City Of London Investment Share Discussion Threads

[tmfmayn] 23/4/2024 08:52

Something to consider perhaps with this latest update is the omission of the monthly profit run rate and the fee levels being accrued across all FUM. Such info had been regularly disclosed in previous quarterly updates. The worry maybe is these FUM inflows have been prompted by a lowering of fees and the monthly profit run rate is not great at present. We shall see.

[montyhedge] 23/4/2024 07:49

They have plenty of cash on the books, earning a good rate.

[deanowls] 22/4/2024 12:06

Doubt it at the moment. Will be telling if they have listened and made changes.

[montyhedge] 22/4/2024 11:14

Looks good, wonder if a special dividend in the future.

[brucie5] 22/4/2024 09:13

So this looks like having been yet another opportunity to accumulate an excellent high dividend business at rock bottom prices. The bottom has been in since last October and now thoroughly tested.

[aleman] 22/4/2024 09:05

FUM June 2022 were $9.2bn. Now $10.1bn and cutting costs. Should be good margin next time and a well covered dividend - if they don't increase it.

[mister md] 22/4/2024 07:44

Hopefully this will kickstart a shareprice recovery here, as seen with POLR and LIO shareprices recently.

[chrisb1103] 22/4/2024 07:37

Return to growth :)

[masurenguy] 22/4/2024 07:26

FUNDS UNDER MANAGEMENT ("FuM") AS AT 31 MARCH 2024 & TRADING UPDATE

City of London (LSE: CLIG), a leading specialist asset management group offering a range of institutional and retail products investing primarily in closed-end funds, announces that as at 31 March 2024, FuM were $10.1bn. This compares with $9.6bn as at 31 December 2023, an increase of 5.5%.

IM Performance

Relative investment performance of the Group's strategies was mixed over the period, with most Emerging Market and Fixed Income strategies outperforming, while Opportunistic Value and International Equity strategies underperformed. The investment teams continue to find value in the closed-end fund (CEF) universe as discounts remain historically wide across a number of asset classes.

Flows

Over the 3 month period, there were net inflows of $224m led by International Equity strategies at CLIM and Municipal Bond strategies at KIM. We are pleased that there has been a return to growth after a challenging period in capital markets. Sales activity continues to gain momentum as CEF discounts are at compelling levels and there is significant capacity. Marketing efforts are focused on new mandates in a number of the Group's asset classes that have very good long-term performance.

Dividend

The interim dividend of 11p per share was paid on 28 March 2024. As previously announced, savings of c.$2.5m of costs per annum will be fully realised in the next financial year. The Board will announce the final dividend on Thursday 25 July 2024 in its pre-close trading update.

[melton john] 09/4/2024 23:19

If you check the trades you'll see some trades are AT. This means automatic trades entered on the order book by such as brokers and institutions and cutting out the market makers and trading with each other. This is different to the majority of AIM shares which, to guarantee liquidity are quoted for a certain size at an advertised price and prices will move within the advertised spread according to supply and demand and competing market makers bidding against each other. Compare with the car trade, retail investing is like buying and selling with a garage, institutions and brokers are like going to car auctions or off market trades like private trades.

[robsy2] 09/4/2024 22:45

Clig is not an easy share to own. I have been here for years and it has provided dividend income only which has been enough to date , almost.

[2wild] 09/4/2024 19:58

Had limit order at 314p and pay just over 306p today. Still amazes me how spread can gho from around 25p to 2p minutes full stop

[alter ego] 09/4/2024 12:35

what puts me off is the spread. Why so big?

[brucie5] 09/4/2024 12:29

CLIG is part of the Roland Head portfolio, which is not always a guarantee! But Roland does supply useful commentary on results.
I believe dividend cover is touch and go and dependent on whether penciled in growth in earnings can be achieved. He writes:

"Updated forecasts from house broker Zeus available on Research Tree suggest earnings per share of 33.4p per share in FY24, rising to 34.8p per share in FY25. Given the group's cash position, I would guess that hitting these targets would protect the dividend from a cut."

His conclusion is that it represents good value, and he would consider topping up.

Personally, I think that rising investment activity must be something of a rising tide as we see with LIO. The chart on CLIG suggests a large extended bottom - and it's not far off from where it fell in 2020. I imagine that the bod will do what they can to continue maintaining the div even if it eats somewhat into their fairly strong reserves.

[my retirement fund] 08/4/2024 10:04

Nit looked here for a while. Is the dividend now covered ?

[skinny] 28/3/2024 14:18

No dividend payment as yet with HL.

[brucie5] 23/3/2024 13:13

Well obviously I could wrong but it seems to me like this yet another annuity type opportunity, stuck at the bottom of the range. With dividend sustained at >10%. Fact that their EBT is willing to be sat at >2% of the register is surely reassuring?

[masurenguy] 23/3/2024 09:19

The EBT has acquired 50K shares over the past 3 days.

[luderitz] 14/3/2024 18:05

What a dive in share price for City of London since the last time I looked 😕

Thankfully I’m not holding.

[masurenguy] 14/3/2024 16:19

INTERIM DIVIDEND

The dividend of 11p per share (equivalent to 14.1 cents per share) will be paid on 28 March 2024.

[montyhedge] 23/2/2024 08:47

I thought decent figures in a tough market. Finals could we get a special?

[skinny] 23/2/2024 07:18

Yes - quite an enlightening Chairman's Statement.

[deanowls] 23/2/2024 07:14

It seems me Karpus is getting his points across on cash management.

Very strange that they hadn’t had a strategy meeting in three years.

[skinny] 23/2/2024 07:00

HALF YEAR SUMMARY



- Funds under Management (FuM) of $9.6 billion at 31st December 2023. This compares with $9.4 billion at the beginning of this financial year on 1st July 2023 and $9.2 billion at 31st December 2022

- FuM at 31st January 2024 of $9.5 billion

- Net fee income representing the Group's management fees on FuM was $32.6 million (31st December 2022: $31.9 million)

- Underlying profit before tax* was $13.3 million (31st December 2022: $13.6 million). Profit before tax was $11.1 million (31st December 2022: $11.0 million)

- Maintained interim dividend of 11p per share (31st December 2022: 11p) payable on 28th March 2024 to shareholders on the register on 1st March 2024

[covid 19 deal] 22/2/2024 21:30

Whose cash ...who will enjoy investors cash ..time will tell in these ponzy schemes