RCS - Capital Gearing - Initiation Note from QuotedData
10/07/2025 14:53
RNS Number : 6107Q Capital Gearing Trust 10 July 2025 Capital Gearing Trust - Initiation from QuotedData 10th July 2025 Cautiously positioned in volatile markets In times of market turmoil, it is only natural that investors would look closer at trusts such as Capital Gearing Trust (CGT), which seeks to avoid losing shareholders' money. As we show on page 3, it has done a great job of achieving this over more than four decades, with just two, low-single-digit "down-years" since 1982. Management view CGT as the most defensive trust in the UK market, just along the risk curve from cash (very low risk, but not completely risk-free like cash, for example a bank deposit or short-term government bills). The trust has delivered on its ambition of growing investors' wealth in real terms (ahead of inflation), with returns to shareholders around 13 percentage points higher than UK inflation - as measured by the UK consumer price Index (CPI) - over the 10-year period to end April 2025. The managers have a core belief that long-term returns for investors are maximised by avoiding loss in down periods; the effect of this is evident in the standout return of 273x since Peter Spiller took over responsibility for the trust in 1982 (to end February 2025). Investors can also take comfort from the trust's discount control policy, and the fact that at the end of February 2025, ahead of Trump's tariff announcements, CGT had 32% of its portfolio in "dry powder" - cash, treasury bills, and short-duration corporate credit (investments in bonds issued by companies that have low sensitivity to interest rates). Full Research: https://quoteddata.com/research/capital-gearing-trust-cautiously-positioned-in-volatile-markets-qd/ This research is also available free on our website www.quoteddata.com where you will also find news, performance data and factsheets on every London listed Investment Company. QuotedData writes and distributes research on a number of quoted companies, facilitates meetings between those companies and existing and potential investors and assists in raising additional capital where required. NB: Marten & Co was paid to produce this note Capital Gearing Trust Plc, and it is for information purposes only. It is not intended to encourage the reader to deal in the security or securities mentioned in this report. Please read the important information at the back of this note. QuotedData is a trading name of Marten & Co Limited which is authorised and regulated by the Financial Conduct Authority. Marten & Co is not permitted to provide investment advice to individual investors categorised as Retail Clients under the rules of the Financial Conduct Authority. QUOTEDDATA 50 Gresham Street | London EC2V 7AY Tel: +44 (0) 20 3691 9430 www.quoteddata.com | research@quoteddata.com | www.martenandco.com This information is provided by Reach, the non-regulatory press release distribution service of RNS, part of the London Stock Exchange. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com. RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy. END NRABXGDRCSBDGUG