The Results Round-Up – The Week’s Investment Trust Results
Seven investment companies in this week’s round-up. Five posted double-digit returns for their respective reporting periods, but which fund topped the lot clocking an eye-catching +28% NAV total return for the year?

By Frank Buhagiar•

JPMorgan Global Growth and Income (JGGI) riding the wave
JGGI’s +28% NAV total return for the full year easily trumped the MSCI AC World Index’s (sterling) +20.1%. The outperformance is no one-off either. Over five years, the +110.5% NAV total return is not far off double the benchmark’s +67.8%. The portfolio managers sound cautiously optimistic that the strong run will continue, “We believe that global stock picking across our core investment universe remains attractive and rewarding, and we see many well-priced opportunities. The Company has exposure to a number of long-term trends, such as the rapid adoption of AI tools, cloud computing and the transition to renewable energy.” Optimistic part ticked. As for the caution, “our caution about the near-term outlook, and the possibility of recession, has also influenced positioning. We have increased exposure to defensive sectors, which should outperform during any slowdown.”
Chairman Tristan Hillgarth meanwhile commented on the wave of consolidation that has swept through the sector – JGGI’s been in the thick of the consolidation wave and could well continue to be. That’s because “your Company’s size and performance track record make it a potentially attractive partner for other investment trusts.” With the shares barely budging on the day, the market adopted a wait-and-see approach.
Numis: “The outperformance was particularly impressive in 2023 given market performance was driven by a few U.S. tech stocks, and the approach seeks to combine ideas in both ‘growth’ and ‘value’ styles. The fund has grown substantially in recent years, through consolidation, tap issuance and strong performance. The fund has seen rollovers from Scottish IT and JPMorgan Elect, and most recently JPMorgan Multi-Asset Growth & Income in March.”
North American Income (NAIT), vive la difference
NAIT’s +11.1% NAV per share return for the latest half year beat the Russell 1000 Value Index’s +11.0% (sterling) by the narrowest of margins. The fund outperformed the S&P High Yield Dividend Aristocrat Index’s +9.8% (sterling) with room to spare though. A good platform then for the new fund managers at Janus Henderson who focus on “companies providing attractive current income and growth potential.” The portfolio managers believe the “emphasis on companies with consistent cash flows and healthy balance sheets can help buffer shareholder returns in the event economic demand is weaker than anticipated” and, presumably, maintain the fund’s differentiated offering. As Chair Charles Park writes “NAIT has something different to offer; a higher than index yield, a rising dividend and capital growth.” Shares tickled 2p lower at 306p on the day of the results but, by the end of the week, had more than made up the shortfall.
Winterflood: “Post period-end, material changes to portfolio, as Henderson took over management. Increased exposure to IT, with companies positioned to benefit from AI spending added. Increased weighting to Healthcare, which managers believe will ‘hold up well in the case of an unexpected slowdown in the economy, but should also do well over the cycle given the amount of innovation we are seeing in biotech and medical devices’. Also increased exposure to REITs, given ‘attractive dividend yields’.”
CQS New City High Yield’s (NCYF) clean sweep
NCYF’s full-year numbersticked all the boxes: +19.07% NAV total return; +22.73% ordinary share price total return; 8.62% dividend yield; share price trading at a +5.26% premium to net assets as at year-end. No wonder Chair Caroline Hitch is “delighted with the Company’s performance in this financial year”. What’s more “Against a backdrop of declining rates forecast, albeit at a steady pace, the global economic outlook appears reasonably good, and we remain optimistic for healthy performance from the Company in the coming year.” The portfolio manager is feeling positive too “We remain positive in our outlook as we continue to identify investment opportunities across a wide and diverse range of sectors and stocks, and we expect to see a resumption of high yield and financial issuances at the end of the third and beginning of the fourth quarters of 2024.” Shares took a breather though, finishing the day unchanged.
Winterflood: “Issued shares worth £13.5m over period. DPS 4.50p, 1.0x covered.”
Schroders Capital Global Innovation’s (INOV) balancing act
INOV reported a -17.1% decrease in NAV for the half year after a handful of stocks negatively impacted performance. These included Oxford Nanopore Technologies and Autolus Therapeutics among the public equity holdings and Ocuterra and Reaction Engines in the private equity camp. Despite the disappointing performance, progress continued to be made towards rebalancing the portfolio. According to the investment managers, “We have continued to make progress in delivering the share buyback, shifting the portfolio to focus on private equity, and investing in exciting new opportunities across venture, growth and life sciences.” With the shares closing a tad lighter at 9.7p, the market seemingly focused on the half-year performance.
JPMorgan: “The split of the portfolio is 76% private unquoted investments, 6% investments listed on the LSE, 3% investments listed on a recognised overseas stock exchange, 15% cash/money market funds. INOV expects its liquid resources to be sufficient to meet its goals for share buybacks and to meet the funding requirements of the existing portfolio and to selectively fund new investments. We are Underweight.”
Baillie Gifford China Growth’s (BGCG) cautious optimism
BGCG’s +10.2% NAV return for the latest half-year periodcouldn’t quite match the MSCI China All Shares Index’s (sterling) +12.0%. Even so, “After an unprecedented three consecutive years of drawdowns in Chinese equities”, the positive numbers, a welcome return to form. There could be more to come. For, despite “the 12.0% rise over the period, our benchmark MSCI China All Shares is still trading at an extremely low multiple relative to the last 20 years and at nearly a 60% discount to the U.S. At the same time, its forecast earnings growth is expected to be one of the highest among major equity markets.”
Risks remain though. The economy’s transition from “property-led growth to one driven by technological development and scientific progress” may not be smooth and then there’s geopolitics, particularly with the U.S. election looming. “Overall, we remain cautiously optimistic that China will successfully navigate this transition and that the companies it produces will become increasingly world-class as a result.” Share price continued its vertical climb following the results – shares have now soared almost 40% in a little over two weeks as hopes grow that steps taken by the Chinese authorities will kick start the economy. Onwards and upwards.
Winterflood: “Managers observe that while the economy remains ‘relatively lacklustre’, share prices are supported by policy support, corporate focus on shareholder returns and low valuations.”
Dunedin Income Growth’s (DIG) concentration
DIG reported an +8.2% NAV total return for the half year compared to the FTSE All Share’s +12.3%. According to Chair David Barron, “The Company’s performance relative to the market reflects the portfolio of high quality companies which were out of favour during the period.” Nevertheless, “The portfolio continues to showcase strong quality characteristics while delivering a premium yield and stronger dividend growth compared to the FTSE All-Share Index.” That’s down to the fund managers selecting “high-quality, sustainable companies that can provide income resilience and capital growth across various economic conditions.”
The concentrated portfolio does mean “performance can lag the benchmark in periods where businesses exposed to rising commodity prices and positively geared to rising interest rates are in favour”. A price worth paying in the short term – cue a penny drop in the share price to 283p on the day of the results.
Winterflood: “Underperformance was primarily driven by quality names being out of favour.”
VietNam Holding’s (VNH) watershed moment
VNH had a good year. More than good. For, according to Chairman Hiroshi Funaki, “This year has been another watershed moment: the Fund has outperformed the market, the discount to net asset value (‘NAV’) has fallen to less than 5% and the Company’s shares have been included in the FTSE All Share and FTSE Small Company indices.” In terms of performance, NAV per share was up +23.6% compared to the Vietnam All Share Index’s +9.5%. That means VNH has outperformed the index for one, three, five, ten and 15 years.
No surprise Citywire named the fund ‘the best emerging market single-country fund’ and awarded the Investment Manager’s team a coveted triple-A performance. No surprise either that 99% of shareholders voted to extend the fund for a further five years back in December 2023. Question, is how can the fund top all that this coming year? Tune in next year to find out. In the meantime, shares added 7p on the day to close at 404p.
Winterflood: “Portfolio comprises 24 companies, top 10 holdings 63.2% of NAV. No unlisted exposure (up to 20% allowed). Portfolio P/E ratio 12.9x, 2025 expected EPS growth +20%.”
I do not even know how I finished up here, however I
believed this post used to be great. I don’t realize who you might be however definitely
you’re going to a well-known blogger should you are not already.
Cheers!