View more on these topics

Convertible bonds boost F&C trust

The F&C Capital and Income Investment Trust has benefited from convertible bond exposure in the past three months.

In the trust’s interim management statement for the three months prior to June 30, it says the convertible bonds have enhanced both capital and income for shareholders.

A £1.3m slice of the fund’s total assets was allocated to two convertible bonds but the manager, Julian Cane, was unavailable for further comment.

During the three-month period the fund’s Net Asset Value (NAV) per share had a total return of 10.2%, compared with the FTSE All Share’s return of 10.9%. The statement also says the share price rose 9.7% as the premium to NAV per share widened from 1.5% to 2.3%.

Assets under management also rose from £122.82m on March 31 to £137.34m.

The most significant changes Cane made to the portfolio include adding to positions in Cable & Wireless, Unilever and United Utilities. This is because Cane says they are “attractive yields” which are expected to grow further.

Cane also supported fund raising with HSBC, Inchcape, SIG and Wolseley.

Related Articles:
F&C US small-cap fund ups insurance stance
F&C completes de-merger


Adrian Ware

Adrian Ware says a lingering sense of dissatisfaction with the private banking business and a desire to do something for himself were the driving forces behind his decision to set up on his own.

Skandia merges away Aggressive fund

Skandia Investment Management has merged its Aggressive fund into the recently-launched Global Dynamic Equity fund.Aggressive fund investors voted to merge their £35m assets into the global vehicle which has a more flexible and wider remit and is able to use Ucits III powers.The Aggressive mandate was split between a range of fund groups, each running […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment