Caledonia Investments Share Discussion Threads

[qs99] 30/3/2020 14:18

thanks. Am going to top up on the dips as this looks a quality outfit IMO....all businesses will be suffering to some degree, but its diversity should help. It also may be well positioned to pick out value on the floor......DYOR and GLA

[jonwig] 25/3/2020 07:00

The 3642p NAV on 29 Feb is probably a touch out of date by now!
On the other hand, if the unquoted investments haven't been revalued over the past month, the NAV could still give the illusion of stability.

Yield would be now about 3% which could be attractive but for the fact that some companies are cancelling dividends.

What's the management charge? looks like about 2% pa.

This is what IC said last November:

In some cases there is a large discount because a substantial portion of the shares is held by a large shareholder. This reduces the number of shares available to trade and limits the ability to conduct share buybacks.

For example, the Cayzer family own nearly half of Caledonia Investment Trust’s (CLDN) shares and this trust trades on a double-digit discount of between 10 per cent and 20 per cent most of the time, and sometimes wider. And it is unlikely to get tighter. So although this multi-asset fund has been successful in its objective of steadily growing its net assets and dividends, Caledonia's discount of 16.7 per cent as of 25 November could not be described as a bargain.

This is not a reason to avoid it: if you need a multi-asset fund as a core portfolio holding that tries to limit downside over the long term, this is a possible option. There is no reason to believe that Caledonia won’t continue to make steady total returns and increase its dividend every year.

[muffster] 25/3/2020 06:39

Its loaded with property, hence discount

[johnny1982] 25/3/2020 06:32

Why such an enormous doscount

[qs99] 23/3/2020 09:45

Long term value will out, but its quoted side must have taken a beating IMO

[tykethat] 06/2/2020 11:54

Yes, the discount has proved stubborn. It did move down from 25-30% where it resided for sometime. Performance has been poor recently (last 12 months) with low risk trackers outperforming, even Lifestrategy 20 has beaten it recently.

[qs99] 06/2/2020 10:57

just sticks at c.20% discount IMO....need to do something different to narrow that .....not sure what!

[lozzer69] 06/1/2020 11:54

I have been looking at Caledonia for some time to compliment RIT which I have held for some time. I think the discount will slowly come down as investors start to appreciate its consistent performance. Just bought in ?

[qs99] 17/12/2019 14:05

very quiet thread

[red5] 10/8/2019 12:37

are we expecting good or bad numbers on Tuesday from this one?

[qs99] 17/7/2019 09:27

small fry in big scheme of things but CLDN hold a decent slug of AG Barr don't they? May not help valuations! DYOR

[topvest] 28/6/2019 12:41

To the Employee Share Trust. A great hold forever trust this one.

[qs99] 28/6/2019 09:54

No posts for nearly 6 months! Wow. CEO selling

[bluenose49] 18/1/2019 14:09

£30.00 breached for the first time today.
Very good news!

[tykethat] 08/12/2018 12:55

think the directors could sort out the discount in 6 months if they were inclined.
Just reset the dividend payout to something over 4% paid from capital where necessary.
This strategy has worked in a variety of sectors and/or geographies, although not everywhere (JPM Asian for example) My view is that it would work for Caledonian.... but the major shareholders may not wish it.

[stevegrass777] 30/11/2018 14:01

As above I doubt they are bothered to much, they can live off the income of there holdings I would imagine.

[tiltonboy] 28/11/2018 15:22

They are such long term holders, I doubt they care about the discount.

[mrtenpercent] 28/11/2018 13:45

I'm looking at this seriously for the first time and wondering about the discount. Might the Cayzer family decide to call it a day and wind the Trust up or sell up enough holdings to provide cash to buy back non-family holdings? Why would they want to persist with a structure which is so undervalued by the market? I can see that the IT structure has considerable tax advantages but the persistent massive discount must rankle.

[jaf111] 07/11/2018 11:47

yes....but discount getting worse.....looking back to 4 May post we had 3287p NAV vs 2715p share price....so 237p increase in NAV and share price up 100p

Not sure best way forward here apart from continued patience!

[tiltonboy] 07/11/2018 11:34

That's not an unusual discount for CLDN to be on.

Undeserved yes, but unusual no.

[jaf111] 07/11/2018 11:13

Latest NAV 3524p

Share price 2830p.......

???

[stevegrass777] 28/6/2018 14:38

Looks like a bit of AG Barr sold today by CLDN.
Hopefully they need the money to buy something good.

[contrarian joe] 22/5/2018 17:09

Full year results out 24may.April fact sheet showed nav 3287 at a share price of 2715 discount of 17.4%,ftse 100 has risen around 5% since then so hopefully should see a boost to their nav,have bought in today on an expected discount of 21%/22%.

[bolador] 04/5/2018 15:21

With the large discount, the fall in the pound recently and the better than expected local elections from a business aspect this share looks to be a nice little port to hole up in for the summer and wait out the autumn gales !