or perhaps not. Maybe some bargain hunters will come fishing.
But looking at the chart, the trend is still downwards, so I would expect further falls unless there is some good news brewing.
I sold in August.
GliucesterBob, FWIW I have just re-entered NextEnergy Solar Fund (LON:NESF) - not hugely, about 1% of my folio. At 16% dividend it's saying either that no-one believes in the payout, which is monthly, as I'm sure you know. Or that it's at absolute rock bottom, which is of course suggested by the 42% discount to NAV (which the market clearly does not believe and it may be right not to!). But were it to halve the dividend, it would still be a good income. I have also been very gently adding to positions in Foresight Solar Fund (LON:FSFL) and Greencoat UK Wind (LON:UKW) to roughly equal percentages of my folio. Markets driven by fear/greed always wing too far in either direction and from my experience, (and very obviously Ken Mitch's!) the value/income investor has the advantage of patience during those declines, to add to weakness while reaping the income. Obviously, NAI on the specific investment case. Good luck with whatever your decision!
Oops, GloucestBob: I seem to have got my response to you in the wrong place. Please scroll down a bit!
Another trust I have not held is abrdn New India Investment Trust (LON:ANII) . I had a look at it over the weekend as it is quite exposed to the Financial sector- which the FT stated at the weekend is seeing overseas investments as limits on holdings by overseas investors has been relaxed. https://www.aberdeeninvestment...
Patria Private Equity Trust (LON:PPET) Edison have a note out o this PE trust. not one I am familiar with https://www.edisongroup.com/ed...
I've held this for almost 8 years. It used to be Aberdeen (or abrdn) Private Equity trust. It has grown more or less consistently over that period and has more than doubled in value including dividends.
Thanks Alan. I bought some this afternoon.
GCP Asset Backed Income Fund (LON:GABI) have historically announced a quarterly dividend for payment in Nov or Dec, however nothing has been announced. The last results update in September reaffirmed their intention to keep the same dividend level in place, so I'm wondering why this quarters hasn't been announced yet. It normally goes ex-div by the middle of November.
I'm wondering if they're close to announcing another disposal, which would somehow interfere with the dividend? Or is there another possible explanation? Hopefully nothing untoward going on.
GCP Asset Backed Income Fund (LON:GABI) redemption and divi announced today.
Redemption will total £33.5 million at a price of 76.6275 pence per share.
quarterly dividend in respect of the period from 1 July 2025 to 30 September 2025 of 1.58125 pence per ordinary share (the "Q3 Dividend")
https://www.stockopedia.com/sh...
Ken, I thought of you this morning and chuckled as I listened to the latest Money Makers podcast on the dog walk, which had Jim Strang, chairman of HgCapital Trust (LON:HGT) on it - at about 14 mins in he explains why they rarely do buy-backs. His rough calculation was that a buy back of £1 today is a future NAV reduction of £3 (based on the opportunity loss and their historic compounding rate). Also that the effect of a buy back may disappear almost immediately if it doesn't ease the sell pressure, ie could be a total waste of money....
On a separate note I found this episode to be deadly dull on the whole, which is unusual as I normally enjoy MoneyMakers.
Good spot re: HgCapital Trust (LON:HGT) Tim. I thought it was quite a technical discussion but certain points were well made. The underlying holdings are trading well. As you have said already, re: share buybacks, their estimate is that for every £1 spent on buybacks, £3 of additional future NAV is foregone and so they don't do buybacks. Re: valuations, they use the read across for SAP SE (NYQ:SAP) rather than NVIDIA (NSQ:NVDA) as the former is a better comparison. Software hacking is still the most serious threat to the underlying holdings and there have been a number of attacks that have been dealt with quietly before they got to the Marks and Spencer (LON:MKS) or Jaguar Land Rover situation.
https://tinyurl.com/bd3zcwxf
2 decent RNS from HgCapital Trust (LON:HGT) this last week: first one investing in a German software company providing accounting software and the second exiting a medical imaging software company at an uplift of 62% over the September carrying value. Seems to me they are finding deals to do and generating decent profits. £400m of liquid resources to deploy as and when required (16% of NAV which I assume/hope is getting some sort of return).
https://tinyurl.com/37npwbzm
https://tinyurl.com/3awskp9a
A few other things I have notice recently (mainly I am catching up on news covered by others on this board already!)....
I was okay with the Supermarket Income REIT (LON:SUPR) announcement this week. With so much invested in stores used by Tesco (LON:TSCO) and J Sainsbury (LON:SBRY), it makes sense to spread the risk by buying some assets used by Asda. Buying at a +3% above Jun-25 book value doesn't mean that much to me but Supermarket Income REIT (LON:SUPR) 74% exposure to investment grade tenants is good. I would not want to see the LTV go above 40%.
https://tinyurl.com/ms3mbt5c
I spoke with Simon Barnard of Smithson Investment Trust (LON:SSON) at Mello this week. I will write something separate up and share it when I have time. I spotted the following comments from Terry Smith in MoneyWeek a week or so ago re: Smithson Investment Trust (LON:SSON) transition to an open ended fund. I read this as Smithson being intent on avoiding any unnecessary confrontation with Saba and also the costs that some other trusts have incurred. It maybe the right answer!
https://tinyurl.com/dfd4fsy9
fwiw, I noticed the following on investment trusts and ouflows from UK equities.
https://tinyurl.com/f4r34d6e
I liked Kevin's comparison of AVI Global Trust (LON:AGT) with a similar ETF I think it was. The comparison is good as we should be open to changing our minds on an existing investment. Makes sense. I hold AVI Global Trust (LON:AGT) but I won't be selling. I like the themes the trust is invested in and there are no shortage of opportunities globally: small Japanese companies, private equity trusts trading at discounts and UK family run businesses. The trust is up +21% over 2 years and +56% over 5 years. I always like reading the fact sheets. The change in status of Chrysalis Investments (LON:CHRY) has had a negative impact but I think this is a rare (potential) loser for AVI Global Trust (LON:AGT). Next fact sheet will be an interesting read.
3i (LON:III) sell-off after the results a week back on Thursday shows why private investors should not buy trusts with a NAV dominated by one holding AND trading at a premium to NAV. The SP tends to revert after a while :-) Note there was some serious director buying the following day so I am almost certainly wrong!
Not a trust I know but Aviva (LON:AV.) released Q3 results this last week. Shares are up +32% over the last year. I could be tempted to top up as bar a couple of comments on softening in the domestic insurance market, all seems good. Developing a capital light model and there must be further savings from the acquisition of Direct Line. Any views ?
https://tinyurl.com/mzt526p5
I don't hold anymore but the Capital Gearing Trust (LON:CGT) half year results were a good read. Peter Spiller has been around for a long time and his commentary makes a lot of sense, especially the bit about national debts. When I read this sort of thing, I wish I was Norwegian and not British!
Our aim is to spend time worrying so that you don’t have to. As we write this, the list of things we are worrying about is long. Chief among them is the fiscal position of developed market governments, in particular France, the US and the UK. France is forecast to have a budget deficit of over 5% this year. Government debt to GDP has risen to 114% and the country is in political paralysis. By the end of the year it will have had at least 6 different prime ministers since 2024. In the US the budget deficit is expected to be over 6% of GDP. Indeed, by 2030, 100% of Federal tax receipts will be consumed by non-discretionary expenditure (social security, debt interest expense, Medicare & Medicaid). The entire discretionary budget (education, defence, the civil service, roads etc.) will be deficit financed. In the UK the fiscal position is slightly better, our budget deficit is forecast to be “only” around 4% this year. All three governments have a lot of bonds to sell.
The UK’s position is probably more precarious than that of the US or France. The US enjoys the exorbitant privilege of being the global reserve currency and France benefits from back-stopping by the ECB. Few need to own UK government debt. It is entirely plausible that any one of those countries (and several others) could suffer a fiscal crisis in the near future.
Bond markets have woken up to this. Yield curves have steepened dramatically as investors assess these risks and the higher returns needed to entice new buyers to buy the ever greater supply of government bonds. Yet equity investors have shrugged this off. The S&P500 trades at a CAPE ratio of 41x, against this measure it has only ever been more expensive for less than 1% of its history. When it comes to long-term prospective returns starting valuations really matter. If history is a guide then investors in the US can expect real returns of less than 1% per annum over the next 10 years. Of course, stocks tend not to move smoothly sideways: the path is more likely to include stomach-lurching falls. Nor are extremes of valuation confined to the Magnificent 7 1 : Walmart trades on over 40x earnings even though its cash-flow growth over the last decade has lagged inflation. Procter & Gamble trades on a more modest 21x earnings. Yet it only generates a free cash yield of 4.0% which has also grown slower than inflation over the last decade. When interest rates were zero these sorts of valuations may have made sense for so-called “bond proxies”. But the increase in real yields in recent years has been nothing short of extraordinary. In the aftermath of the Covid pandemic 10-year real yields in the UK reached -3%, since then they have risen to around 1.5% today. Surely, these valuations cannot make sense now, when 20-year TIPS offer real yields of 2.3%. Where is the equity risk premium – the extra payment for holding a risky asset over safer government debt?
Lots of dividends got paid out recently from my holdings: Edinburgh Investment Trust (LON:EDIN), Primary Health Properties (LON:PHP), Supermarket Income REIT (LON:SUPR) and Tesco (LON:TSCO). Not smashing the lights out but I wish I had started investing for dividend accumulation much earlier. My YTD 2025 dividends are now +20% higher than my FY 2024 dividends so I'm quietly content with that. It's progress. And it motivates me to keep going.
As a final thought, will we really have to go through the same market uncertainty in 3 months time when NVIDIA (NSQ:NVDA) announces it's latest quarterly numbers ? At some point, I suspect there will be a major pullback as unreal amounts are being invested in tech.
https://tinyurl.com/nbrn3nse
SSB
I see Seraphim Space Investment Trust (LON:SSIT) dropped last week by 7.5%. This patterns seems to keep happening, nmaybe investors who bought it when down in its 40 p range in March are cashing in. I have a holding, sometimes on dips I go over weight for my portfolio and if the dip happens again will buy again. This is the one trust I really do not understand why it is not trading at NAV at least. Interesting area of investments, assets seem to be performing. I can only assume investors are scared after Hydrogen Capital Growth (LON:HGEN) etc, but I really do think this one is different. I can see nothing to suggest the NAV is not accurate.
Yes Charles - Seraphim Space Investment Trust (LON:SSIT) is a frustrating trust, but I suspect that the drop was largely down to the general trend in markets - SSIT often makes slightly larger swings up or down.
I went to their presentation at Mello and found it quite interesting. I use this trust as my exposure to exciting private companies and I think I'll try and be patient with it and hope to reap the rewards in the future.
I think you are right in that the gap to NAV (33% discount) is not really explained, although I think its overall size might be a major factor as well - it is too small to attract the major institutions so somehow needs to get larger, although I don't think there are any clear strategies here.
To my mind it's my "mini-SMT" with loads of small niche hi-tech space based companies, but on a very small scale. Maybe it could merge with Augmentum Fintech (LON:AUGM) (47% discount) and help put that one out of its misery as well. Hoping Saba might appear on both of these share registers...........maybe I'm just dreaming..........
Well, my two penn'orth would simply say, our family holds a lot and is not selling, because I cannot believe the government will change the subsidy rules retroactively, and speeding up the change from RPI to CPI wouldn't have as big an effect as the recent share price markdowns. Also, they might as well throw their 2030 ambitions out of the window,as they'll lose the private investors in what is now the cheapest form of new energy. We shall know soon.
The other reason is that NextEnergy Solar Fund (LON:NESF) is quite a big vehicle, but Next Energy Capital, whose brainchild it is, is much bigger, https://www.nextenergycapital.... . They are a player and have voice in the development of the industry, with $4.5bn of assets under management, https://www.nextenergycapital.....
Lastly, if long-term interest rates decline, the considerable cash flow yield of this Trust, which is NOT over-geared, should attract attention again.
Yep, down day across renewables, up to 3% drops in NextEnergy Solar Fund (LON:NESF) ORIT TRIG FGEN FSFL.
On top of the general pessimism for these it might be selling down as part of pre-budget jitters. Alternatively could be related to the increased push back against the HICL Infrastructure (LON:HICL) Renewables Infrastructure (LON:TRIG) , which might jeopardise the merger (and thus makes corporate action for the other renewables less likely as a rescue route..).
I've nibbled at NextEnergy Solar Fund (LON:NESF) and Octopus Renewables Infrastructure Trust (LON:ORIT) today.
It is all interesting. I am close to buying back in, but happy to pay a bit more when I know the full situation re Gov. Though will we ever with the latest circus in town !
Investor Meet Company this coming week.
Value and Indexed Property Income Trust (LON:VIP)
VALUE AND INDEXED PROPERTY INCOME TRUST PLC
Interim Results
24th Nov 2025 at 4:00pm GMT
Ashoka WhiteOak Emerging Markets Trust (LON:AWEM)
ASHOKA WHITEOAK EMERGING MARKETS TRUST PLC
Investor Presentation
27th Nov 2025 at 9:30am GMT
Rockwood Strategic (LON:RKW)
ROCKWOOD STRATEGIC PLC
Interim Results
27th Nov 2025 at 10:00am GMT
First Property (LON:FPO)
FIRST PROPERTY GROUP PLC
Interim results for the six months ended 30 September 2025
27th Nov 2025 at 11:00am GMT
I wonder if there might be speculation this weekend around the stake building at Reach (LON:RCH) . A gentleman named Cecil Hetherington now owns 4%. The arguments for and against the investment case here are probably too well rehearsed to be worth repeating here. But one of them is that this is basically a pension fund, shortly to be paid off, with a cigar butt type declining, but cash generative media empire attached. The poor cousin of Smiths News (LON:SNWS) , which I have held for a while .
On PayPoint (LON:PAY) the RNS made me nervous and I sold on open and was looking at Unite (LON:UTG)
I didnt read this until today https://www.betterretailing.co...
key para for me:
Why was the Collect+ service disrupted?
“Our expectation has been that the enlarged Collect+ network for InPost / Yodel customers would result in increased volumes to mitigate these less favourable commercial terms,” Wiles said. “In the second quarter this has not been the case, with the initiatives from InPost to harmonise the enlarged InPost/Yodel business resulting in significant disruption to service and parcel volumes across the Collect + network.”
To minimise disruption, PayPoint had established priority routing and collection for its highest-volume sites.
Wiles added that the disruption had now been reduced, “largely managed through proactive actions from the two businesses and we expect to see volumes through the Collect + network recover as we move into the traditional peak trading period.”
The partnered retailers who were taken off the network have now also been readded.
... i,e, a one off transition issue - and had I read this yesterday, may well have sat on my hands
I did not move into UTG because it seems the number of chinese students is falling and they are starting to be ok with studying in China (I cant remember the source). Having said that as UTG are concentrating on "premium" universities there should be some insulation.
Hi andredwb
Yes, the reaction to what looks like a one-off issue for PayPoint (LON:PAY) seemed excessive. I added a few, the CEO rather more (which I thought was interesting, given that his existing stake was tiny). Of course, one-off issues often expand but I always feel that simple reporting of the unvarnished facts rather than attempts to obscure bad news indicate a company with a clear understanding of its business and a trustworthy management.
Unite (LON:UTG) are clearly suffering from a downturn in overseas students - Chinese especially - but I can't help but think that this is in the price. They are still expecting growth, just at a slower pace and a discount of nearly 50% seems excessive for a REIT that's the leader in its space, has a well covered dividend and no visible signs of distress. I haven't bought yet, and am pondering whether to wait for the next trading update or not. I do like former high-flyers trading at a discount, but am apt to buy too soon.
timarr
Timarr, Did some research on Unite- never invested in it. This was the AI conclusion"
6. Conclusion and Strategic Recommendations
6.1. Synthesis of Investment Case
The due diligence confirms that The Unite Group Plc is an exceptionally high-quality, defensively positioned REIT. The Group benefits from a widening structural mismatch between student demand (supported by strong demographics and high domestic application rates) and severely constrained PBSA supply. This imbalance enables sustained rental growth (4.0% secured for 2025/26 ).
Financially, the Group exhibits substantial resilience, characterized by conservative leverage (LTV 24%) and exceptional debt service coverage (ICR 6.2x). The dividend is well-covered by projected earnings (47.5p-48.25p EPS guidance for FY2025). The asset valuation is validated by RICS Red Book standards and confirmed by flat-to-positive capital growth in the Q3 2025 funds, demonstrating that income strength successfully defends asset values against yield pressure.
The primary operational risk, volatility in international student recruitment, is heavily mitigated by the strategic use of Nomination Agreements, which shift occupancy risk to institutional partners and cover 59% of beds. This contractual income base, combined with the structural consolidation pressure on UK HE providers favoring high-tariff institutions, solidifies UTG’s long-term position.
6.2. Final Assessment of Key Questions
Hi Charles
On Unite (LON:UTG) probably also worth running the numbers on potential acquisition Empiric Student Property (LON:ESP) as well. Concerns there over students living at home which could impact value.
It's cheap, but perhaps for a reason.
Grainger (LON:GRI) also interesting I think.
timarr
Thanks Timarr will have a look. Would students really stay at home? The Student loan pays for it and most of them will never pay back the student loan. I could not wait to leave home at 18 !
I live not far outside Glasgow and a couple of years back my kids were of Uni age and a lot of their friends got places in Glasgow (it is not unusual for Scottish students to stay local - back a few years I couldn't wait to get as far away as possible :-) ).
At the time (2-3 years ago) there was a shortage of Student accommodation and anyone whose home was within a set radius was not offered or guaranteed accom which meant stay at home (not unusual) or go private. There was also a lack of 2nd/3rd/4th year private houses to rent which meant more non-1st years also in private student accom (Unite/Empiric types).
Now, 2-3 years on this shortage is no longer there - either less overseas students (Chinese particularly) and/or more private accom now available. 1st years can get into halls & less shortage of supply for later years.
Hope that scuttlebutt helps with any decisions.
Hi Charles
UCAS data suggests a third of new students are planning to live at home, which is an increase from 25% a decade ago (frankly I don't know exactly what those numbers mean, but all sources seem to indicate a gathering trend). It's not clear what's driving this - other than the obvious issue of costs, although there are some suggestions that studying from home became normalised during the pandemic.
It's a tricky one: ex-growth Unite (LON:UTG) will probably fall even from here, and it'll take a couple of years for this to work through. The Empiric Student Property (LON:ESP) deal if it goes through would be enough for me to take that risk.
Grainger (LON:GRI), as a rock solid play on the rental market is also interesting - it's not going to shoot any lights out but it should provide an inflation protected income for a long time.
Obviously these are at lower yields than many of the other ITs around, but the dividend cover and balance sheets are rock solid, giving management an array of options to drive the businesses forward. The discounts suggest there is value here.
timarr
The issue is most students don't get the full living cost loan. As it is means tested on your total household income, most end up getting between 4.5-6k a year, which in a lot of cases doesn't even cover the rent payments in halls, never mind 2nd year private accommodation. It is expected that parents make up the difference. Obviously not everyone can do that.
Thanks- Having looked at URG and ESP the risk reward looks poor. I am going to buy back into Great Portland Estates (LON:GPE) . Bought and sold it this year, the price has come back 11% and I see no reason not to hold it. Huge discount to NAV.
"UCAS data suggests a third of new students are planning to live at home, which is an increase from 25% a decade ago (frankly I don't know exactly what those numbers mean, but all sources seem to indicate a gathering trend). It's not clear what's driving this - other than the obvious issue of costs"
I cant be sure of the exact figures as stated by timarr but this is broadly correct.
Students that live within travel distance used to stay either in private rented accommodation or halls. Parents were prepared to support this so that the student could experience an independent student life.
This has changed in the last couple of years and many travel from home. This is driven mainly by increased costs of accommodation and that many courses have online tuition with the student perhaps only being in university 2 days per week.
When students do stay in accommodation, they generally prefer private rented accommodation with 4 beds being the most popular.
Obviously, each university location has its own accommodation dynamics - a point which should be scrutinised when considering Unite as an investment possibility.
Gresham House Energy Storage Fund (LON:GRID) Stichting Privium Sustainable Impact Fund have just announced a 3.2% stake. As a fund specialising in sustainable impact investments this looks a vote of confidence.
Now the cricket has finished for the day ... has anyone been looking at Unite (LON:UTG)?
Discount to NAV of 46%, yield over 7%, dividend is well covered, debt looks comfortable.
There are concerns about occupancy - obviously, otherwise the price would be higher, with falls in overseas and particularly Chinese students. Rental fee growth is slowing. They're also awaiting approval for their bid for Empiric Student Property (LON:ESP) which would yield about £14 million in annual synergies if it goes through.
Reasons to be careful but very cheap ...
Also the PayPoint (LON:PAY) fall yesterday looks overdone. The CEO seems to think so too, having stuck his hand in his pocket for a few thousand shares.
timarr
Great days cricket Timarr.
Foresight Solar Fund (LON:FSFL) An AI look at the debt situation. https://docs.google.com/docume...
Was at Mello on Tue & Wed.
Richard Staveley was very impressive. It has confirmed my decision to keep moving towards a larger proportion of my investments to be held across funds & trusts - probably already about 2/3rds funds & trusts.
He is obviously a lot better at picking shares than I am (not surprisingly really considering he is a professional and I am purely an interested amateur).
I like his very concentrated PF and must say there were some stocks in there that do look exciting. So much so that I have this morning bought a holding across a variety of the a/c's I manage for the family.
Two or three other presentations made a strong case that we are nowhere near a bubble currently - strong acceptance that the Mag-7 are potentially stretching valuations and the US is quite expensive, but the overall take away was that the UK small cap world remains a strong opportunity - I appreciate I am taking a bit of a gamble ref next weeks budget, but timing has never been my strong point!!!
For the 3rd time in recent weeks, Supermarket Income REIT (LON:SUPR) has announced more additions to it's portfolio. All at 6.4 % yield or greater based on their acquisition price. And also a part disposal going to it's JV at a premium. Still the share price doesn't budge much...
Yes it is very strange. Ownership and sale and lease back of Supermarkets to the major operators (Tesco, Sainsbury, Carrefour, etc.) must surely be one of the safest property plays. Even in Covid the supermarkets stayed open and we know how badly business was hit otherwise. It seems retail investors don't want 6-7% income - Perhaps made greedy by the crazy capital gains (& valuations in the US)!
For those interested here is a summary of some research I have been doing on the Infrastructure and Renewable sectors. There was a lot more to this but asked Gemini just to do a summary. Most of my research for this was using the latest Gemini 3 Thinking asset. https://docs.google.com/docume...
Still more research to be done but interesting the thinking focussed on only a couple of Trusts. I did ask and got this response "
You are absolutely right to challenge this. There is significant value in the wider sector, but the reason I did not include funds like Bluefield (BSIF), Foresight (FSFL), or JLEN in the primary "Secure Income" recommendation is that they currently carry higher "situation risk" or complexity that makes them slightly less suitable for a purely defensive, sleep-at-night portfolio.
However, if you are willing to accept more complexity for potentially higher returns, here is the "Tier 2" analysis of the other major players.
1. The "For Sale" Sign: Bluefield Solar (BSIF)
2. The "Global" Alternative: Foresight Solar (FSFL)
3. The "Too Risky" Bucket: Battery Storage (GRID / GSF)
4. The "Validation" Bucket: Downing Renewables (DORE) & Harmony Energy
Updated "Tier 2" Comparison Table
If you want to diversify beyond the Top 3, here is where the others fit:
Recommendation update
If you want to broaden your portfolio from 3 funds to 5, I would add Bluefield (BSIF) and Foresight (FSFL), but keep the weightings lower due to the specific risks (Strategic Review & Australian assets).
Would you like to swap out the TRIG merger play for the Bluefield sale play? Bluefield is riskier but potentially has a higher immediate upside if a bidder emerges.
More bad news from Foresight Solar Fund (LON:FSFL) this morning in their trading update. NAV reduced by 6p, expect a large hit to share price to reflect that.
To add to the very long list of reasons for NAV falls across renewables this year FSFL seem to have found a new one - increased tax obligations (3.6p worth of NAV hit). Also looks like they have been unable to sell the Australian portfolio.
"Foresight Solar, with the support of a leading tax advisor, has engaged with HM Revenue & Customs in respect of its group tax structure. This process has been productive in respect of achieving an agreed position for historic tax submissions and providing clarity for tax obligations going forward. Having reached this agreement, however, the current best estimate of tax forecasts indicates that future tax payments will need to be increased, leading to a 3.6pps downside adjustment to NAV. The board has opted to include this estimate in this quarter's update, consistent with the Company's transparent approach. To the extent required, the directors will announce any future updates to the market."
Sounds like a new management team are required.
I am not happy with the FSFL report either, but largely because of this Tax review adjustment, as reported by Tim Boucher. There were various pressures on this particular vehicle, including the overbuild of solar in Spain and Aus. But those I can be more sanguine about in the long term, as there are huge volumes of battery submissions in both countries, which will eventually allow more solar energy to be sopped up and used, which should restore pricing.
But I had heard no warning of this tax review, for this or any other renewable company. I take a little comfort in the statement:
"Operational performance year to date is in line with budget, giving us confidence in achieving our dividend cover target for this year.
So if your AI was keen on them yesterday, it should see this as a buying opportunity? I have reduced my target price to 90p, on the basis of which this is still comfortable, but only just...
Bearish / Neutral. The investment thesis for FSFL has shifted from "steady income with growth" to a "deep value turnaround" play. The failure to sell the Australian assets removes a key catalyst for narrowing the discount (via buybacks funded by sales). Until there is clarity on the UK regulatory changes to inflation linkage, the stock is likely to remain in the "penalty box" relative to its peers.
"Based on today's announcement (November 20, 2025), the view on Foresight Solar Fund (FSFL) is arguably one of caution and disappointment. The update has effectively "kitchen-sinked" several negative factors at once—tax hits, failed asset sales, and regulatory threats—which justifies the sharp drop in the share price to around 66p.
Here is a breakdown of the announcement and what it means for the investment case:
1. The Core "Bad News"
The headline figure is the 5.9% drop in Net Asset Value (NAV) to 102.1p per share. While NAV drops happen, the reasons for this one are particularly frustrating for investors:
2. The "Sword of Damocles": Regulatory Risk
Perhaps the most concerning forward-looking element is the warning regarding the UK government's review of inflation indexation for Renewable Obligation (RO) and Feed-in Tariffs.
3. The Valuation View (The "Silver Lining"?)
Despite the gloom, the valuation has reached distressed levels:
Hi ragged, yes the tax review issue takes it from the sublime to the ridiculous - when the world is against you for circumstances that are largely outside your control (Trump cutting renewables, lower wind speeds, grid outages and curtailment, power price forecasts dropping, subsidy income at risk of being cut) the last thing you want to do is shoot yourself in the foot with a tax bungle!
It does look very cheap now. Gearing is 74% I am going to try and quantify that a bit more, but looks on the face of it bargain basement. Trouble is deciding what will produce the upside in share price.
Pleased I dumped my Renewables including Foresight Solar Fund (LON:FSFL) recently on my if in doubt sell rule. Plenty of other sectors and Trusts to check out as alternatives? e.g for a couple of big dividend payers Aberdeen Asian Income Fund (LON:AAIF) 6.5% yield or Henderson Far East Income (LON:HFEL) 10% yield. How about one of the Vietnam Trusts for reasons covered here several times? Or mainstream Global Trusts perhaps? And UK smaller companies are doing better at last. Plenty to choose from there? I’ve gone for top performing Rockwood Strategic (LON:RKW) . Or have some Renewables more potential upside than alternative sectors???
Not an IT, but after a bigger ex-div fall than expected, Ashmore (LON:ASHM) is now paying over 10% yield.
Hi Ken, absolutely - plenty to choose from, and Henderson Far East Income (LON:HFEL) is in my top 5 holdings (along with JGGI, SEQI, SMIF, CTY; FSV, BRWM,RECI not far behind; and the combined total of my UK 'dividend dogs' like MNG L&G PHNX etc is the largest 'group' holding).
Probably worth restating a point made previously (maybe by yourself!) that we tend to spend alot of time on this (very valuable) thread discussing 'non core' holdings, such as renewables etc. of which I am certainly guilty. I guess that is where the news and drama is (for e.g. where is the darned bottom for these trusts?!), but the reality is that the heavy lifting is done by the steady mainstream holdings above. Hope all is well with you.
Thanks Tim. Your post sums up my thoughts more succinctly than if I had posted it!
Down days like today are good for checking for sectors and shares that consistently hold up well. E.g REITS. I hold several of them and have held a few for years now. Best performer by some way has been Aew UK Reit (LON:AEWU) who issued latest results today. As always with Aew UK Reit (LON:AEWU) a model of clarity . Very good Results again….but unfortunately the good news is priced in for now. Well worth buying on the rare dips though.
I hold almost all the high yielders you mentioned and a lot more, both Trusts and shares, on top. Best yielder (but far too late to buy now after 75% share price gain) is Amedeo Air Four Plus (LON:AA4) paying 22% dividend at my buy price. Other high yielders for me aren’t high yielders now thanks to share price gains. E.g Blackrock Energy and Resources Income Trust (LON:BERI) which has more than doubled. I bought CQS Natural Resources Growth and Income (LON:CYN) at 88p for capital gain but it has just become a massive yielder at that buy price with new dividend policy of currently 24p a year via quarterly dividends of 6p. Non Trust high yielders include Chesnara (LON:CSN) and oil shares like Harbour Energy (LON:HBR) and Ithaca Energy (LON:ITH) ….both have more than doubled.
Perhaps too many smaller investors assume high yielders mean only small share price gains. WRONG! But with the proviso that you they usually have to be bought on dips. Thete aren’t many available now…..but if that’s wrong please post!
Hi Ken, thanks for your reply.
In terms of dips at the moment I’ve added 25% or so to Real Estate Credit Investments (LON:RECI) in the last month or so in the 1.22 range - this is basically the 5 yr low price, bar 3 mths in 2024 at 115-120p. Note it has hit 122 several times over those 5 years, so this is not a one off ’bargain’. 9.8% divi TTM, next ex div 5/12. Now in my top 10 holdings .
Also tempted to top up Taylor Wimpey (LON:TW.) as it is near my entry price now, but I’m thinking to wait until closer to the budget (given the end of the world is upon us !), and also hesitant as my confidence in this government getting anywhere near the house building target is much lower than it was when I bought in Sept 2025!
Tim.
I also hold Real Estate Credit Investments (LON:RECI) and Taylor Wimpey (LON:TW.) (Down 20%) and I’ve anlready invested all I want. But your post and the strange 44p gain for Persimmon (LON:PSN) today prompted me to add to an already winning stake. Persimmon has by some way been the best of my house builder holdings in the past.
As so often when some shares are down heavily on a down day, the likes of Phoenix group (LON:PHNX) Aviva (LON:AV.) Legal & General (LON:LGEN) M&G (LON:MNG) Chesnara (LON:CSN) and quality Trusts like City Of London Investment Trust (LON:CTY) the REITS and others are either holding up well or even up a bit. Vietnam Trusts also holding up well again.
And HgCapital Trust (LON:HGT) has never sold an investment at a loss, and they continued that record with their latest disposal announced today.
There are plenty of Trusts worth considering away from the most popular thread sectors covered here.
Interesting Tim, just did some research. Looks like the real return- so dividends less capital erosion is around 7%. Does that ring true with you ?
Hi Charles, yes for Real Estate Credit Investments (LON:RECI) the 12 mth real return is almost exactly 7%.
My holding is just under 5% return over the last 12 mths, due partly to some of my buy prices being in the 1.25/6 range, but also a good chunk of my current holding being built since the last divi. I view it as ballast in the PF...
Thanks Tim
More comment on the HICL and TRIG merger. I am not involved and will stay that way- looks like it could get messy ! https://citywire.com/investmen...
Carol Cadwallader's blog on the imminent AI bubble bursting. FWIW, obviously, and she may be wrong!
Thanks to Zho on advfn for sharing it.
https://broligarchy.substack.com/p/the-great-ai-bubble?r=nv9u6&utm_medium=ios&triedRedirect=true
Here’s a section from a very good article by Alistair Osborne in The Times today on the Renewables Infrastructure (LON:TRIG) /HICL Infrastructure (LON:HICL) merger.
Note that first paragraph on the big negative for the whole sector……..why risk betting on a wind farm or hospital when there’s 4.5% available risk free. Also note that yet again buybacks to reduce the discount failed abysmally and were a waste of money.
This does look a good deal for Renewables Infrastructure (LON:TRIG) shareholders. Hope so as I bought yesterday.
“Infrastructure is meant to be a whizzo investment. But Bane and his opposite number at TRIG, Richard Morse, are trying to fix an issue that’s dogged the sector ever since inflation brought an end to near-zero interest rates. When you can get 4.5 per cent putting your money into ten-year gilts — the so-called risk-free rate — why take a punt on a hospital or wind farm?
Hence, the duo’s bombed-out shares. Pre-deal, HICL’s were trading at a 23 per cent discount to its £3 billion net asset value, with TRIG’s lagging a portfolio valued at £2.6 billion, by 34 per cent. Indeed, the difference explains the reaction to the deal. It’s been priced largely off net assets, so flattering TRIG, despite future dividend adjustments. HICL investors get 56 per cent of any combo, with TRIG’s the rest.
Both companies have tried to close the discount. But as Bane put it: “Selling assets and reinvesting money in share buybacks has had no impact whatsoever on the share price.” And the tie-up, targeting a 9p dividend and an annual NAV return of 10 per cent-plus, should add “scale” and “liquidity”, as Morse put it, plus bring growth opportunities. It will also allow investors in TRIG, which is being wound up, to cash in up to £250 million of their holding at a 10 per cent discount to NAV.
Still, as Stifel asked, is this deal “what shareholders want?” — a fair question when it’ll cost up to £35 million in adviser fees, including for the banking trio of Goldman Sachs, Investec and BNP Paribas.”
Hi Ken
The extended article in the business section of the Times by Patrick Hoskings highlighted quite a few negative comments. Specific reference was made to CG asset management which runs the ‘defensive’ investment trust Capital Gearing Trust (LON:CGT) (which I hold along with HICL Infrastructure (LON:HICL) and Renewables Infrastructure (LON:TRIG) !). CG Asset Management are very much against the proposed deal though they apparently only have a £20m holding. The founder and CIO is Peter Spiller who has been managing Capital Gearing Trust (LON:CGT) since 1982 (40+ years in the industry!) and is a regular guest on Jonathan Davies Moneymakers podcast. You would expect with his experience that his views on the deal were worthy of significant attention. However, one assumes that the two boards have consulted their major shareholders for approval before announcing the proposed transaction. According to Stockopedia, Rathbones & Brewin Dolphin have a combined 20% of shares in HICL Infrastructure (LON:HICL) with Rathbones (again with 9%), Cheviot Quilter and RBC Europe sharing 20% + in Renewables Infrastructure (LON:TRIG). I would imagine they have been consulted and agreed but it still leaves quite a long tail of institutions who might club together to vote down the proposed deal. Then there must be a fair few income seeking retail holders in HICL Infrastructure (LON:HICL) who don’t want to see the trust taking on board a renewable investment which is part of a very troubled sector. Personally I would rather see the various renewable investment trusts (wind, solar and battery storage) consolidating to enhance diversification and mitigate single source income risk. The reaction of the shares today doesn’t inspire confidence that the deal will go ahead and I guess these articles in the Times are partially responsible. Watch this space I guess.
Hi ACounsell.
Agree with everything you posted. I had thought the merger would succeed despite all the noise against it, but the good Results from HICL Infrastructure (LON:HICL) today reinforces the case that it’s a very bad deal for HICL Infrastructure (LON:HICL) shareholders. Maybe that makes it more likely than before that sufficient big investors will vote it down.
I've only just had time to think about this (we hold Renewables Infrastructure (LON:TRIG) , but not HICL Infrastructure (LON:HICL) at the moment. While I think (obviously) TRIG to be undervalued, and one of the best diversified renewables trusts , this is not an outcome I foresaw, and the prices of both now seem to change the dynamic. Both are sitting at just over 30% discounts to NAV. On that basis, while I would take the cash element offer, I am tempted to swap some TRIG for HICL...
In a sea of red this morning Vietnam has bucked the trend and the Vietnam Index is actually up a bit today. See here:-
https://tradingeconomics.com/v...
Vietnam Trusts have served me very well and I now hold all 3 Trusts, having sold some of my VinaCapital Vietnam Opportunity Fund (LON:VOF) to buy Vietnam Enterprise Investments (LON:VEIL) for the first time. Vietnam Enterprise Investments (LON:VEIL) is the biggest Trust by some way. That might mean it’s the one most likely to attract bigger investors when Vietnam finally is officially an Emerging Market and Funds unable to invest in Frontier Markets perhaps look to buy in to Vietnam.
My now “forever” portfolio is so far holding up well on big down days. The big exception today is my mining shares that have taken a hammering.
See Hydrogen Capital Growth (LON:HGEN) is back and down further. Hardly worth my while selling so will sit and see what happens. The board and managers should be sued, but seems investors do not do this in the UK. There is little doubt the previous mangers were optimistic to put it nicely.
Was thinking of buying a couple of new smaller Co's following some further research at the weekend, but in line with keeping my PF manageable I will need to cut out other funds or shares so as to keep within my self-imposed 30-40 holdings.
So I sold Migo Opportunities Trust (LON:MIGO) this morning - whilst I liked the new strategy that was introduced recently I haven't seen much action beyond the initial bump. It isn't a great conviction holding for me so an easy one to cut.
Next I started to look at areas where I have more than one holding doing a similar job - and first off was emerging/frontier markets. I am sure I've highlighted this before, but Blackrock Frontiers Investment Trust (LON:BRFI) and Redwheel Next Generation Emerging Markets (UT) seem to have similar objectives.
Both have their biggest holdings in Banks/Finance, but after that there is not too much crossover/correlation. Based on the chart below, I am therefore tempted to ditch the two horse approach and jump on my highest conviction/return offering.
When looking at the 1yr chart they were level pegging until the tariff debacle at which point Redwheel showed BRFI a clean pair of heals. Redwheel currently seems to be consolidating, but hopefully a new run up coming soon.
Decent update from Custodian Property Income Reit (LON:CREI) recently (but spoilt by their intention to waste money on buybacks). Dividend is 7.6%.
And a positive update from Value and Indexed Property Income Trust (LON:VIP) today too. Needless to add neither share price moved! Dividend also 7.6% and intention remains to increase dividend yield.
In contrast Crystal Amber Fund (LON:CRS) has deservedly crashed today IF I have read it right that they are watering down their prime asset to invest in early stage alternatives. Richard Bernstein has left…..boardroom row about this?
Another sell continues to be 3i (LON:III) with most of their portfolio in just one investment……which issued a less than reassuring update recently. Not surprisingly the 3i share price took a hit, but 3i (LON:III) still trades at an undeserved premium bearing in mind that 1 company risk.
Jury still out on Henderson Far East Income (LON:HFEL) but they’ve got NAV up to 230p. It’s still at a small premium which means they can issue new shares and hopefully invest that money more successfully than in the past. Dividend still around 10%.
I hold all of them except Crystal Amber Fund (LON:CRS) . Also bought Renewables Infrastructure (LON:TRIG) today……if the merger goes through there’s useful upside including the 10% investors can tender, perhaps worth 90p? And with on line brokers investors often go for the default do nothing choice. That can mean we can apply for more than 10% and get a lot more than 10%.
Another possible plus is that this proposed merger has gone down badly, and maybe that could mean improved terms from a new bidder(or two) is a possibility?
Ken as you know I have been sceptical about 3I for a while now. Share price has gone up I admit, but my doubts remain. I have not numbered crunched the TRIG arbitrage yet, sure you are right most do nothing.
Views on the HICL Infrastructure (LON:HICL) TRIG news see daily list, most welcome!
The market has spoken snowdrop! - off the bat Renewables Infrastructure (LON:TRIG) is up ~7%, HICL Infrastructure (LON:HICL) down ~5%, which reflects the high level view of the 2 portfolios (as a pure renewables play TRIG NAV is questionable/at risk/a larger discount, whereas HICL is much more solid/diversified).
Maybe they will merge in Digital 9 Infrastructure (LON:DGI9) , same Managers and given the in theory discount could pick it up cheap and us long suffering shareholders would be relieved ! Since Sum Life are pumping in £100m to this merger, maybe DGI9 shareholders could have a cash alternative shareholders. I expect this sort of merger to start in the renewables sector. It would seem logical to think size and therefore the ability for diversification is the key to this sector. I might start buying back in, mergers tend to signal the bottom is near in an unpopular sector. No cash at the moment, but some due in shortly as my mother has finally decided that disposal of some cash might be a good idea to mitigate IHT- she is on the margin of the estate being over £1m.
Charles,
Made the same somewhat flippant comment regarding Digital 9 Infrastructure (LON:DGI9) over on today’s DSMR! We live in hope.
Seems reading Citywire merger has gone down badly. Seemed quite sensible to me. Take over a few more and the risks should be reduced. Not sure why they think another bidder might emerge, been on a large discount for long enough- the sector that is.
The Citywire article points out that Renewables Infrastructure (LON:TRIG) have actually proposed a dividend reduction this year, so the 9p a share is better than shareholders might have otherwise expected.
However, I can't help feeling this merger is primarily about the investment manager and board members protecting their positions. It doesn't really feel like it makes a great deal of investment sense. A counter offer might stir things up, although Rathbones (LON:RAT) are the major shareholder in both funds so will probably have an outsized say.
Overall I continue to feel that the current depressed state of renewables funds is more opportunity than threat - albeit one needs to take care, as not all of these funds are the same.
timarr
Agree Timarr am going to have a look.
From the FT Unhedged newsletter.
Investor Meet Company this coming week.
TR Property Investment Trust (LON:TRY)
TR PROPERTY INVESTMENT TRUST PLC
Investor update
17th Nov 2025 at 10:00am GMT
TwentyFour Income Fund (LON:TFIF)
TWENTYFOUR INCOME FUND LIMITED
Interim Results
18th Nov 2025 at 11:00am GMT
Capital Gearing Trust (LON:CGT)
CG ASSET MANAGEMENT
Capital Gearing Trust - Interim Results Update
18th Nov 2025 at 2:30pm GMT
HICL Infrastructure (LON:HICL)
HICL INFRASTRUCTURE PLC
Interim Results for the six months ended 30 September 2025
19th Nov 2025 at 12:00pm GMT
3i Infrastructure (LON:3IN)
3I INFRASTRUCTURE PLC
Half Year Results
20th Nov 2025 at 10:30am GMT
Argo Blockchain (LON:ARB)
ARGO BLOCKCHAIN PLC
Town Hall Meeting
19th Nov 2025 at 4:00pm GMT
Added Argo in case anyone interested with Crypto ETF's etc for retail investors launched.
Argonaut pout out a video this week to explain a bit more about their Flexible Fund which has just had its 1st birthday. So far a very successful first year returning about 45%.
https://www.argonautcapital.co...
I know some of us on here hold this fund - a global unconstrained long only fund. I also hold Ranmore Global which seems to follow the same approach and is another UT..
Appreciate this is not an Investment Trust or ETF, but as I always say I am happy to hold Unit Trusts if they are worth paying the higher charges for.
Hold both bought Ranmore after you mentioned a few months ago and Argonaut a couple of weeks ago. Doing well so thank you Kevin.
I am sure Ken will agree with this , but I am now routinely voting against Investment Trust share buy backs and disposing of pre-emptive rights. I am not going to influence a vote I know, but I do think all shareholders should vote and would urge everyone to do so. As Ken has often said buybacks rarely reduce a discount. If a Trust really feels it cannot invest and make money then do a tender at NAV for a % of the share capital. Wish they would let us vote on what Managers should be paid on- obviously Market Cap not NAV. That should encourage them. to buy shares with some of their fees. It should be obligatory for the holdings of managers (internal or external) to be declared however small. I would argue that boards should try and get Managers to take some fees in shares.
My feelings for the day, have a good weekend, loving the Kia EV4 we picked up on Tuesday , highly recommend it.
I certainly do agree Charles. Trust after Trust now are expressing disappointment that their large buybacks aren’t reducing the discount. Yet despite that they continue with them. Crazy. …….it’s not working so we’ll continue to do it.
Then also regularly, Trusts not buying back start big buyback programmes confident they will reduce the NAV discount. Why don’t those Managers look at the evidence from Trusts that have bought back and been disappointed that they haven’t worked instead of just believing the flawed theory? Too many well paid Trust Managers seem asleep at the wheel.
I’ll give just one classic example (of many) just this week.
Smithson Investment Trust (LON:SSON) have wasted almost £1 BILLION on buybacks, persisting with them even while expressing disappointment that so far they hadn’t reduced the persistent 10% or so discount. They ended up buying back around 40% of their shares and nearly halving the size of their Trust.
Then Saba bought in and under their pressure this week Smithson Investment Trust (LON:SSON) announced a decision to switch to an open ended fund with shareholders also able to sell out near to NAV less costs. That ended at a stroke the discount that £1 billion of buybacks failed to do and gave the share price a big lift that day.
Separately the last thing we want to see is a lot of other Trusts now doing the same as Smithson Investment Trust (LON:SSON. Far better that they except the reality that buying back shares to reduce the discount doesn’t work, and instead of throwing money away, either go for a tender offer near to NAV as Charles posted, or invest that money in new investments.
Ken, thought you would agree. Hope things getting better. Charles
HICL Infrastructure (LON:HICL) Not often a meeting is bought forward
Please be advised that HICL INFRASTRUCTURE PLC is rescheduling the presentation:
Interim Results - originally scheduled for 27 Nov 2025, 12:00 GMT.
The meeting will be rescheduled to 19th Nov at 12:00 GMT.
A further presentation invitation will be issued in due course. We apologise for any inconvenience caused.
Now we know why Charles - HICL Infrastructure (LON:HICL) and Renewables Infrastructure (LON:TRIG) to combine, RNS out this am. Key takeaways are:
"initial dividend target of 9.0 pence per share
Key terms of the Combination include:
- Issue of new HICL Shares: HICL will issue new HICL Shares to TRIG shareholders on a formula asset value-for-formula asset value (FAV-for-FAV) basis, with the exchange ratio determined by reference to the respective 30 September 2025 NAVs of HICL and TRIG. By way of illustration, applying the latest published NAVs for each company results in an illustrative exchange ratio of approximately 0.714173 of a HICL Share for each TRIG Share¹.
- Cash option: TRIG shareholders will have the option to elect for a partial cash exit of up to £250 million in aggregate, representing approximately 11 per cent. of TRIG's issued share capital, priced at a 10 per cent. discount to the 30 September 2025 TRIG NAV per share, adjusted for any share buybacks undertaken and dividends declared after that date²."
InterestingTim, I expect we will see more of this in the sector.
You were the early bird, apologies for duplicating
Foresight Environmental Infrastructure (LON:FGEN) . RNS this morning re impact of proposed Gov changes. I sense there could be an opportunity in this sector if prices continue to fall, one worth monitoring .
The Company invests across a broad range of environmental infrastructure assets with exposure to multiple revenue streams. As of 30 June 2025, approximately 29% of FGEN's portfolio revenues are derived from the UK's RO and FiT schemes with the remaining 71% earned from other sources of revenue - both in and out of energy markets.
Initial analysis by the Investment Manager suggests the following potential impact on the Company's NAV per share:
· Option 1: (RPI to CPI switch): Estimated NAV reduction of 0.5p per share (0.5% of NAV1)
· Option 2: (Temporary price freeze until CPI catches up): Estimated NAV reduction of 6.6p per share (6.3% of NAV1)
These figures are based on an assumed flat rate of CPI at 2.25%.
Estimates are based on currently available information and may evolve as the consultation progresses.
Fidelity Emerging Markets (LON:FEML) interesting in this name today 16.5m shares went through at 897p c.10% discount, any thoughts?
According to Gemini AI
Strathclyde Pension Fund has sold its entire stake in Fidelity Emerging Markets Limited.
Fidelity Emerging Markets Limited repurchased 16,441,177 shares from Strathclyde on November 12, 2025 (the date of the most recent announcement), for cancellation.
This transaction followed shareholder approval at an Extraordinary General Meeting. The repurchase was executed at a 14% discount to the company's net asset value (NAV) per share, resulting in an estimated approximate 4.5% uplift to the NAV per share for the remaining shareholders.
I was looking into the holdings for both Fidelity Emerging Markets (LON:FEML)
and Templeton Emerging Markets Investment Trust (LON:TEM)
TSMC is the largest position for both, and for those interested Naspers is listed in AMS as Prosus (31% stake in Tencent).
Citywire are on the renewables story today https://citywire.com/investmen... Always the optimist and and supporter of the green movement in terms of de- carbonising (within the parameters of the cost of production) I will wait to buy back in. There will be a moment and this flip-flop Government, that disappoint most days very sadly, will no doubt change their minds. They seem to lack confidence so much in policy they have to leak every option.
Having difficulty at present finding any Trusts likely to go up significantly short term along with big dividend. So until that changes (or new such Investment Trust suggestions here) I’ve had to opt for shares. There are Plenty of small or no dividend Trusts going up fast, but my focus remains income.
So today to utilise cash from my Regional REIT (LON:RGL) sell today, along with recent Renewables Trust sales I’ve bought Land Securities (LON:LAND) who report tomorrow and Lancashire Holdings (LON:LRE) which goes ex an 8.7% dividend tomorrow. Fingers crossed.
Obviously dunno what your portfolio cash balances are at present Ken but for now I think I’d have been tempted to hang onto it. Opportunities always crop up but for the time being, other than a couple of recent buys I’m biding my time.
I agree George that now is the ideal time to be top slicing or selling to raise plenty of cash for the next bear market buy opportunity.
For my health reasons though we’ve now got portfolios where I just tinker round the edges and let the rest just run with key focus being maximising dividend yield. So all my wife would ever need to do is to take the fast increasing cash out from time to time.
I’ve recently sold my Renewables Trusts and Regional REIT (LON:RGL) and they were all big dividend payers ……so the 2 new buys were simply to recoup some of that recent loss of dividend income.
Ken, do you have any of Volta Finance (LON:VTA) ,Chenavari Toro Income Fund (LON:TORO) or TwentyFour Income Fund (LON:TFIF) . OK, I bought the first two when they were down, and there is no serious capital gain to be expected now, but their yields seem solid, and certainly Chenavari Toro Income Fund (LON:TORO) and TwentyFour Income Fund (LON:TFIF) are fundamentally different. We have some of these in my wife's ISA and grandchildren's JISAs for similar reasons to yours.
I don’t and never have held Chenavari Toro Income Fund (LON:TORO) TwentyFour Income Fund (LON:TFIF) or Volta Finance (LON:VTA) but don’t half wish I had! I looked at them a good while ago and for reasons I’ve forgotten decided not to buy any of them.
If you’ve held them longer term you surely must have big gains and with dividends on top.
Here’s the AIC link showing the excellent performance for all three:-
https://www.theaic.co.uk/aic/f...
I can’t recall seeing posts on any of them here your post today. Did you post on any of them ahead of the gains?
Sorry, Ken: I invested in them before getting involved in this thread and knew they were rather arcane. I might have mentioned them once in a list of holdings.
To be clear, we are only in TORO and VTA at the moment, but considering TwentyFour Income Fund (LON:TFIF) , particularly for family members that might be considering borrowings for a good reason. They are not for trying to multiply wealth big time, but these are the instruments that make me groan about the £trn or whatever it is that the great British public hold in deposit accounts way beyond their 'rainy day' needs. I have always bought these only when they were yielding above 10% (and started when best bank, BS and NS&I were under 3.5%).
I attended Chenavari Toro Income Fund (LON:TORO) 's webinar presentation of their last quarter results two days ago (which you could catch up on https://www.chenavaritoroincom...). The managers are well invested in it. For those of a certain age like us, it can form part of estate planning, if you can borrow @ 4% and get steady payments of 10%.
For balance,Volta Finance (LON:VTA) is run by an arm of AXA Investment Managers and therefore has access to participate in loan deals with large European corporates. For cup-of-tea reading, https://hardmanandco.com/resea.... AXA/BNP own over 50% in combination. We use the Euro version, partly for currfency diversification, but there are sterling equivalents.
Both of them are highly invested in CLO structures, which of course got a bad name in 2007, but those were invested in US sub-prime mortgages. I think these are quite different, but DYOR!
No problem at all raggedtp. We’re all responsible for our investment decisions and I ignored an obvious buy opportunity when checking them out. . Good for you if holding longer term.
Interesting discussion on renewables and in particular the RO switch to CPI rather than RPI. I dont think that this will proceed, but knowing how politicians ply their trade, I would guess that this has been put there to provoke a reaction and as a warning shot across the bows. Subsidies are not forever.
I read the response from Greencoat Wind and thought it looked a bit weak, sort of along the lines - please dont do this to investors. It missed the point that the Government is now more interested in satisfying consumers rather than investors. More votes.
The more I read about UK wind production, the less I am convinced by the argument. The case for offshore wind production looks to be increasingly weak. I was stuck by a recent press article which stated that Government officials were
" revising down the predicted efficiency of wind turbines by more than a quarter as a result of “updated modelling”."
This seems quite a shocking figure to come out of the blue for wind in general. It was only a few years ago that wind was heralded as being a being a cheap saviour of our energy needs but now the fundamental calculations appear to be slowly eroded.
For those of us with long memories ( and have lived long enough) we can remember the day when a young Queen threw the switch on Calder Hall, our first Nuclear Power Station. Excited politicians and scientists proclaimed that electricity meters would no longer be needed as power would be so cheap that it would not need metering. Clearly that didnt work as expected.
Has wind been overhyped and the expectations too high? I would guess that there will always be some sort of a case for onshore wind - but the offshore is a completely different business in my view. Expensive to maintain and overdeveloped to the point whereby operators are now openly at war over wind theft.
I have looked at the renewables sector wondering if there is likely to be a cheap entry point at some stage. I think that there may be but it would have to exclude offshore wind and have a clear financial argument for onshore.
Not clear enough for me at the moment.
I think this is a good point I've considered buying into these business a few times but held back due to the sluggish progress getting new developments connected to the grid, the lack of battery storage to accumulate peak production and the fact that current electricity prices aren't sustainable for the UK economy which - if they do eventually fall - will be damaging to income and profitability, etc. It's difficult to know how this will play out I hope it is successful but only time will tell.
Again, I am more sanguine, even for wind, as the UK's battery build-out is ramping up well. You will hear about the huge lag in getting grid connections, but they are now beginning to prioritise projects that are actually ready to build, rather than just have a place in the queue. If you listen to people like Modo Energy, the British battery strategy is actually being admired and copied by other countries. The point is, the more storage, the less curtailment of wind and solar necessary, which should benefit all over the next 3 years. What depresses me is how short-term investors are. It's not AI-speed, but we are transitioning our power system SO much faster than Germany, we should be pleased. And for goodness sake, it's the only relatively fast way to improve our security and get prices down. You want a gas-fired power station? Good luck getting a turbine order filled before 2030 now. BUT, we do need long-term investment money. And if the government move the goalposts, the long-term money will withdraw. National Grid and SSE totally get it (see SSE (LON:SSE) rseults yesterday) and also admired internationally.
It is frustrating to me, as we have been on the edge of getting it right for so long. Rant over,
Thanks it is great to get that perspective, it’s a shame this isn’t hitting the media more given how important it is to the country and globally. Thanks for your insights.
See Life Science Reit (LON:LABS) is leaving the market. At this rate I will have more unlisted holdings than listed. I do not know what to do, loathe to sell at such a discount but as with HGEN I have an innate distrust of the liquidation "lat's take huge fees" process. "Life Science REIT plc is proposing a voluntary winding-up, through which trading on the stock exchange is expected to be cancelled.
There will be a general meeting held on 24 November 2025 to approve the cancellation of trading on London Stock Exchange, the winding-up of the company and to appoint liquidators.
If approved, trading will be suspended on the London Stock Exchange."
Saba hold 10% so not sure what they will end up doing.
My understanding is that the shares will only be suspended once the wind down has been completed in 12-18 months. Very similar to what is happening at abrdn European Logistics Income (LON:ASLI) . The general meeting in Nov will simply approve a new investment objective and policy, enabling the company to proceed with a managed wind‑down of its portfolio. This is a necessary step before asset realisations, capital returns, and eventual delisting in 18 Months or so
Thanks Nurzel. my gloom stopped me reading further when I had the notification from AJ Bell !! I can see now that it could be 2027 depending how fast they sell the assets. Taken Palace Capital (LON:PCA) a few years now to do the same. But the return should be good if they told the truth regarding interest and what could be achieved.
Last message on renewables for today: while Kepler is not an independent party, I think there analyst summarised the current consultation well: we have been here before.
"It is important to realise that this is only a consultation, and not necessarily an inevitable change. This is not the first time that a consultation on this has been initiated, with a previous consultation in 2023 focusing on a potential migration of ROCs to a fixed price certificate, which included consultation on ROC indexation. The net result of this previous consultation was that no amendments were made to indexation (or anything else).
It is fair to say that the UKW and the wider industry will be engaging in the consultation, and the UK government will be very aware of the potential impact of any changes on future investment in renewable energy development. With the results of the AR7 auction round due to be announced over the next months, we imagine the government will not want to dent the enthusiasm of developers, given this is a key step towards the UK’s net zero transition."
If you want infrastructure, but lower risk, don't forget GCP Infrastructure Investments (LON:GCP) (I hold). The quarter update was very reassuring on capital position, I felt.
Price to buy; <74p, reconfirmed NAV at 101p; current yield likely to be maintained @ 9.5% at this price. No mention of government indexation review, but less affected anyway.
"The Board reconfirms its commitment to the Company's capital allocation policy set out in the 2024 Annual Report and Accounts, continuing to prioritise repayment of leverage, as well as reducing equity-like exposures and exposures in certain sectors, whilst also facilitating the return of £50.0 million of capital to shareholders. At 30 September 2025, the Company had £20.0 million (30 June 2025: £43.0 million) outstanding under its revolving credit arrangements, representing a net debt position of £8.0 million (30 June 2025: £36.2 million) which compares to the Company's unaudited NAV of £848.7 million (30 June 2025: £864.1 million).
Further supporting the capital allocation policy, the Company bought back 8,937,270 ordinary shares in the quarter. In aggregate, the Company has purchased c. £23 million of shares since announcing the capital allocation policy.
The Company continues to progress transactions to dispose of assets in those sectors targeted in the capital allocation policy. If completed, such transactions would enable the Company to complete the capital allocation policy objectives of returning at least £50 million to shareholders and reducing the Company's outstanding debt to nil."
Hi Ragged I have been looking at GCP today for my wife's income portfolio. Here is a link to the AI report-https://docs.google.com/docume...
It's also(GCP Infrastructure Investments (LON:GCP) ex div tommorrow so will probably be available a bit cheaper.
I hold GCP Infrastructure Investments (LON:GCP) ; it is very much on the 'renewably' end of infra trusts, with approx 60% in "renewables" (although that is much more diverse than the renewable pureplays, with a decent chunk of biomass, hydro etc as well as wind and solar), so is less exposed to whitehall idiocy.
My preference in pure infra is Sequoia Economic Infrastructure Income Fund (LON:SEQI) , which has a much wider sector and geographical diversity, but as it is now a full position I've recently started buying International Public Partnerships (LON:INPP) to spread some risk. Although with ~70% in the UK INPP might also be exposed to whitehall idiocy!
I too hold GCP, SEQI & INPP - but also HICL, which you might want to look at.
Announcement from Smithson Investment Trust (LON:SSON) this morning suggests that another investment trust will disappear. Clearly the inability to reduce the discount to NAV (due largely to underperformance vs. benchmark I would suggest) through significant share buybacks and the presence of Saba with 16% holding has forced the boards hand. Not sure I want an underperforming OEIC with a 0.9% management fee given the track record to date. Provided the cash exit option doesn’t see a material reduction to NAV from fees (though they claim mostly covered by Smithson) probably take the money and look for better and cheaper alternatives. Any thoughts?
If I'd wanted a unit trust I'd have bought one.
If you're in for the long term the discount will pass, as will the lackluster performance hopefully. It's not just SSON most vehicles with a 'quality' bias have been struggling.
It's a quick buck for somebody and one less IT for the rest of us.
In an IT the manager can get on with managing holdings not redemptions and inflows which invariably happen at the 'wrong' times.
Interesting interview with Terry Smith who must be in the UK rather than Mauritius at the moment (unless it is a very good AI fake!) as I doubt AJ Bell would send Dan Coatsworth out there!! https://www.ajbell.co.uk/inves...
I thought he might put up a bit of a fight vs. Boaz at Saba but it seems he agrees with him.
Two new buys for the VIRTUAL PORTFOLIO please Number33.
BUY £2000 worth of Vietnam Enterprise Investments (LON:VEIL) at 752p and
£2000 worth of Rockwood Strategic (LON:RKW) at 286p.
Reasons?
Saba buying in to Vietnam Enterprise Investments (LON:VEIL) along with strong Vietnam market,
UK smaller companies look to be in a long overdue bull market. Rockwood Strategic (LON:RKW) has a very good performance record but weaker this year. Time for a move up?
VITP Trade confirmation
Vietnam Enterprise Investments (LON:VEIL), 263 bought @ 752.0p, Cost = £1,995.15
Rockwood Strategic (LON:RKW), 693 bought @ 286.0p, Cost = £1,999.39
Looking at the Virtual Portfolio isn’t it noticeable that it’s the longer term holdings that have done so well? E.g Look at the fabulous performance of the 3 still in the portfolio bought in 2016. I.e Fidelity China Special Situations (LON:FCSS) Up 185% and BlackRock World Mining Trust (LON:BRWM) QUADRUPLING and even underperforming Migo Opportunities Trust (LON:MIGO) Up 88%.
The same applies with the remaining 2020 buys with one doubler and two almost doubling. And most of the 2022 and 2023 holdings have also done well.
It’s SO easy to over trade.
It’s 2024 onwards that so far are disappointing……but given time that could change. Key is buying at bargain prices, if we can, and then running our winners and cutting losers once it’s obvious any are going wrong.
Patience can be key. It can take ages for shares and Trusts bought cheap to come good. e.g years for the likes of Aviva (LON:AV.) M&G (LON:MNG) Phoenix group (LON:PHNX) etc …but this year at long last they have soared.
I’ve neglected the Virtual Portfolio too often and failed to buy winning Trusts I had bought like Amedeo Air Four Plus (LON:AA4) paying a 22% dividend when I bought AND now up 88%. EXCLUDING those dividends. So if well run performance now would be a lot better still.
That’s what seems to be missing at present….Trusts paying big dividends but also with potential big upside.
Even so is it a fair claim that a quality longer term portfolio like the Virtual Portfolio can eventually look after itself? It’s up 126%. I hope this claim IS justified as I’ve now got a portfolio similarly with long term holdings in. Some holdings have sometimes tripled or more. Surely such a portfolio can ride out the next severe bear market……with the proviso that inevitably for a while the capital value would fall heavily?
VITP Update Correction
Apologies, due to some missing prices the growth charts in today's VITP update are wrong. The VITP value has not fallen this week in fact it's risen quite strongly.
The table and the bar charts are correct.
Corrected version below.
I’ve only just spotted this update from NextEnergy Solar Fund (LON:NESF) :-
https://www.stockopedia.com/sh...
Another potential negative for them and others in the sector.
Another potential negative for them and others in the sector.
Well, the consultation as a whole is a negative obviously, but there are broader issues. It's likely the industry will go legal if the government tries to impose this, as it's a potential breach of grandfathering principles.
More likely this is the opening gambit in a game where the ultimate aim is to reduce consumer costs: I don't put the chances of these changes being enacted anywhere over 50%.
The total savings are of the order of £300 million a year, compared to the £40 billion per year that the government needs to find to hit its 2030 targets. If the private sector demands a premium because the government can't be trusted not to renege on its promises the whole thing threatens to be the most almighty pyrrhic victory imaginable.
And there are other ways of meeting the government's short term aims. As Greencoat UK Wind (LON:UKW) suggested yesterday:
Specifically, renewables can further reduce consumer bills in the near term. The Review of Electricity Market Arrangements consultation included discussion of a voluntary Contract for Difference, where existing generators could agree to a fixed electricity price below the prevailing wholesale price. Generators and investors would receive price certainty through a scheme that is voluntary, and consumers would enjoy a price lower than the current market level without volatility.
Depending on take up, we estimate that this could reduce consumer bills by £30 per annum for an average UK household - substantially more than the proposed changes to RO indexation. It could also be delivered relatively quickly. Investors could expect such an arrangement to be value neutral.
I suspect that this is an opportunity - question is how lucky I feel. Still pondering that.
timarr
Hi Tim,
Re: Renewables Infrastructure (LON:TRIG) Greencoat UK Wind (LON:UKW) and most other renewables this comment in the 7 Nov Citywire article made me chuckle:
"Stifel analysts Iain Scouller and William Crighton estimate that the hasty change could add 100 basis points of risk premium to UK renewable investments.
‘The indexation proposals were clearly price sensitive, given the falls in share prices across the sector,’ they said. ‘We suspect the Department [of Energy] either forgot these listed companies with renewable projects existed or thought that the change wouldn’t have any impact on the valuations.’"
I wonder how likely this is to be true, and if this is another example of total incompetence?!
In either case I agree completely on the grandfathering/risk premium own goal point, as who in the private sector is going to commit the x billion that the government wants for their infrastructure 'wall of money' when the contracted revenue stream can be changed at will.
I wonder how likely this is to be true, and if this is another example of total incompetence?!
Well, I have some sympathy. It must be almost impossible to keep all of those spinning plates in your head if you only have a PPE degree from Oxford or Cambridge to fall back on ...
As Greencoat UK Wind (LON:UKW) noted:
The listed renewables market is a bellwether for investor sentiment and, in the five trading days that followed the Government's announcement, the six largest UK listed renewable funds[1] saw their combined market cap fall by circa £400 million / 5%.
Some heroic reverse ferreting on the way, is my guess.
timarr
When the policies of the inept politicians/eurocrats have caused energy bills to more than double, arguing over ways to cut £30 a year off a households bill is quite pathetic really.
Well, it is worth noting the piece within it that highlights the potential for prices to go up to compensate for a higher cost of capital imposed. It really wouldn't achieve anything for consumers. And I hope they are being told that some of these costs are rolling off over time, with new projects not requiring them.
"At this stage it is not possible for the estimations to take into account countervailing impacts of the investment uncertainty introduced by the proposals, such as increases in wholesale power prices caused by increases in the cost of financing the planned increase in UK renewable generation capacity."
Renewables Infrastructure (LON:TRIG)
Gents, am I wrong in my understanding that TRIG will go to a continuation vote at the June AGM if in the preceding year (FY25) the share price has traded at more than 10% discount to NAV?
Now given we are trading at 33% ish, we are being paid a 10% dividend (almost completely covered) and they have addressed the potential cuts in govt subsidies (0.6p-2.4p hit to NAV), then 7 months doesn't feel like a long time to wait for a highly likely positive outcome.
Sure it will take time to wind up and dispose of assets but if you're receiving a 10% dividend in the interim then it feels like a good asymmetrical trade, no?
I guess what I'm really asking is what's the risk here?
We will have over 15 investment companies at Mello London next week. For those keen on investment trusts, funds, VCs, PE, might be keen to join us and meet all these companies plus more:
Seraphim Space Investment Trust (LON:SSIT) Rockwood Strategic (LON:RKW) EJF Investments (LON:EJFI) Polar Capital Technology Trust (LON:PCT) Polar Capital Global Financials Trust (LON:PCFT) Smithson Investment Trust (LON:SSON) Aew UK Reit (LON:AEWU)Kelso group (LON:KLSO) Oxford Technology 2 Venture Capital Trust (LON:OXH) B.P. Marsh & Partners (LON:BPM) Mercia Asset Management (LON:MERC) Judith MacKenzie at Downing LLP & Richard Penny at Oberon.
It would be great to see as many of you in Chiswick next week.
Use code Stocko25 for 25% off tickets.
You can see the full schedule and secure your ticket here: https://www.melloevents.com/me...
Now reluctantly out of NextEnergy Solar Fund (LON:NESF) and have almost halved position in Foresight Solar Fund (LON:FSFL) . Replaced the former with Diversified Energy (LON:DEC) and added to my exisiting position in RWS Holdings (LON:RWS) . Thanks to Ragged for the heads up on RWS Holdings (LON:RWS) , where Richard Griffith, as far as I can understand the RNS, now controls a total of 8% of the company - via 5% direct shareholding and the rest via CFDs.
Henderson Far East Income (LON:HFEL) update today reads quite well, seems like their updated strategy is starting to pay off - still paying a 10.8% yield.
There's much to not like about Henderson Far East Income (LON:HFEL) - trades at a premium, lags the index and peers etc.
But it is a 17 year dividend hero, and the day those divis land is always a joy. Hence is a full holding for me....
I also am happy continuing to hold Henderson Far East Income (LON:HFEL)
It’s STILL not that clear that the new investment tactics are working and they’ve made some poor decisions like going in to overvalued India and then selling those at a loss, but the “Green shoots” of better performance are showing.
They seem to have done well with China timing, and this bit from their update IS reassuring with the first positive capital return since 2017:-
“Revenue
Dividend income from companies held in the portfolio fell by 11.1% while total income decreased by 3.1% compared to last year. This reflects a return to more normal revenues following the exceptional increase in income last year. Despite this, the year ended 31 August 2025 generated the Company's second highest revenue return per share ever as dividend growth continues to surprise positively in our region. Notably, the financial year just ended, has produced a positive capital return per share for the first time since 2017, evidence of our subtle shift toward achieving capital upside along with high income.
The geographical split of our income remains diverse with significant increases from Taiwan and Indonesia, and continued high income from South Korea. The corporate reform program in South Korea is driving a fundamental shift in the approach to shareholder returns and it remains a key income market for the years ahead. China has followed suit and is addressing underperformance of SOEs by requiring them to focus on shareholder returns.
More recently, Singapore has launched its own version of a corporate reform program. These initiatives are very positive for income growth in our region.”
There is still a lot of churning. Is that a continuation of doimg that to maximise dividend yield…..at possible cost to performance?
Another bonus is Henderson Far East Income (LON:HFEL) continuing to trade at a premium. This means they can regularly issue new shares and invest that money.
Henderson Far East Income (LON:HFEL) go a bit over the top in the update today including on the premium. The key reason they trade at a premium is the already big dividend (10.7% currently) is supporting the share price. If it was trading at a discount the dividend would be higher still. It’s a bonus they are taking advantage of.
I’ve held Henderson Far East Income (LON:HFEL) for multiple years and am still only break even excluding dividends. But add the big dividend and I’ve had a decent return and must have got my stake back by now.
As so often turns out the big share price dip earlier this year to below £2 was a very good buy or top up opportunity with dividend then over 12%. . I didn’t take advantage unfortunately.
So overall…..positive I think…..but other posters might disagree?
High yielder, but not IT, I note that Richard Griffiths has substantially increased his holding in RWS Holdings (LON:RWS) (I hold).
Thanks for that. I see he's now a 5%, which is reassuring after it's recent fall. I might even add myself, though I think there's still a lot of unknowns about the business case going forward: whether it will be net beneficiary or casualty of AI.
The unknowns are why the price is SO low, naturally. They are using ever more AI in their offerings, and I hold on because, as a former linguist, I feel you will need a checker guarantee for a long time, particularly with regard to legal, medical, military, safety and business translations in multiple languages. And if they win, they have a chance of being the biggest and actually increasing their 'moat'. But not without risk in a world that doesn't care much about truth unless they get sued.
raggedtp, interesting to hear that you're a linguist. Which languages and have you worked as a translator? Third question, how sustainable is the present dividend?
Only French and German (and could do reasonably from Italian and Spanish). But I used them personally in business, one of earliest jobs was creating obscure technical operating manuals for medical equipment in French and German. You don't want to get them wrong, and out of mother language is harder. Had friends who, as a couple, created one of the first totally digital nomad lives, using that newfangled internet thingy in about 1995, translating M7A documents, French to English and the reverse, but one was English and one French, each translating into their own mother tongue. And I have a nephew just qualified as an international patent lawyer. He started off working for an RWS subsidiary.
Both accuracy and intelligibility matter in all these fields. Someone has to check the AI, although it could help with drafting.
Thanks. Very interesting. Merci.
They are using ever more AI in their offerings, and I hold on because, as a former linguist, I feel you will need a checker guarantee for a long time, particularly with regard to legal, medical, military, safety and business translations in multiple languages.
To be effective commercial AI systems need two things:
The more specialist the area the more those two things are needed - in particular if the area is regulated. For example, ask any AI about something to do with shares and then ask if the answer constitutes financial advice ...
My question with RWS Holdings (LON:RWS) is whether they can offer those two things, because if they can they have a moat. Whether that moat protects their full business or requires some changes is another matter. It's unlikely any data based business with escape entirely unscathed from AIs.
timarr
So Saba have now bought a 5% stake in Vietnam Enterprise Investments (LON:VEIL) . Interesting?
I’l pleased I sold some of my VinaCapital Vietnam Opportunity Fund (LON:VOF) to switch to Vietnam Enterprise Investments (LON:VEIL) .
Vietnam Enterprise Investments (LON:VEIL) one year performance is good but like VinaCapital Vietnam Opportunity Fund (LON:VOF) is much weaker over 5 years.
See this link for performance, portfolio etc etc for all 3:-
https://www.theaic.co.uk/aic/f...
Saba are taking some odd stakes are they not ? Mainly through financial instruments so I assume borrowing stock from some where at a cost. Or maybe there are other ways nowadays to do this.
Real Estate Credit Investments (LON:RECI) has been fairly volatile over the last 6 mths, but is currently sitting on 1 year lows at 122p (if we ignore the liberation day aberration. It was 130p only 2 mths ago).
I've been part topping up this week, with a view to committing more after the end Nov earnings data (there is a risk that contains bad news, but if I'm honest it is difficult to tell if the decline is part of the pre-budget pessimism or genuine fact based caution).
Note goes ex div early December.
Oh, and I couldn't stop myself picking up Regional REIT (LON:RGL) shares just now for 104.54p. I think Stephen Inglis looked a bit depressed in the last presentation, and he'll feel worse now, having bought at 123.5 two months ago. But come on, 50% discount to NAV of real estate?
Hi ragged - any more info ref your purchase ie. what's the thesis. They def look good value - 50% discount, good dividend (just covered) etc etc. But are you aware of any issues as to why they are trading so poorly?
I’m keen to know too re Regional REIT (LON:RGL) . It’s been a tale of woe up till now. Unexpected lease breaks continuing? Debt £303million even after paying off the big bond debt, with next £97 million debt payment due in August. Overdue rental payments expected to be collected “in due course.” They needed a heavily discounted rights issue to pay off the £100 million or so bond repayment.
Bridgemere now hold about 22%. That’s potentially interesting,and why I hold a few…currently down 15%. Unless the next update shows otherwise Regional REIT (LON:RGL) looks a risky punt.
Trading update due this month. Best to wait for that?
I hold and have researched the reasons why - conclusion by Deep Research AI is " The extensive discount to NAV (approximately -49%) is fundamentally rational. It serves as compensation for the concentrated portfolio risk (91% regional offices), the structural risk of further property devaluation (NAV credibility risk), and the significant execution risk embedded within the multi-year recovery plan, with tangible results delayed until 2026. While the balance sheet has been de-risked via recapitalisation and LTV reduction to 42.2% , the market remains unconvinced that management can reverse the trend of historical NAV destruction. The discount acts as a protective margin required by investors until RGL provides definitive evidence that its core assets are appreciating or, at minimum, stabilising, and that the proceeds from disposals can be recycled assertively". Here is a link to the full report-a Google Doc https://docs.google.com/docume...
Thanks Charles for the fast Regional REIT (LON:RGL) reply. That seems to sum it up very well. I can’t open Google docs.
Try the link again please, had left the doc open !
Not quite sure which bit of the thread to submit my reply too, but anyway:
1. They have made some sales and say they are in legals at around NAV on some others. I have to believe the commercial market has bottomed, as it doesn't serve Stephen Inlgis and family to make false statements on that (see IMC presentation).
2. I like that their capex is improving EPC ratings substantially on those few properties they have started with, and they seem to be improving rental values on them.
3. Again, I am trusting in Inglis' contention that, not only has demand stabilised, but that supply is tightening and there are virtually no new starts. Given the need for many people to spend on modernising their commercial property, this bodes well for eventual rises in either rents or asset values.
4. He committed more money two months ago, which was 15% underwater when I bought.
I do always buy on a 2-year view, so, given the 9.6% forward div, don't feel the need for this to jump up in 6 months.
I have only bought a starter position, though, to make me monitor it more closely before I dare to involve any family money.
I am with you Ragged. Wish I had sold my Hydrogen Capital Growth (LON:HGEN) before suspension and bought more Regional REIT (LON:RGL) - looks like they will not trade again before listing removed and my experience with liquidators- in private and public companies is not greats. Fees manage to chew up assets very fast.
Hydrogen Capital Growth (LON:HGEN) trading again today, perhaps yesterday - may have missed it. But took the opportunity to offload my position (fortunately smallest in portfolio) at nasty loss. Lesson learnt in going after deeply discounted trusts.
I have just emailed the board advising them I will be contacting the liquidator requesting they investigate the board and managers conduct, and potentially involve the DTI. This is going on to often and the boards seem to take the fees with no vigorous challenges of managers . I may sell, sort of hoping for a miracle bounce! I bought because I was keen on Hydrogen, still am, but I hold the board responsible for this debacle.
Thanks raggedtp - apologies for the delayed reply, I am away getting some winter sunshine, so not on the laptop as often.
It certainly looks attractive, although has some higher risks around it, which tends to put me off as I am trying to reduce risk. However, I think on balance it certainly looks like it could have some positive returns.
Regional REIT (LON:RGL) trading statement out today:
https://www.stockopedia.com/sh...
Definite hint that the dividend may not be maintained:
The level of future payment of dividends will be determined by the Board having regard to, among other factors, the financial position and performance of the Group at the relevant time, UK REIT requirements, the interest of shareholders and the long-term future of the Company.
Debt down to £282 million, rent collection at around 98% for the quarter.
It is very cheap, and with Bridgemere backing it, unlikely to put capital at risk of total loss.
timarr
Thanks timarr.
I’ve cut the 10% loss on Regional REIT (LON:RGL) after that update. They tend to be over bullish but today that wasn’t the case. It’s a sell on my “if in doubt sell” AND always sell on a disappointing update rule.
Regional REIT (LON:RGL) looks cheap, and I agree that Bridgemere stake means that surely they won’t sit there and watch Regional REIT (LON:RGL) fall a lot further? But with so many quality REITS with secure big dividends available I would much rather add to my holdings in some of those.lookingahead. A high chance of Regional REIT (LON:RGL) dividend being cut again or cancelled?
Good luck to all continuing to hold. I agree there is a case for holding……..but for me there’s rarely a case for breaking my when to see rule.
Hi ken
RE: Regional REIT (LON:RGL)
Can't say I'm tempted either. However, I have added modestly to my Greencoat UK Wind (LON:UKW) and RWS Holdings (LON:RWS) holdings.
timarr
I know I'm a bit of a cheerleader for renewables, but this note from Kepler might help elucidate the scale of the threat to NAVs from the government's recently declared review into inflation linkages of subsidies, https://www.trustintelligence.....
I did actually buy more Greencoat UK Wind (LON:UKW) on Friday at 99.5p. I believe their dividend would still be adequately covered. On a broader note, I do also hope the review does not change things, because I believe we absolutely need to continue the renewables build-out, and this sort of thing runs counter to the government's own objectives of both carbon emissions reductions and stimulating growth. These may be historic subsidies not needed for future plans, but reneging on contract terms now would be shooting themselves (and us all) in the foot.
When looking at ITs does any one put any emphasis on the Return on Capital and Return on Equity figures?
No Go Softly. The only figures that could be of interest would be the P/E , ROC and ROE of the whole portfolio. Very few provide this and can be very difficult to calculate, though an AI like Gemini Deep research wpould probably give a good attempt if you had the portfolio. The figures I look at for the Trust are Discount to NAV, Yield and 3 and 5 year performance. The AIC has loads of data
Hi Gosoftly - I tend to completely ignore all of the Stocko metrics for IT's - they don't mean a lot.
For an IT I will tend to look at its basic figures from either the AIC website, or some of the normal brokers. I am looking for a discount, what its dividends are (and if looking for a dividend is it a good steady payer), what its specific holdings are and its recent history - 5yrs or so.
I will also try and find some commentary on it and will be looking for an understanding of what it is investing in, why and what it believes the thesis is. Obviously if it is in a specialist sector eg. renewables or mining, I will want to try and understand the sector as a whole.
If it has limited holdings in other companies (or a few that make up a decent % of its overall cap) I may try and look into these in a bit more detail, when you can obviously utilise the Stocko rankings a bit more.
Hope that helps.
Thank you Charles and Kevin, your replies are most appreciated.
Workspace (LON:WKP) attracting attention from SABA who have declared 11% holding. Discount to NAV still around 45% and yield just under 7%. Results update later this month. Share price seems to have found a base and may be starting to trend back upwards, though that might just be the SABA buying. I expect next results to be underwhelming but I believe there is a turnaround in progress and the continuing move to encourage staff back to the office may help here.
Comments from SSB and others re pricing of some US tech shares seems very rational, though the key players may prove us all wrong. I've been looking at Vanguard Total International Stock Index Fund;ETF (NMQ:VXUS) as a possible balance to my US holdings rather than trying to time an exit. Trading around $75 at the moment and has had a good year, especially post the Trump induced April dip. No Divi as it's an ETF.
In case it’s vaguely useful ……here are some of the big dividend paying shares and Trusts in our portfolios. Unfortunately for anyone looking to buy now most of them have (at long last!!!) gone up after being way undervalued for so long, but even now the yields are still high).
Aviva (LON:AV.) 675p (£4ish for so long). Dividend 5.4%
M&G (LON:MNG) £2.70….again £2 or so for ages. Dividend was in double figures but still a useful 7.5%
Legal & General (LON:LGEN) £2.40. Still looks cheap…..but with proviso….why hasn’t it joined in the rally? Dividend 8.9%
Phoenix group (LON:PHNX) £6.77 (£5 and lower for too long). Again the double digit dividend has gone but it’s still 8.1%
Aberdeen (LON:ABDN) £2 7.(from £1.60) 7.25% dividend.
Chesnara (LON:CSN) (dull for years around £2.20). £2.78 and now 7.8% dividend.
Smiths News (LON:SNWS) 67p. Way below for a good while. Not much upside but very big dividend. 12% including next special (20% for me luckily)
Aew UK Reit (LON:AEWU) £1.03. Fully valued at present. A buy on a dip. 7.75% dividend.
Supermarket Income REIT (LON:SUPR) 80p. 7.6% dividend. That buy opportunity at 70p was strongly plugged on Investment Trust threads.
BlackRock World Mining Trust (LON:BRWM) £6.40. (Buy opportunity around £4 was well flagged here). 3.6% dividend BUT this Trust pays a big final in up years.
Polar Capital Holdings (LON:POLR) £5.77. Best of the Fund Managers? Dividend still 8% despite share gain from £4ish opportunity.
CQS New City High Yield Fund (LON:NCYF) 51p. Very little upside but 8.9%.dividend) (I also hold Twentyfour Select Monthly Income Fund (LON:SMIF) ).
The next are the few of my riskier holdings:-
Gulf Keystone Petroleum (LON:GKP) £1.34 (from £1.30 ish) 9.8% dividend
Harbour Energy (LON:HBR) £2.30 (from £1.60) 8.5% dividend
Henderson Far East Income (LON:HFEL) (from £2). Way underperformed the sector but 9.8% dividend even after the recent share price gain).
Ithaca Energy (LON:ITH) £2.30 (from £1.50) Dividend 7.5%
I’ve not included holdings where the dividend is high (over 20% for a few) ) at my buy price, but not high enough now.
As ever comments/criticism/suggestions welcome.
Hi Ken, any thoughts on Ashmore (LON:ASHM) , healthy divi (just ex this week) and looks to be an improving chart until they went ex :)
The Ox
I hold Ashmore (LON:ASHM. A better opinion than mine on why is Graham Neary’s latest update on 14th October.
Thanks Ken. Yes i think its useful to list and I hold many of those highlighted. Just watched the Amanda Blanc/NIB interview highlighted elsewhere, impressive and fortunately one of my largest positions. I think the laggard is Legal & General (LON:LGEN) and I swapped this out for Sabre Insurance (LON:SBRE) recently hoping for more capital growth which so far has not materialised but paid to wait !
Good luck with Sabre Insurance (LON:SBRE) Chelsea. I bought not long ago.
Investor Meet Company this coming week.
Canadian General Investments (LON:CGI) CANADIAN GENERAL INVESTMENTS, LD
Investor Presentation
12th Nov 2025 at 10:00am GMT
Picton Property Income (LON:PCTN) PICTON PROPERTY INCOME LD
Half Year Results
12th Nov 2025 at 3:00pm GMT
Another podcast source - I have not listened yet but have a feeling it will be a good one: John Baron who writes a monthly piece for Investors Chronicle and runs funds over at https://www.johnbaronportfolio... with two of the portfolio's being sort of publically available via IC and running for long time ie since 2009. I have a feeling the funds portfolio that No7 does such a good job presenting on this thread might actually be performing better (not compared) but JB seems to know his stuff and has appeared on the Money Makers in the past.
Apparently this has been behind a paywall until very recently: https://podcasts.apple.com/gb/...
Any interest here in the Biotech Investment Trusts: RTW Biotech Opportunities (LON:RTW) International Biotechnology Trust (LON:IBT) and Biotech Growth Trust (LON:BIOG) ?
Owning some RTW I was interested to see that Saba have declared a holding of 5.03% (The position is broken down into ~2.33% shares and ~2.69% derivatives). (I also hold IBT)
https://quoteddata.com/2025/11...
Hi Peter, this week’s MoneyMakers podcast covered biotech trusts. I’ve not had a chance to listen yet, but could shed some light.
Peter, I hold BIOG. The biotech trusts have performed well over the last few months. Better than Polar Capital Global Healthcare Trust (LON:PCGH) which I also hold. I held RTW after the takeover of Arix, but sold once I had made a small profit, Arix had performed poorly. Not sure why SABA would target RTW as I recall its portfolio was not that liquid, 20-40% in unlisted.
Biotech Growth Trust (LON:BIOG) & International Biotechnology Trust (LON:IBT) both mentioned as Momentum Giants in recent IC. I hold the latter for 3rd party folio. Buy to hold.
I hold Polar Capital Global Healthcare Trust (LON:PCGH) , the healthcare sector seems to have ignored recent market volatility. There is also Worldwide Healthcare Trust (LON:WWH) that might be of interest.
I hold the same Cheeky. Having been in the doldrums for a while until this year things have improved
In the last couple of years, I have bought into some trusts that are in the AIC Debt - Loans & Bonds sector. These are CQS New City High Yield Fund (LON:NCYF), Invesco Bond Income Plus (LON:BIPS), CVC Income & Growth (LON:CVCG), M&G Credit Income Investment Trust (LON:MGCI) and Twentyfour Select Monthly Income Fund (LON:SMIF). These are all high yielding stocks that I picked up as part of a sort of plan to tilt my portfolio more towards income generation (I'm no spring chicken any more) and also to replace a couple of renewables trusts that I lost faith in. I know they are unlikely to make any capital gains, but the dividends are being reinvested at the moment and compounding nicely so far. Because they hold corporate and even private debt related investments, there are obviously chances of defaults denting them in the right (or wrong) circumstances, so they aren't exactly foolproof. They don't constitute a huge proportion of my holdings, but rightly or wrongly they are there. Does anyone have an opinion about these trusts or upon the wisdom or otherwise of holding them?
I’ve held CQS New City High Yield Fund (LON:NCYF) and Twentyfour Select Monthly Income Fund (LON:SMIF) for years. Haven’t looked at the others you hold, but presume they are similar. I agree with your case for them and the (probably not too worrying) possible risks. They’re very good income investments.
There IS some upside potential if ever able to buy on the occasional dips….which is what I did when buying both CQS New City High Yield Fund (LON:NCYF) and Twentyfour Select Monthly Income Fund (LON:SMIF. I’m up about 15% on both. Also that dip buy price has maximised the dividend yield. Conversely buying higher increases the risk of modest falls and reduces the dividend a bit.
Perhaps you’ll get better replies from other holders.
Hi Alan, I hold Twentyfour Select Monthly Income Fund (LON:SMIF) & TwentyFour Income Fund (LON:TFIF) for the same reasons. I'm trying to create an overall 7% or so yield within my drawdown account, so hold those along with some other non debt holdings that also pay high dividends - Aberdeen (LON:ABDN) , Legal & General (LON:LGEN) etc. I'm not too worried about the risk of the debt funds as I hold other high income stocks as well. I figure if there is a problem in corporate/private debt then there will be more problems to worry about than just these 2 funds!
Twentyfour Select Monthly Income Fund (LON:SMIF) & TwentyFour Income Fund (LON:TFIF) had a bit of a dip recently, so took advantage of that to top up - TwentyFour Income Fund (LON:TFIF) is currently paying 9.85%. Every bit helps.
I hold all those mentioned plus TwentyFour Income Fund (LON:TFIF) (which pays quarterly dividends) in various portfolios for their income. Never going to shoot the lights out but as you say if you compound the dividends at 8/9% plus buy on mini dips they are significantly better than 4% cash. Twentyfour issue interesting blogs on their website every few days on current economic issues which are worth reading.
Hi, I will be transferring some money from another pension into a SIPP in the near future. My plan is to hold this cash in a money market fund such as Royal London Short Term MM which I have used in the past. Perhaps I should look at other strategic bond funds (short dated) which would offer slightly better returns - any recommendations? I fear a market correction or crash in the US, so want to sit in cash or near cash, short dated bonds until (IF) this happens and then reinvest into the following split equally:
Artemis Global Income
Ranmore Global Equity
YFS Argonaut Flexible
I know this is a Investment Trust discussion and I hold lots of Investment Trusts but feel that the above three have exceptional records and differentiated strategies. Thoughts on IT alternatives or views on the above would be welcome.
I hold a couple of opened funds as well. There are some great performers amongst them.
Hi bsharman.
The Ranmore & YFS funds are two of my biggest holdings and I will add to over time as well - great track record (although shortish for YFS) and I like the managers styles - see earlier post today where I posted a Citywire article on the Ranmore fund manager.
I dont know much about the Artemis fund, but will take a look.
My "safer" money sits in Man Dynamic Income - not sure how it will react in an overall market correction, but it is a very safe and steady performer so far. It is a bond fund with a good global spread.
An interesting Citywire article by Sean Peche (Ranmore Global Growth - UT Fund Manager) https://citywire.com/investmen...
It provides a slightly different perspective on the continued US tech mania.
I have differing views here - I did sell out of a lot of US prior to the Tariff implementation earlier in the year, which at the time was a good move, but has subsequently been shown to be not a good move.......doh.
Whilst I do have some US exposure it is not great, and all of the signs are beginning to show a readiness for a correction...............just when, and will it be more than a correction???
I often temper my thoughts that when I begin to feel "defeated" and its time to jump onto the bandwagon, then that's the time for me to STOP as more often than not thats when the peak comes. I have recently been toying with some more US exposure, so maybe thats the time to stop.
Who knows, we all have to make calls and only time will tell, but for me I think its time for some risk-off.
Ranmores 2% in uk B&M European Value Retail SA (LON:BME) is not quite risk off?
Sorry - I meant, taking some money off of the table completely and holding a cash reserve. This would likely come from single co's rather than my collectives where I tend not to do much trading in & out.
I haven't got any intention of touching my Ranmore or YFS Argonaut Flexible.
Kevin, I have invested in Argonaut Flexible. Did some AI deep research on it and its 0% holding in tech and general approach suit my thinking at the moment in what could be unsettled markets . Still a way off but the USA mid-term elections are looking interesting after recent electoral success of the Democrats.
Presumably this was the reason for the recent falls in Renewables Trusts. I got rid of mine a while ago……and will be selling the one I bought back Foresight Solar Fund (LON:FSFL) (but can’t remember why) tomorrow.
https://citywire.com/investmen...
Good luck to all continuing to hold any of them.
EDIT.
In case a lot of readers haven’t signed up for Citywire articles, here’s the first part of the one in the link above:-
“Premature scrapping of gov subsidiaries could thrash renewable trusts
Many renewable infrastructure trusts rely heavily on FIT and ROC payouts, which could be cut as soon as April next year.
BYTOM AYLOTTTwitterFacebookLinkedinWhatsAppprint
Renewable energy trusts have been in decline over the past week since the government announced a surprise plan to cut back subsidies to the green infrastructure sector.
These government incentives make up around half of these trusts’ income in many cases, so could have a material impact on their profitability should they be slashed.
Feed-in Tariffs (FITs) and Renewables Obligation Certificates (ROCs) have long been used to support renewable energy producers and the government had not planned to reduce these payouts until 2030, giving green infrastructure trusts plenty of time to adjust their models in advance.
However, these handouts could be pulled back as early as April 2026, making the impact ‘much more immediate’, according to Stifel analysts Iain Scouller and William Crighton.”
I’ve now added the first part of the Citywire article to my previous post. If holding any Renewables Trusts, it’s worth reading it.
Hi ken
I can't read that article but broadly it's important to understand the differential impact of the subsidy changes across the sector.
For example Octopus Renewables Infrastructure Trust (LON:ORIT) have published analysis today showing NAV impact of between 1.1p and 3.9p, pretty much immaterial in the context of the overall discount. Renewables Infrastructure (LON:TRIG) state that their impact would be between 0.6p and 2.4p.
Some trusts - NextEnergy Solar Fund (LON:NESF) Foresight Solar Fund (LON:FSFL) and Bluefield Solar Income Fund (LON:BSIF) look like they may be significantly impacted. Greencoat UK Wind (LON:UKW) will also be affected but is unlikely to be permanently damaged.
The indiscriminate selloff in renewables trusts is, I think, throwing up opportunities. I would, however, be wary of the discounts, which tend to be model generated. Cashflow will be critical here.
timarr
Your assessment of the Trusts most and least affected was spot on timarr. I’ve pasted below the section of the Citywire article that covers that.
It’s well worth registering (it’s free) for Citywire updates. There are some excellent articles etc on Investment Truss provided by them, including a weekly “Trustwatch” article covering the biggest winners and losers that week and why.
Here’s the Citywire paste including the Trusts most and least affected:-
“Investors are likely to be wary of allocating further capital to the sector and are likely to demand a risk premium in case further changes come out of the blue, such as changes to subsidies.’
Previous governments were happy to grant these incentives in the past – in 2002 for ROCs and then 2010 for FITs – but could not have anticipate the sharp hike in energy prices in recent years.
The FIT scheme alone is forecast to cost the government £1.9bn in 2026/27, with the value of ROC ramping up to £8.5bn in 2026/27.
With chancellor Rachel Reeves looking to reduce the government’s around £25bn budgetary hole and UK households spending significantly more on electricity bills, cutting payouts to renewable energy companies could be a cost-saver.
A reduction of any kind could have a sizable impact on many renewable investment trusts, with the subsidies accounting for half of the revenues, and sometimes more, for Bluefield Solar Income (BSIF), Foresight Environmental Infrastructure (FGEN), Foresight Solar(FSFL) and NextEnergy Solar (NESF).
It could lead these high-yielding trusts to reassess their lofty dividend payments.
If the government’s cost-cutting mission stretches further to impact Private Finance Initiatives (PFIs) too, then broader infrastructure trusts could be also hit, according to Scouller and Crighton.
They highlighted HICL Infrastructure (HICL) and International Public Partnerships (INPP), which are relying on these incentives staying in place until 2030, though they may be less vulnerable than the renewables funds.
‘A lot will depend on how legally watertight the PFI contracts are on the indexation mechanism that can be used, with some in the industry suggesting they may be more watertight than the renewable subsidy mechanisms,’ Scouller and Crighton.
Renewable infrastructure trusts holding a lot of UK assets are particularly exposed to the subsidy rollback.
Bluefield Solar Income and Greencoat UK Wind (UKW) hold their entire portfolios in UK assets, with these also making up the majority of Foresight Environmental, NextEnergy Solar and Foresight Solar’s holdings at 89%, 84% and 75%, respectively.
Octopus Renewables Infrastructure (ORIT) looks to be the most well insulated, with just 40% of its portfolio held in UK assets. However, it will not be entirely shielded from cutbacks.
Of all these trusts, Bluefield Solar Income was the worst hit initially, with shares tumbling 8% on Monday.
Its income is particularly exposed to ROCs and FITs, but the downgrade was also exacerbated by its unpopular proposal to merge with its manager and do away with its investment trust status last week.
It scrapped this plan today after ‘a majority of shareholders expressed a clear preference for alternative value-maximising options’ and will instead look to sell the portfolio – that has helped the shares make up recent losses.
Winterflood analyst Ashley Thomas said it was ‘unfortunate’ timing given the recently announced ROC and FIT wind back, making a potential sale challenging.
At time of writing, Greencoat UK Wind and Foresight Solar’s shares are both down 5% since last Friday, while NextEnergy Solar Fund is down 3.7%. “
Hi Ken, in response to your query about why you re-purchased Foresight Solar Fund (LON:FSFL), I had saved this comment from 9 October 2025.
The link to that post below:
https://www.stockopedia.com/co...
Here it is in full:
-----------------------
ken mitchell - Joined 20161, 733 posts - Oct 9, 2025 - In reply to raggedtp
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.
-----------------------
I think it must have been then that you re-thought and decided to re-invest in FSFL. Hope that helps with recalling the situation, as it was then and narrow down the discussion at that point.
(Probably too much information, but this is my involvement in this sector as of tonight - all fairly modest holdings compared with many here, except for SEIT which is around a 4% position in my portfolio:
I still hold (for now) 'Renewable Energy Infrastructure' holdings (AIC Category - from https://www.theaic.co.uk/) - FSFL, NESF, GSF and FGEN - all showing losses (for me) ranging from losses of -14% to -34% !
I’ve sold BSIF also at a loss recently but have hung on to SEIT at gains of +14% and TRIG at +4%, being the larger players, which are at least somewhat positive news for now, but who knows how things will develop.)
Thanks Hn90kl
That must have been one of the posts that tempted me to buy Foresight Solar Fund (LON:FSFL) again. I’ve just sold it for a small loss but most of that made up for by the dividend to come.
Well, yes, I was that poster, so I'm sorry if you sold at a loss, Ken. I see my family is about -4% on aggregate at the moment, and while UK solar funds will be more affected, I think people should see this in the longer-term context of the need for electricity, which is now slowly rising and also the pivot some of them will be able to make to form Power Purchase Agreements directly with offtakers who care, which is as it should be. Yes, they will lose some current NAV, but when interest rates have declined another .5% over the next 6 months, their discount rates will also decline, with a corresponding increase in NAV. I think people will be looking harder for yield (and they would be a valuable stabiliser if the US tech market loses its shine and pulls some of the rest down).
I am a comfortable holder at these levels ( and even considering increasing holdings in Greencoat UK Wind (LON:UKW) . Curretn dividend well covered, and wind levels have normalised since September.
Thanks raggedtp. I hope your confidence proves justified. No problem with my small loss (bought at 76p and sold at 72p but dividend to come).
I would never blame a poster for a decision I make. We’re responsible for our own decisions.
B.P. Marsh & Partners (LON:BPM) Whilst not a trust (I hold) I would argue it is very like one, investing in early stage financial businesses such as insurance, financial advice etc . Trades on a large discount to NAV of 906p with a current share price of 674p. Good track record and seems rather overlooked recently, maybe as yield is just 1% or the area they invest in. Look at the long term share price chart and has done OK. Latest meeting is here.https://www.investormeetcompan...
Charles re BP Marsh and Partners your view and figures are backed up with a recent very bullish write up by Simon Thompson of the IC titled “this Insurance Investment company is a bargain buy”. At the price of £6-71 he quotes the 37% discount to the recently revised £9-56 ex cash NAV while also carrying conservative valuations. The full article is well worth reading . The share has delivered impressive upside over the past few years but has trodden water over the past 12 months despite impressive newsflow and the increasing NAV. I’ve held in the past but sold out for a nice gain with my sale perhaps influenced by the lack of dividend. However agree that the stock certainly looks interesting again!
Londonmetric Property (LON:LMP) now hold a 10% stake in Schroder Real Estate Investment Trust (LON:SREI) . Good chance they will bid but at what price? The share price gain has already partly priced in a bid. NAV is 65p …..so my guess is around 60p. Can’t see Londonmetric Property (LON:LMP) or anyone else willing to pay full NAV. I’ll continue to hold obviously and see how things pan out.
Yes, thanks for bringing to attention from previous posts. I have just completed my final purchase of Schroder Real Estate Investment Trust (LON:SREI) , now up to a full position, albeit, unfortunately, outside my ISA tax wrapper. There's a useful dividend to be getting on with in the meantime. I don't know whether REITs like these are exactly crashproof, but it's certainly part of my dividend/value strategy to hold shares that will continue to pay out dividends should markets take a tumble. I have a similar position now in Tritax Big Box REIT (LON:BBOX) and British Land (LON:BLND) for similar reasons.
Ken, Look pretty likely now. SREI should really make a statement, they must be talking to LMP if only to discuss why the stake.
Montanaro European Smaller Companies Trust (LON:MTE) I found the talk quite interesting and open about reasons for the recent under-performance. I hold it and on the basis of this meeting will increase when funds available. The link to the recording is here https://www.investormeetcompan...
‘Another one bites the dust’! Bluefield Solar Income Fund (LON:BSIF) announced intends to throw in the towel and seek buyers for its business. Given the catastrophe that is unfolding in the renewable infrastructure sector who will buy the trusts or its assets? Inevitably if other sales or managed wind downs are anything to go by shareholders will most likely be getting a massively reduced return vs. already massive discount to NAV. Guess shareholders can only hope that one of the bigger players in the sector Renewables Infrastructure (LON:TRIG) or Greencoat UK Wind (LON:UKW) might take the opportunity to further consolidate the sector. Though given their respective discounts to NAV meaning can’t issue new shares and existing debt levels where would the cash for an acquisition come from?
This section from the Bluefield Solar Income Fund (LON:BSIF) shows the problems facing other Renewables Trusts too. It was one of the reasons I sold nearly all mine:-
”Despite these strengths, the Board has nonetheless recognised the structural challenges facing listed renewable investment companies. As highlighted in the Interim Report published on 27 February 2025 and the 2025 Annual Report published on 21 October 2025 (the "Annual Report"), BSIF's shares have traded at a persistent discount to NAV for over three years, limiting access to equity markets and constraining growth. Earnings have been directed toward dividends rather than reinvestment, leaving the Company unable to fully benefit from its platform, proprietary pipeline and growth.”
As an aside …the only one I hold is Foresight Solar Fund (LON:FSFL) . I had sold that one too but bought back after persuasive posts here ……..but have forgotten why those posts were so convincing. Can anyone remind me please?
Hope it was not be - I did a rather vote-face on these funds. Frankly I would like to see one large fund doing these infrastructure investments battery, solar, infrastructure. Then we would have a vehicle that could weather one storm in an area. It is such an important area for the future of the battle against climate change and the need to develop the next level of infrastructure for AI and communication. Throw in Quantum computing and what an interesting fund, albeit it would need a deep pocket.
My thoughts on the BESS Battery Storage trusts - ignoring what has gone wrong on the income (incoming) stream to these funds, the purpose of these is more to pay a steady utility like income themselves (or at least I assume that is how they were originally sold to the market)? It does seem that battery storage being a relatively new tech, is coming on leaps and bounds. Therefore the IT approach of running an asset for long term income stream might not be the best if opportunities to replace/upgrade the BESS occur start appearing every few years.
Basically stand alone IT's could be the wrong vehicle? But could do well as part of a diversified type trust as mentioned above.
There has been articles in the FT recently about Quantum computing expressing concern the UK will miss out as US firms buy up any interesting companies, such as Oxford Ionics. So did some AI research which only managed to identify a couple of UK listed opportunities, including Edinburgh Worldwide Investment Trust (LON:EWI) who have a large. holding in. a US quantum company. There is an ETF WisdomTree Quantum Computing UCITS USD Acc ETF (LON:WQTM) . The report is here https://docs.google.com/docume...
WisdomTree Quantum Computing UCITS USD Acc ETF (LON:QWTM) if you prefer GBX rather than $.
Thank you Cheeky Minnows
Good Morning, Can anyone help me on Sequoia Economic Infrastructure Income Fund (LON:SEQI) ? I bought them in February for their defensive qualities and chunky 8% dividend. Since then, they have performed as expected with the share price staying about the same but a very nice dividend arrives in my account four times a year. I know that stock ranks are unreliable for Investment Trusts but they have dropped from 99. to 70. Am I missing something? Many thanks
Pat, I can't help you directly with your question, though I seem to remember Ken Mitchell saying something a while ago about the unreliability of Stocko metrics on infrastructure funds - but perhaps Ken can correct me? I do hold Sequoia Economic Infrastructure Income Fund (LON:SEQI) along with several others similar, as can be seen from my folio and it never causes me a moment's sleep. Although it doesn't go up, it does, as you point out, contribute reliable and regular dividends.
However, this clip might help you discover more about the sector, though GCP Infrastructure Investments (LON:GCP) is front and centre. I believe it does also mention Sequoia Economic Infrastructure Income Fund (LON:SEQI) as fund with similar, if subtly different characteristics.
AIC Investment Company Showcase 2025 | Infrastructure: The backbone of your income portfolio - YouTube
Perfect ! Many thanks
Pat.
I don’t use Stockopedia stock pages for Investment Trusts as some of the figures from Refinitiv (who supply them to Stockopedia) are unreliable and sometimes irrelevant for Investment Trusts. Others are useful, but key info like NAV and discounts etc are not included.
I use “AIC compare companies” and if you use this link it shows all the Trusts in the Infrastructure sector including Sequoia Economic Infrastructure Income Fund (LON:SEQI) . And if you then go to the Trust heading in red that brings up masses of valuable information,
https://www.theaic.co.uk/aic/f...
Hope that helps.
Ken and Brucie, Sequoia Economic Infrastructure Income Fund (LON:SEQI) - still looks good to me and GCP Infrastructure Investments (LON:GCP) looks very interesting. Thanks for your help
Pat- I would ignore the Stock ranks for trusts personally.
What have I missed with regard to the big drops in Bluefield Solar Income Fund (LON:BSIF) , Renewables Infrastructure (LON:TRIG) and Gore Street Energy Storage Fund (LON:GSF. Has there been some negative announcement re renewables or is it just more fossil fuel mania emerging from the dictator in the White House![
ACounsel, Mike Ridyard is worth following on Twitter, if you ever go there. He suggests today's hit to Renewables is because the government's proposed shift of indexation from RPI to CPI in relation to subsidies... Starting April next year. I think I've got that right... But he remains positive on the sector, as an income based PI.
I see that you have some replies to your question. Just to add a few points..
I notice that prefs are also down slightly so I would guess that there has been some analysis which points to inflation being slightly higher for longer. Something that could be possible if the BOE maintains its stance of using interest rates to combat inflation.
Any dividends that are supported by the ongoing sale of assets would probably be seen as being more risky. and hence the underlying stock would fall.
On a more vague and general note, it could be that Mr Miliband is losing some influence in Government. One of the tax rises floated pre budget was the idea of business rates on charger operators. I doubt that he would have supported this..
https://www.theguardian.com/en...
As discussed elsewhere, the commitment of household energy being £300 cheaper at the end of Government term has reportedly been dropped from latest strategy document. I think he (unwisely) nailed his colours to the mast here.
I think it is too early to be bearish about renewables. One area I would be fairly cautious about however would be offshore wind. I cant see this ever being viable without heavy subsidy.
Surely the North Sea is the one place that offshore wind should be viable if it's going to be viable anywhere. It's shallow, flat as a pancake, has loads of existing support infrastructure due to the oil industry, loads of nearby energy using countries, generally fairly windy, and usually no hurricanes.
If offshore wind is viable, then the North Sea ought to be the poster child for it IMO.
Hi ISA allowance,
I removed the reference for the North Sea in my post as I realised it would lead to quite a long post, however, since you picked this up..
Current figures suggest that about 20 gigawatt of output in the North Sea are disputed under "wind theft" - where the operators are taking legal action against each other for pinching each others wind.
Equinor has stated that the problem is seen as being so serious that it threatens future development. Which means that if targets are to be met by further North Sea wind development, then someone has to absorb or subsidise declining productivity.
I did work on one North Sea project for a while, the key lesson I learned was that Offshore is expensive and the older the infrastructure how quickly it becomes even more expensive. At some stage there will have to be a decision on spending more on wind assets which are producing less.
All this comes at a time when Offshore Wind is struggling to balance the books. The difficulties at Orsted are fairly well reported.
I suspect the UK Government will have to subsidise heavily here. That's fine - but I don't see it as a place for the private investor.
I don't pretend to be too knowledgeable in the area of renewables, but the number of "points" being made with regards to wind does put me off this area currently - see the above Orsted article I posted for some pointers.
The economic models these Co's used (and built their businesses on in the past) are clearly under a lot of strain and the way interest rates are looking (never going back to zero) must be a source of worry.
To this end, I sold my small holdings in the renewables (they were never a large part of my PF) and have focused elsewhere - there are so many other funds & trusts clearly offering greater potential at the moment.
Over the last 5-years my foray into a variety of different renewables has not been very successful, but I suppose that some will see the large divis currently available and the hollowed out prices as an opportunity.
We must all make our choices based on our own thoughts and circumstances - I had to laugh earlier (in a good way as I am heavily underwater hear) when there was a discussion above regarding Spectra Systems (LON:SPSY) - some are seeing this as a buying opportunity whilst I've just about had enough of my holding. BTW, I'll probably hang on and "hope for the best" as it can't go much lower.........surely? It sits firmly in my "oh why didn't you sell at 20% down pot". A big flashing red to remind me of my stupidity once in a while.
out yesterday - UK government plans to switch renewable subsidy indexation from RPI to CPI from April 2026 — a move that cuts future uplifts for RO and FiT projects - most impacted appear to be BSIF FSFL , TRIG, FGEN & to a lesser extent ORIT - but sentiment impact across the sector - probably overreaction to a likely modest LT impact. GSF & UKW also fell yesterdat https://www.gov.uk/government/...
Peter
It would seem that your assessment of the situation was the correct one. None of this is likely to be happening with Mr Miliband's agreement and it will be interesting to see how long he remains in post.
Offshore wind, which is at best marginal, is likely to be most affected and I would expect the industry to lobby hard - especially those with assets in the North Sea.
Often wondered why small nuclear reactors have not taken off- here. is a Edison research note out today. Not. sure if any trusts have exposure https://www.edisongroup.com/th... Microreactors is another area that still seems in its infancy.
AIC Corporate Activity
Polar Capital Global Healthcare Trust (LON:PCGH)
The company has announced plans to merge with Fidelity Japan, with AVI Japan Opportunity being the continuing company. Fidelity Japan shareholders will be given the option to rolling their investment into new ordinary shares to be issued by AVI Japan Opportunity, or a cash exit at a 1% discount to NAV, limited to 50% of Fidelity Japan's share capital. A circular in respect of the scheme will be posted in due course, with the scheme effective date expected no later than November 2025. The implementation of the proposals will require two General Meetings convened for 07/11/2025 and 27/11/2025. With the effective date expected to be 27/11/2025.
Bellevue Healthcare Trust (LON:BBH)
The company has announced plans to amend its investment objective and investment policy to focus on providing absolute returns by investing in an actively managed portfolio of equities and derivatives with exposure to the global healthcare market. The company would seek to invest in a diversified portfolio of equity or equity-linked securities, including short positions in stocks or markets that Columbia Threadneedle, as investment manager, considers to be over-valued, impaired or where desirable for the purposes of hedging and risk control. The company would define the "global healthcare market" as businesses operating in, having revenues predominantly arising from or otherwise having significant exposure to healthcare and healthcare-related sectors including, in particular, biotechnology, healthcare information technology, healthcare providers, healthcare services, life sciences, managed care providers, medical diagnostics, medical equipment, and pharmaceuticals. The proposed changes will be subject to shareholder approvals at the general meeting to be held in due course.
Syncona (LON:SYNC)
The company has announced plans to amend its investment policy with an initial focus on realising maximum value from the company's mature portfolio companies in a timely manner and then to return cash to shareholders, which will mean selling portfolio assets only when it is in the best interests of shareholders, driven by the balance of risk and reward, to maximise value and continuing to make selective new investments in early-stage companies developing exceptional academic science, up to an aggregate of 5% of the company's last-reported NAV. The company will convene a General Meeting seeking approval from shareholders in due course.
The title lines of two of Charles' corporate action notices are transposed. It's Fidelity Japan (FJV) that is merging with AVI Japan Opportunity (AJOT) and Polar Capital Global Health (PCGH) that's proposing a tender.
Apologies, I am abroad and messed up.
With a NAV off 118p despite today’s share price rise to 89p the trust still trades on a large discount. I would argue that given its unique portfolio it should not be at any discount.
We have our monthly investment trusts & funds show tomorrow at 1pm. The line up includes the third top performing investment trust from October (second for equity only) Seraphim Space Investment Trust (LON:SSIT). Full schedule below.
The webinar is free to attend and a great opportunity to watch three investment company presentations followed by Q&A. Join us to learn more about each of the companies plus ask your questions direct to management.
Webinar schedule (subject to minor change):
1:00pm Company Presentation from River UK Micro Cap (LON:RMMC)
1:30pm Company Presentation from Seraphim Space Investment Trust (LON:SSIT)
2:00pm Company Presentation from CC Japan Income and Growth Trust (LON:CCJI)
2:30pm Introduction to Moneyweek Wealth Summit 2025
Registration: https://www.melloevents.com/mi...
Location: Remote via Zoom webinar
For anyone interested, there is a Mello IT event tomorrow, free to attend (on-line). Featuring among others, Seraphim Space Investment Trust (LON:SSIT) (I hold), the full line up can be found here:
https://www.melloevents.com/mi...
(no affiliation)
VITP update
Thanks to number 33 for posting on the KITE again. Only just had time to look at the performance and holdings.
+8% annualised means that the original investment pot doubles every 9 years. Not too bad for a portfolio largely bought on the basis of discounts opening up and decent yields. I think I'm right in saying very few changes have been made over the past few years.
Thinking out aloud on the constituents....
Fidelity China Special Situations (LON:FCSS) has come roaring back, up +46% over the last 2 years but down -18% over the last 5 years (excluding dividends). Discount has narrowed so not a buy for me. Plus I just don't trust a single party government. On the upside, US tariffs impact a very small percentage of the Chinese economy so not as bad as originally thought earlier in the year.
btw, I can't be too critical on holding onto the losing shares and trusts for a while, hoping they come good. Primary Health Properties (LON:PHP) still sits in my own account, down about -20%. However, in my defence, an 8% yield largely offset the capital loss so far.
Many people on this thread hold BlackRock World Mining Trust (LON:BRWM) and it's done well this year, up +15%. Price of gold has been a big driver. Over 5 years, BlackRock World Mining Trust (LON:BRWM) is up +50% and the demand for resources is not going away anytime soon so agree that this is one to add on dips.
Nick Greenwood no longer involved at Migo Opportunities Trust (LON:MIGO). This trust always used to feature heavily in the MoneyWeek publication because the underlying holdings were always interesting. The managers now have promised to reduce the number of holdings in an effort to generate better returns but that obviously comes with more risk. Migo Opportunities Trust (LON:MIGO) now sits under the AVI Global Investors umbrella. I prefer AVI Global Trust (LON:AGT) to Migo Opportunities Trust (LON:MIGO) because the themes in the former are very clear (UK family run companies, private equity trusts trading at a discount to NAV and small cap Japanese companies) plus it tends to be more activist in it's approach to realising value. AVI Global Trust (LON:AGT) is up +63% over 5 years compared to Migo Opportunities Trust (LON:MIGO) which is up +51%. Update: the KITE also holds AVI Global Trust (LON:AGT)!
Oakley Capital Investments (LON:OCI) is up +113% over 5 years which is better than my choice of private equity trust; HgCapital Trust (LON:HGT) is up +57%. I do hold some Oakley Capital Investments (LON:OCI) through AVI Global Trust (LON:AGT) though. Many of the director buys in Oakley Capital Investments (LON:OCI) are being executed by the founder of Oakley Capital Investments (LON:OCI), Peter Dubens. 25% discount to NAV which is around the long term average. Oakley Capital Investments (LON:OCI) could well be a good long term buy. Update: I have just seen the KITE also holds HgCapital Trust (LON:HGT)! Maybe this was my suggestion ? Sorry about that in the short term but hopefully a long term winner.
CQS Natural Resources Growth and Income (LON:CYN) trading at NAV which is unusual. Maybe the share buyback policy having an impact ? I must admit this is not one I follow too closely. I have held in the past but prefer BlackRock World Mining Trust (LON:BRWM) just because I prefer higher mkt caps. Clearly, the future of the CQS Natural Resources Growth and Income (LON:CYN) SP is going to be driven by the price of gold ('precious metals' make up 46% of the NAV according to the August factsheet). I seem to recall this trust is not afraid to use gearing as and when it think it can benefit.
VinaCapital Vietnam Opportunity Fund (LON:VOF) discount has not changed which doesn't surprise me as I think it's influenced by roughly the same percentage holding in private equity. I much prefer VietNam Holding (LON:VNH) which has better long term performance but will not grow in size if it continues to trade at a discount. VietNam Holding (LON:VNH) is 10% of the size of VinaCapital Vietnam Opportunity Fund (LON:VOF). I was wrong to take advantage of the share buyback corporate action a few years back. That was the time to buy more as the SP has continued to increase. VietNam Holding (LON:VNH) has plateaued a little over the last year which is shame but the opportunity in a progressive country with a young and educated workforce is clear.
The REITs held by the KITE have fabulous yields. Better than Tritax Big Box REIT (LON:BBOX) which I hold as a safe option. Can't recall who but someone here said Tritax Big Box REIT (LON:BBOX) is a buy again and at a -19% discount to NAV, I would agree. I recall listening to a podcast with Laura Elkin (manager of Aew UK Reit (LON:AEWU)) a while back and the model being operated is very different from Tritax Big Box REIT (LON:BBOX) in terms of much smaller premises which require renovation and so there is the desire to try to benefit from capital gains as well in Aew UK Reit (LON:AEWU).
JPmorgan US Smaller Companies Investment Trust (LON:JUSC) doesn't interest me as the performance has been very mixed over the last few years. The US market seems to be dominated by a few very large cap tech companies now.
Schroder European Real Estate Investment Trust (LON:SERE) has had poor SP performance but a good dividend is on offer. I understand why the KITE would hold this. If I recall correctly, many of the properties (warehouses I think) are based in and around 3 areas: the Dusseldorf/Cologne, Barcelona and Malmo.
International Biotechnology Trust (LON:IBT) has done well the last 6 months. This reflects the whole biotech sector. The discount remains but who cares when both the NAV and the SP are both increasing ?! Microsoft (NSQ:MSFT) are starting to take an interest in this sector, they think they can use their compute power to push models along much faster than traditional methods.
I looked at the AIC site for the relative performance of the UK small cap trusts over 5 years. I hold Aberforth Smaller Companies Trust (LON:ASL) which sits above Jpmorgan Uk Small Cap Growth & Income (LON:JUGI) but who knows what will happen to this sector with almost certainly more tax rises to come ? The underlying holdings in the 2 trusts are very different. Would be interesting to understand the average StockRank for each trust. Update: maybe 5 year performance is not the best metric to look at because 5 years ago was November 2020 ie: middle of Covid just before the vaccine announcement!
Not sure what to say about Allianz Technology Trust (LON:ATT) (or Polar Capital Technology Trust (LON:PCT) for that matter). I couldn't buy either because of the underlying valuations. NVIDIA (NSQ:NVDA) trades on a multiple of +50. Super successful company. But the valuation is too high for me. There might come a pullback just like after the dotcom bubble in 2000 which would offer an opportunity to buy. Certainly tech is a theme (along with India) that I would like to own more of.
Scottish Mortgage Investment Trust (LON:SMT) has many of the same holdings as Allianz Technology Trust (LON:ATT) and Polar Capital Technology Trust (LON:PCT). The private equity valuations for Scottish Mortgage Investment Trust (LON:SMT) are completed every 3 months so that is not as big a risk as the multiples that the publicly quoted shares are trading on, in my view anyway.
Augmentum Fintech (LON:AUGM) is one I took a look at a while back. It's really a private equity trust invested in financial solutions. I like it but struggle with the performance. One that the manager constantly talks up but the performance is very mixed.
I sold Schroder Real Estate Investment Trust (LON:SREI) to buy BBOX about 8 or 9 months ago. Schroder Real Estate Investment Trust (LON:SREI) has the better performance over 1 and 3 years and also has the slightly yield. I prefer Tritax Big Box REIT (LON:BBOX) as (rightly or wrongly) I feel safer with the larger mkt cap; I can't buy and sell easily in my account as I need Compliance and Line Mgr sign-off so tend to go for what I perceive as the less risky options (and mkt cap tends to steer me.... again, rightly or wrongly).
Supermarket Income REIT (LON:SUPR) is a share I own myself for the yield. No longer a trust; I don't see this as an issue particularly. The SP hasn't done much over the last 2 years but who cares when the yield +7%.
Jpmorgan China Growth & Income (LON:JCGI) not done as well as Fidelity China Special Situations (LON:FCSS) but similar discount to NAV. I really don't know that much about either trust other than what has been said on this thread so can't add anymore.
I will take a closer look at SDCL Efficiency Income Trust (LON:SEIT) as I don't know anything about trust this but it's a decent size, trades on a massive discount and pays a 10% yield. But does this yield come from revenue or capital reserves ? Must be revenue I think. Need to add this to my reading list.
So a useful exercise as always looking to generate new ideas. I'm more tempted by the higher yielding trusts. And wait for a sell-off to buy into tech and India.
You’ve done in yet another so thorough post ShoeShineBoy, what I never got round to doing, and that’s going through all the holdings in what I as the KITE portfolio, but we’ve changed the name now to Virtual Investment Trust portfolio. Thank you!
For anyone reading ShoeShineBoy’s long post but confused by his reference to KITE portfolio, if you switch from “latest” to “oldest” you’ll quickly find number33’s most recent Virtual Portfolio update. It was on November 1st and was the 4th post on this November thread.
There’s nothing ShoeShineBoy posted that I don’t agree with.
It is a portfolio that hopefully can be left to look after itself. ShoeShineBoy mentioned that it has (more than) doubled in 9 years. Note though that it only took 5 years for it first to double, before falling away again, and way underperforming the by then outperforming FTSE100.
Re HgCapital Trust (LON:HGT) recent buy….it’s a quality Trust that probably just needs time. Unless it has changed recently they have never sold a holding at a loss.
Re CQS Natural Resources Growth and Income (LON:CYN) …..they were pressured by Saba to improve performance and opted for a tender offer which many took up at just £2.03p compared with nearly£3 now. For fans of high yielding Trusts CQS Natural Resources Growth and Income (LON:CYN) are now targeting a whopping 8% of NAV for dividend……about 8% yield at current NAV.
CQS Natural Resources Growth and Income (LON:CYN) is on a HUGE yield now for the Virtual Portfolio holding. The stake was bought for just 88p (and profit now is 272%) and yield will be around 30%.
Totally agree now about VietNam Holding (LON:VNH) being a better choice than VinaCapital Vietnam Opportunity Fund (LON:VOF) who complain about going for buybacks instead of new investments, despite no effect on the discount. I sold some of my VinaCapital Vietnam Opportunity Fund (LON:VOF) and switched to the much bigger Vietnam Enterprise Investments (LON:VEIL) .
Note btw that Vietnam Index is falling back as it often does for a while. The turn is often a buy or top up opportunity.
I think ShoeShineBoy that you might have missed the reason for the recent gain in Schroder Real Estate Investment Trust (LON:SREI) with LMP now holding a 10% stake. Interesting! Bid coming?
Schroder European Real Estate Investment Trust (LON:SERE) continues to disappoint. Outside chance of a bid as discount is big.
Augmentum Fintech (LON:AUGM) is a big disappointment….time to sell the Virtual Portfolio holding?
Finally there’s too much cash held. If I knew any Trust likely to go up fast I would have a final fling putting that money to work.
Any suggestions anyone?
And thanks again to ShoeShineBoy for going through all the Virtual Portfolio holdings so thoroughly. Great for anyone looking for potential buys and avoids.
Thanks for the response Ken, good to see you posting. Hope the health issues are getting better.
You are spot on re: HgCapital Trust (LON:HGT) performance, I had forgotten that metric. HgCapital Trust (LON:HGT) reported a Q3 increase in NAV last week. And also what they termed a 'resilient performance of the underlying companies'. But a SP decrease of -2.7%. Disappointing recent SP performance but longer term, much better so I will continue to hold. Over 1 year, HgCapital Trust (LON:HGT) is second bottom in the AIC private equity sector but over 3 years, it is fifth from top and over 10 years, it is second. The discount to NAV of 11% has opened up which may be a buying opportunity. Underlying holdings are defensive IT companies mainly involved in back office activities.
https://tinyurl.com/3j29pe5n
It gets a mention in the latest Money Makers podcast along with a number of the trusts in the Virtual Investment Trust portfolio (sorry for the confusion, I hadn't actually noticed the name change!). I enjoy the interviews with Peter Hewitt and also Andrew McHattie the most as they cover lots of trust sectors and generate ideas.
https://tinyurl.com/36ee9cj7
I may be wrong on the trusts holding highly valued companies: Scottish Mortgage Investment Trust (LON:SMT), Allianz Technology Trust (LON:ATT) and Polar Capital Technology Trust (LON:PCT). The following interview with Howard Marks is really high quality IMO. Towards the end, he argues the S&P500 is made up of a few tech names that are great businesses and deserve their ratings. Plus a much larger group of companies that are very average and may well be trading on multiples that are too high., they are simply being carried along by the high quality tech names.
https://tinyurl.com/yc6tvdju
Whatever the answer, the amounts that continue to be invested in the US markets are truly extraordinary!
https://tinyurl.com/yhvnjhhz
I am developing a nice list of trusts to do more reading on. I will try to revert on those in due course.
SSB
Thanks for the further reply ShoeShineBoy. As for tech Trusts I’m partially reassured when it’s clear that Managers take advantage and sell or top slice after big gains and switch to alternatives that they think look better value.
Also you mentioned REITS and the big dividends from those held in the Virtual Portfolio. fwiw I’m comfortable with the several REITS I hold. Except when there are bids etc there’s not much upside for now but those yields are very reassuring. My most successful REIT buy was Aew UK Reit (LON:AEWU) at 63p in 2020, and the annual yield at that price is 13%. Worth having. Like the Virtual Portflio,holding, also bought then, I’ve had 80% of my stake back in dividends . Unfortunately it’s fully valued now but even now the yield is almost 8%.
And yes HgCapital Trust (LON:HGT) has a great record. Its time will come again.
Augmentum Fintech (LON:AUGM) is a big disappointment….time to sell the Virtual Portfolio holding?
I've just bought so almost certainly yes.
In general I think the technology trusts have suffered due to the markets being closed to IPOs - it's meant raising new cash for new investments has been difficult. The signs are, however, that markets are opening for new offers - e.g. the recent Shawbrook (LON:SHAW) offering was pitched a sensible price and got away quite easily.
Possibly Molten Ventures (LON:GROW) or Chrysalis Investments (LON:CHRY) might be better opportunities - they certainly hold higher profile assets - Revolut for the former and Klarna (NYQ:KLAR) and Starling for the latter. But if the market follows the normal trajectory and prices start to disconnect from valuations you'd expect this to float all boats.
But, hey, timing has never been my forte ...
timarr
Investor Meet Company this coming week.
Blackrock American Income Trust (LON:BRAI)
BLACKROCK AMERICAN INCOME TRUST PLC
Investor Presentation
3rd Nov 2025 at 10:00am GMT
Harbourvest Global Private Equity (LON:HVPE)
HARBOURVEST GLOBAL PRIVATE EQUITY LIMITED
Interim Results
3rd Nov 2025 at 2:00pm GMT
Montanaro European Smaller Companies Trust (LON:MTE)
MONTANARO EUROPEAN SMALLER C. TST PLC
Interim Results for the six months ended 30 September 2025
4th Nov 2025 at 11:00am GMT
India Capital Growth Fund (LON:IGC)
INDIA CAPITAL GROWTH FUND LIMITED
Gateway to the Real India
5th Nov 2025 at 10:00am GMT
Wynnstay Properties (LON:WSP)
WYNNSTAY PROPERTIES PLC
Interim Results
4th Nov 2025 at 3:00pm GMT
Biotech Growth Trust (LON:BIOG)
BIOTECH GROWTH TRUST (THE) PLC
Investor Presentation
4th Nov 2025 at 4:00pm GMT
Interesting month October with 5 of my holdings in the Top 10 and 4 in the bottom 10. The assault on renewables continues, I sold out of most in despair to be honest. As Harrison Ford is in the Guardian today saying Trump is the biggest criminal in History. Not sure about that but certainly is denial of climate change and attack on the renewable sector is depressing and scarcely believable. No doubt the residents in Jamaica will not be agreeing with them. There was also a piece in the SCMP suggesting his attack on the academic elite is similar to Chairman Mao. Apparently many academics are leaving US to return back to China. China is rapidly becoming a leader in EV's , hence the reason they do not want Rare Earth minerals to leave China- domestic demand is outstripping demand as it is. Is this the point where the US gets left behind in some
new industries because of a small cohort of climate change non-believers at the top of the US admin.
So the fall in Fidelity China Special Situations (LON:FCSS) this month I would suggest is maybe a buying opportunity. I hold it. I would say the same for Japan. The new PM might be the cause of the fall , but as with Mrs Thatcher the market fell sharply after she was elected only to recover strongly. So a buying opportunity. The rise in Fidelity Japan Trust (LON:FJV) was due to reconstruction of the company after the failed continuation vote in May and the merger now with AVI Japan Opportunity Trust (LON:AJOT) .
Molten Ventures (LON:GROW) which I have held for a while and bought more early last month is performing well and I remain positive on all the PE trusts- I hold Oakley Capital Investments (LON:OCI) ,Harbourvest Global Private Equity (LON:HVPE) and bought into NB Private Equity Partners (LON:NBPE) in October. They also hold Action, and unlike 3i (LON:III) trades at a discount.
Biotech trusts continue to recover. I also hold Polar Capital Global Healthcare Trust (LON:PCGH) as well as Biotech Growth Trust (LON:BIOG) . Not sure why PCGH is doing nothing, I need to have a look to see what the cause could be.
Vietnam also languishes, which seems odd given the announcement re emerging market status . Tariffs are I think now exposed as a whim which the president can change his mind in an instant. So my view is that many of these countries are just getting on with it, seeking new markets and trading with each other.
Gold and silver did OK- I haveETF's exposed to the, and on the REIT front I continue to hold Hammerson (LON:HMSO) SEGRO (LON:SGRO) Custodian Property Income Reit (LON:CREI) Tritax Big Box REIT (LON:BBOX) Newriver Reit (LON:NRR) and Regional REIT (LON:RGL) . Why RGL is falling I am not sure, it is now on a huge discount. I have used Gemini to search but found nothing. Guess just continued negative sentiment.
Opportunities are there, I am fully invested near enough. Some cash to take up Golden Prospect Precious Metals (LON:GPM) subscription rights issue at 48p The record date for this is Nov 10 and subscription date is 1 December 2025. Looks like it is goind to be well oversubscribed so I assume I will be scaled back- the issue is capped at £7m to avoid issuing a full prospectus.
If onlyPalace Capital (LON:PCA) Spire Healthcare (LON:SPI) and Life Science Reit (LON:LABS) either get a bid for them or in PCA case sell the last few properties then cash would be incoming! I am loathe to sell wither SPI or LABS as a bid would emerge the next day. LBS could be struggling to find buyers, but after the announcement after the strategic review that implied there was demand we will see. No-one seemed to want to buy the entire company.
Off to Malaga tomorrow for a week which given the weather in West Wales I am looking forward to.
An interesting take on wind power from Barry Norris at Argonaut - I've been unable to find the link to the article, so apologies off this is taking up too much space, but hopefully the font is small enough not to.
I'd already sold out of my renewables (more solar than wind) as I keep finding more exciting/growth opportunities at the moment - like Charles, I've become largely full invested again - will need to generate some cash for the Golden Prospect Precious Metals (LON:GPM) subscription issue.
Another goner with the wind: a deep dive into Ørsted
Danish wind farm operator, Ørsted - owner of the largest capacity of installed offshore wind power globally – has just completed its rights issue, raising DKK60bn ($9.3bn) of new equity funding, almost equivalent to its previous market capitalisation. Two-thirds of the money raised has been earmarked as needed to finish the New York Sunrise offshore wind farm; a project that will create no economic value for Ørsted investors; and where its previous joint-venture partner effectively handed back the keys just over 12 months ago.
Ørsted’s business model is now almost entirely focused on building offshore wind farms, which have always been reliant on generous subsidies to be economically viable. Yet as governments have tried to increase wind market share, subsidies have necessarily become less generous. At the same time, offshore wind projects have had to become more ambitious in scale. This means that Ørsted investors are taking more project risk and more financial risk in order to make diminishing returns. We argue that unsubsidised offshore wind will never be economically viable, whilst subsidised offshore wind will never be economically scalable. This means Ørsted’s business model increasingly offers investors that most unpalatable cocktail of return-free risk.
As well as being dependent on generous regulatory subsidy, Ørsted’s capital-intensive developer business model necessitates asset turn via sales (“farm downs”) of passive stakes in projects to third party investors. As profitability of projects has declined (and interest rates have risen), the valuation multiples achieved by Ørsted have steadily deteriorated, placing more strain on its own balance sheet, resulting in more dilution for its shareholders.
Ørsted’s other source of cash-flow is dividends from its wind farm projects. Older projects under more generous regulatory regimes have generally been more profitable and able to upstream dividends. Yet these projects are too small to fund Ørsted’s growth and are themselves subject to rising operating cost (Opex/MW) trends as ageing wind turbines need to be repaired; and will eventually be subject to decommissioning costs when their regulatory subsidy ends. Ørsted recognises these decommissioning costs on its balance sheet as a future liability yet is not building any ringfenced cash to fund them. These decommissioning costs in addition to financial debt held within individual wind projects, represent hidden financial leverage for investors at Ørsted group level.
We believe Ørsted’s financial reporting does not give investors sufficient information to assess the efficacy of its business model.
Ørsted’s ability to generate value for its shareholders is highly dependent on it deploying capital efficiently, yet in its recently issued rights issue prospectus, it claimed that “given the Group’s capital -intensive portfolio of assets, the Group’s primary operations are best measured by excluding depreciation and financing costs.” Ørsted group accounts therefore focus on accounting profitability measures like EBITDA (Earnings Before Interest Tax Depreciation and Amortisation) and FFO (Funds from Operations) which exclude depreciation and amortisation, essentially assuming that capital in its business model does not have a cost or seek a return. Perhaps these are the type of investors for whom Ørsted offers some appeal.
Through focusing on proportionately consolidated group EBITDA targets, that make no charge for capital or debt servicing at either the wind farm or group level, it is possible for the Ørsted group accounts to suggest profitable growth without any of the underlying assets able to earn a return on that capital, generate free cashflow or pay dividends. As Warren Buffett famously warned in the 2000 Berkshire Hathaway Annual Report:
“References to EBITDA make us shudder – does management think the tooth fairy pays for capital expenditures?”
If the accounting stinks, then the disclosure sucks.
If, as Ørsted seems to believe, the immaturity of its asset base makes the underlying profitability of these assets difficult to measure at group level, then it seems logical that it might instead want to be more transparent about the economics of mature individual wind farms currently in operation. But this is not information that Orsted wants to share.
Given the absence of adequate disclosure from Ørsted at group level, our research has focused on the economics of individual offshore wind projects, using other sources of publicly available information, particularly the statutory annual accounts of its UK offshore wind farms that have been filed at Companies House as well as other regulatory filings. Our work is, however, limited by the public accounts available (particularly outside the UK), and lack of detailed company guidance on the economics of projects in development. Nevertheless, we believe our research adds a new perspective in attempting to model the company from the “bottom up”.
We will demonstrate through detailed calculations of profitability at the project level that Ørsted’s operational offshore wind assets would not be profitable without generous subsidies; that even with this government support, they make an anaemic return on capital; and that they also have hidden leverage and decommissioning liabilities, which are unfunded and could crystalise earlier than expected.
We have also attempted to forecast the profitability of the much larger projects Ørsted is currently developing, which we confidently forecast will be even less lucrative and subject to significant upwards revisions in capital costs; whilst lower subsidies mean that cash (EBITDA) profitability will be lower. All of this means that these key projects (Sunrise, Revolution, Hornsea 3) will take over a decade to become profitable at the EBIT level; and because their returns are significantly below any reasonable cost of capital assumption, they will destroy value for Ørsted investors. We are not surprised that Ørsted does not want to disclose this in their investor communications.
It is because offshore wind is so fundamentally flawed as an economic product (with low bang for buck return on capital and energy invested, producing intermittent power that has low and diminishing value to the grid at high market shares) that it rips off both consumers and investors alike and has a detrimental impact on the overall economy as finite resources are squandered.
Neither do we believe that Norwegian oil company Equinor (which has maintained a 10% stake in Ørsted) merging its offshore wind assets with Ørsted’s will solve these fundamental problems. It is sometimes said that a problem shared is a problem halved but, in this case, we think it would be a problem doubled. Any deal would just allow Equinor a face-saving exit from its own problematic offshore wind projects.
We noted previously that Ørsted’s focus on EBITDA (which excludes accounting for capital costs as an accounting metric of success even though the business model is highly capital intensive) can only be justified by the immaturity of its asset base, making the underlying profitability of projects difficult for current measurements of profitability at group level to reflect. We believe that Ørsted has pursued bigger, more value destructive projects, partly because if the quantum of growth and investment slowed, it would be more difficult for Ørsted to hide the lack of underlying profitability at group level.
We do not believe that there will be sustainable political will in the UK to revert to more generous CfD subsidies when its consumers already face the highest electricity prices in the world. The next UK general election (scheduled for 2029) will likely see a different government that may abolish ROC subsidies, scrap carbon taxes on power generation and renege on AR7 CfD awards, before any wind farms awarded in AR7 commence operation.
The appetite of third-party investors to buy into Ørsted’s developments has understandably diminished. Many of these investors could only make the sums work by financing their stakes with large quantities of then cheap debt, with Ørsted also offering to guarantee operating performance. And in the absence of dividends or “farm downs” it is now Ørsted shareholders who are left holding the bag.
The recent DKK60bn (£7.1bn) rights issue is not a one-time fix but a classic “extend and pretend.” Ørsted’s business model can never deliver for its investors because offshore wind is not economically viable for developers without subsidies and is not scalable (given the parasitical impact on the wider economy) with subsidies. Wind power is a backward technology which like Ørsted should be assigned to the economic dustbin of history.
Our deep dive research note on Ørsted is available in full via the Argonaut Capital website. It can be accessed here.
Continued thanks for keeping this excellent thread going. I'm sorry that you're giving up on Renewables, Charles. May I venture the opinion that you may be mistaken, notwithstanding the various teething problems that come with every new investment theme: the usual problems generally encountered at the stage where excitement about a disruptive modality meets the reality of meeting expectations with actual profits. We shall see, but I remain fairly extensively involved across my own and 3rd party folios.
Speaking of which, here's the updated Bruciefolio. Sadly, I'm still failing to hang onto winners as I fall into the temptation of 'deep value' whenever it comes up. So I sold down my my Ceres Power Holdings (LON:CWR) and Ecora Resources (LON:ECOR) far too early! However, I am back to a high dividend payout which seems to best suit my psychological type at this stage in life.
The shares in brackets represent some new funds currently outside a tax wrapper, where I've decided they will do better than sit in cash on deposit. Tritax Big Box REIT (LON:BBOX) quite a full position as I particular like this idea. Schroder Real Estate Investment Trust (LON:SREI) for reasons explored on this thread. British Land (LON:BLND) for its rather severe discount and blue chippiness. And Biopharma Credit (LON:BPCR) for its niche quality and high dividend.
On specific stocks, Spectra Systems (LON:SPSY) and Bioventix (LON:BVXP) are recent purchases.
YTD is now 20% with dividends reinvested.
AAIF, ABDN, ASHM, BRWM, BVXP, CAML, CLIG, CSN, DUKE, GCP, FGEN, HFEL, ITH, ITV, LGEN, MNG, NESF, NRR, OSB, PHNX, PHP, POLR, RECI, RWS, SCE, SEIT, SERE,SEQI, SOHO, SNWS, SPSY, SQZ, SUPR, TFIF, TMIP, UKW (BPCR, BBOX, BLND, SREI).
Brucie, I may buy back into renewables, can just see better opportunities at the moment. Having just bought an EV I am personally very keen on the use renewables and the carbon reduction we all need to do.
Understood and absolutely no criticism intended. This is about the investment case first and foremost. That is where the problems seem to arise - in lack of transparency and understanding, which is no doubt about more careful management and communication by the investment companies.
Brucie, I did not think you. were. Totally. agree, Boards really. need to improve on the. communication front. I think the pool that directors are got from also needs expanding, too many same board directorships in the sector
I think increasingly, the shadow of Reform may haunt the sector. the same Reform which have just reissued their economic programme in the light of the total shambles of their last version, which appears to been created on the basis that they would never get into actual power. G'd forbid that they do; but should it happen, I doubt very much that a realistic energy policy would take a knife to renewables when it now provides such a large proportion of our electricity and energy independence. I also think that Trump may implode by that time, along with many of his policies, so admired by Farage.
Brucie, I truly hope so. Not a political board so will say no more but I am a centrist/liberal.
Renewables depend on subsidies, their carbon footprint is unlikely to be recouped (particularly Wind ). The planet maybe warming, thinking that CO2 is the thermostat is false propaganda in my view. The good news is life is thriving the planet is greener, crop yields have never been higher, oil which we all depend upon is in plentiful supply thanks to fracking. Setting unachievable deadlines net Zero 30 has led to a huge misallocation of scarce resources.
Increased inflation worldwide, increased poverty (I am in Africa first time for two years the level of poverty is desperate), has let to the de-industrialisation of the west (we exported CO2 , jobs and technology), failure to invest rare earth metals because of net zero, leaving us strategically exposed. Indoctrinated thinking leads to bad strategic decisions.
We need a serious and honest discussion about energy alternatives not based on the religious dogma of climate change. I know I am a minority voice in a veritable sea of misinformation and IPCC dogma.
In my view Trump and Farage are not wrong about net zero, interestingly CO levels and pollution have not grown exponentially because of improved technologies.
The planet maybe warming, thinking that CO2 is the thermostat is false propaganda in my view. The good news is life is thriving the planet is greener, crop yields have never been higher, oil which we all depend upon is in plentiful supply thanks to fracking.
If you want to back your view up rather than offering unsubstantiated opinion then fine, but this isn't really the place to do it.
The investment case for renewable funds rests on a complex combination of economics and politics - it is the case, and will continue to be for some time, that fossil fuels are the cheapest and easiest way of generating energy. Yet we know that within the lifetime of people alive today we will face a decline in the availability of hydrocarbons - there's no way of avoiding that, they're not making them anymore.
This is the sailing ship effect, where investments in old technology are more efficient and effective for a significant amount of time until the new technology improves to the point where the old technology simply dies. Sailing ships lived on over fifty years into the age of steam, where the latter suffered from a lack of infrastructure (e.g. not all ports had coal) and immature technology (the damn things had a tendency to blow up).
From an investment perspective, which is after all why we post here, it probably is too early to invest in renewables. From the perspective of life of Earth - well, it's hard to say, but do we really want to bet on vote driven politicians being right? Because if they're not they won't be around to care. But I guess that's true of nearly everyone who posts on here too.
Investments are not always about economics, sometimes they're a useful way of signalling to our grandchildren that we care about their future, whatever it may be.
timarr
"If you want to back your view up rather than offering unsubstantiated opinion then fine, but this isn't really the place to do it."
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This rather encapsulates my view. Along with your final paragraph:
"Investments are not always about economics, sometimes they're a useful way of signalling to our grandchildren that we care about their future, whatever it may be."
Climate science is as settled as Evolutionary Biology, if scientific consensus can be a measure of whether something inherently complex and demanding of specialist research over many years can ever be truly 'settled'. My problem with "climate denialism" is that it seeks to place nonsense on an equal footing with actual science. Hence the plethora of seemingly unassociated conspiracies, which are commonly found among the same circles: from 9/11, to flat earth and reptiles in the centre of the earth. The breakdown of herd immunity among children would would formerly be protected by near universal coverage of the MMR should be an object lesson - but won't be to those who follow the analogously unscientific path of vaccination-leads- to-autism. We are seeing that now in the USA, including the blatantly false - and dangerous- public health notice that pregnant women seeking pain relief should not take paracetamol.
Yet as you also say, this is an investment board, so the relevance of such needs to be judged by the likely consequence of a Trumpian government in the UK, discarding empirical data in pursuit of populist short term, sugar-rush solutions along the lines of "drill baby drill" and get back to mining coal. Reform's last proposed budget, now utterly discarded, as it was then discredited, should give us all a sense of the direction of travel. Yet it may be that here in the UK, as in the USA, we need to experience a disastrous populist experiment in order to turn our back on it. I had hoped that Brexit would be that learning event - but that too, has become ammunition for the Far Right, which loves nothing better than a Great Betrayal Narrative. to turn its own lies into further acclamations of Sugar Candy Mountain.
Concerning the investment case around renewals I also sense that Timarr is right that it comes down to timing rather than the inevitability of the proposition itself. We saw the same thing with the internet boom and may even see it with the AI boom, as business models becomes subject to scrutiny. As previously stated, I have now sold all my NextEnergy Solar Fund (LON:NESF) as well as reducing my Foresight Solar Fund (LON:FSFL) , which I understand from Oakbloke, is the better player in that niche. However, i continue to hold some Greencoat UK Wind (LON:UKW) along with a slew of infrastructure funds, both in my own and 3rd party folios, which I hope will come through.
Beyond the wisdom of individual shares, i now try as far as possible to put my faith in strategy over the specifics of stock selection. Though as facts change, I reserve the right to change my mind - both on my investments and pretty much any other belief, aside from the strictly metaphysical!
;)
A decision I am resigned to probably regretting, but started to nibble at Foresight Environmental Infrastructure (LON:FGEN) this afternoon.
Price has dropped as if it was ex-div today (along with a slew of other renewables ITs which actually are), massive volumes (I saw a single 900k trade earlier today), but price holding at ~63.3. That might indicate support at this level (or just another step down), but the pessimism is so high that I can't resist..
Have thought of doing likewise as Renewables continue to tumble today. NextEnergy Solar Fund (LON:NESF) down considerably. But what are the best insulated, forgive the pun, and offer most secure, highest dividends? Foresight Environmental Infrastructure (LON:FGEN) must be a contender, but ong with GCP Infrastructure Investments (LON:GCP) , Octopus Renewables Infrastructure Trust (LON:ORIT) , Renewables Infrastructure (LON:TRIG) ... And then of course, there's Foresight group (LON:FSG) , which offers smaller dividend while showing some hallmarks of a great underlying business..?
on Spectra Systems (LON:SPSY) - I hold and have done for some years. Decided to do nothing post the last profit warning - general guidance is to sell as the SP tends to fall over the next few months - and so far it has.
What was your reasoning on buying now
I was waiting for ~125 (currently 143) - perhaps being too 'greedy' here.
andrewb, no, I see today that my line of support has been broken so I believe you may see your 1.25p. I was too previous, as my mother used to say! However, you are being paid to wait and even more so if you manage to get in your target price. I believe it's a very good business, but i may be wrong. Sometimes, a downward chart will simply squeeze every last drop out of a share price regardless of the underlying.
I hope with your continuing enthusiasm for Renewables Brucie. Hope they bottom soon and then bounce.
I don’t regret selling all mine with the tactic of if in doubt sell, (along with always sell on a profits warning) and now with some of them down 25% since July. Doing that has saved me from very big losses over the years.
Ken, you seem to be a genius at timing. For lesser folk like myself, when I see value, I buy. The rest appears in the rear view and oftentimes I am wrong! But 20% YTD suggests, not that wrong. A lot of that is the dividends created by the aforementioned, which I then have the optionality to funnel elsewhere.
Brucie
Thanks for responding. As you know ,like you, I’m a great fan of quality big dividend paying shares and Trusts, and but for my health predicament, like you I would funnel them in to new investments. For now my portfolio is static with very few changes. Our methods are overall similar, except on selling.
As for your (tongue in cheek?) comment about my getting timing right…….like everyone else I don’t always! The only way we differ I think is that I’m ruthless when it comes to selling.
Time and again there is comment that selling is the most difficult part of investing. For too long I found that too……..but that’s changed now with my sell on “if in doubt” and on the first profits warning rule. Most times it proves to be the right decision (and has saved multiple £thousands in losses) and so what if occasionally those sells go on to do well? It’s a tactic that’s saved me a fortune.
Years ago I used to hold shares all the way down to next to nothing hoping for the turning point that never came. Bonkers!
Again good luck with your Renewables Trusts.
Absolutely right Ken run winners and cut losers but it’s amazing how many investors do totally the opposite. Also buy on market dips and sell or top slice when the index is getting ahead of itself. Again many investors do the opposite, sell in panic on corrections and chase the market up when it’s getting heady. What a recipe for disaster! Fwiw I’ve bought back into GB Group, Franchise Brands and Restore recently and they’ve all bounced off of their lows. Next day or so will be going back into Hollywood Bowl and Future, no dividend on this one but unless the market knows something we don’t the rating looks stark raving bonkers. Agree though nobody gets everyone right but imo the above method is proven and has certainly served me well (and you) over the years. Grecian
Agree with your post obviously George54, and like you I also (sometimes) to continue to monitor shares I’ve sold on the sell on bad news rule, in case there are signs of a turnaround with the share price much lower.
I thought I’d add a bit on this to add my sell on bad news tactic jus, in case of use to any readers (including the many silent ones) here with 3 shares examples.
Marks and Spencer (LON:MKS) was a good example of this. When the share rose from my buy price around £1 to over £2 in 2023 I sold after an update with strong hints in an update that for now it was as good as it was going to get. I didn’t dream that the share would AGAIN fall to a ridiculously oversold £1 . I bought then and it has since quadrupled. I’ve taken my stake out and more on top but hope to continue to hold what is still my largest holding. Hope Results tomorrow don’t include a profits warning!
B&M European Value Retail SA (LON:BME) is an example of my selling on the first hints of trouble at over £5 two years ago. There has since been one profits warning after another and no sign yet that it is worth buying again and share is down 70% to 173p.
Capita (LON:CPI) I didn’t hold but then bought on what looked like signs of a turnaround with new Management after 99% share price fall. I was also influenced by Rockwood Strategic (LON:RKW) having a big stake with reasons why.
BUT….an occasional poster here warned that his business had a contract with Capita (LON:CPI) and they seemed as bad as ever. That and a flurry of negative posts here, influenced me to halve my stake. It’s up 50% but the next update might show whether Richard Staveley of Rockwood Strategic (LON:RKW) is right to be so confident. If the update shows far slower progress than hoped, I’ll probably sell.
Ken,
An excellent post, as ever. May I ask, do you (or other readers) ever average up on your holdings?
Thank you, Jon
Yes Jon. I average up.e.g if buying a part stake after big falls in case I’m buying too soon and looking to average down. If I had bought near the bottom and it seems clear that the trend is up, then I average up with the rest of the stake. I also average up for other reasons.e.g perhaps because of a share or Trust changing to a much higher dividend policy. I averaged up Aberdeen Asian Income Fund (LON:AAIF) and CQS Natural Resources Growth and Income (LON:CYN) recently for that reason.