City Of London Investment Share Discussion Threads

[montyhedge] 20/1/2022 15:03

Been in this narrow trading range for about a year, wonder when we have a break out, any chartists out there.

[montyhedge] 19/1/2022 13:44

You know it's a great share with growing dividends.

[stun12] 19/1/2022 12:29

I managed to buy 2000 at 512, tried to buy another 1000 but couldn't, so left a limit order at 513. Now filled. AJ Bell. Replacing stock sold at 540 and 525. Nice to own them again :-)

[janeann] 19/1/2022 09:38

added a few more at 508; now cant get an online quote to buy even 200 shares but can sell loads at 503!

[skinny] 19/1/2022 08:47

Well that seems well received - reassuring on a day like today.

Robsy2 - I always am. :-)

[joe say] 19/1/2022 07:47

Love the special dividend

[masurenguy] 19/1/2022 07:26

Excellent interim update and dividend increase !

SIX MONTHS TO 31 DECEMBER 2021 TRADING UPDATE, DIVIDEND AND SPECIAL DIVIDEND DECLARATION

The Group estimates the unaudited profit before amortisation and taxation for the six months ended 31 December 2021 to be approximately £15.5m (2020: £9.9m). Inclusive of our regulatory and statutory capital requirements, cash in the bank stood at £24.5m at the end of the calendar year (£25.5m as at 30 June 2021), in addition to the seed investments of £6.1m. Our cash reserves will allow us to continue managing the business conservatively through volatile markets while following our dividend policy for our shareholders. The Company is currently in a close period which will end with the publication of results for the six months ended 31 December 2021 on 18 February 2022.

Dividend

The Board declares an interim dividend of 11p per share, which will be paid on 25 March 2022 to shareholders registered at the close of business on 25 February 2022 (2021: 11p). In addition, the Board announces a special dividend of 13.5p per share, which will also be paid on 25 March 2022 to shareholders registered at the close of business on 25 February 2022 (2021: Nil).

[rogerbridge] 19/1/2022 07:23

A splendid announcement and most welcome special dividend in these inflationary times.

[robsy2] 19/1/2022 07:17

Morning Skinny, you are up and about early today!
Excellent update. With the interim dividend of 11p +13.5p special and if conservatively we plug in a final the same as last year at 22p, then we have 2022 divis of 46.5p for a yield of around 9.3%. Surely this supports an share price of nearer 600p than 500p?
At 600p we still have a cash covered yield of 7.75%.

[skinny] 19/1/2022 07:02

.




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 on a consolidated basis, as at 31 December 2021, FuM were US$11.1 billion (GBP8.2 billion). This compares with US$11.4 billion (GBP8.3 billion) at the Group's year end on 30 June 2021.

IM Performance

Solid relative performance across CLIG's investment strategies resulted from good NAV performance at the underlying closed end funds and positive discount effects.

Over the period, there were net inflows of circa US$59 million across the Group's strategies, due to asset raising for the International Equity strategy. Year-end rebalancing and tax planning led to outflows from the EM and KIM strategies.

Business development will focus on EM, International, and Opportunistic Value strategies, and KIM balanced mandates, where additional capacity is now available for prospects.

Operations

The Group's income currently accrues at a weighted average rate of approximately 72 basis points of CLIM's FuM and at approximately 76 basis points of KIM's FuM, net of third party commissions. "Fixed" costs are c. GBP1.6 million per month, and accordingly the current run-rate for operating profit, before profit-share is approximately GBP3.3 million per month based upon current FuM and a US$/GBP exchange rate of US$1.3532 to GBP1 as at 31 December 2021.

The Group estimates the unaudited profit before amortisation and taxation for the six months ended 31 December 2021 to be approximately GBP15.5 million (2020: GBP9.9 million).

Inclusive of our regulatory and statutory capital requirements, cash in the bank stood at GBP24.5 million at the end of the calendar year (GBP25.5 million as at 30 June 2021), in addition to the seed investments of GBP6.1 million. Our cash reserves will allow us to continue managing the business conservatively through volatile markets while following our dividend policy for our shareholders.

The Company is currently in a close period which will end with the publication of results for the six months ended 31 December 2021 on 18 February 2022.

Dividend

The Board declares an interim dividend of 11p per share, which will be paid on 25 March 2022 to shareholders registered at the close of business on 25 February 2022 (2021: 11 pence).

In addition, the Board announces a special dividend of 13.5p per share, which will also be paid on 25 March 2022 to shareholders registered at the close of business on 25 February 2022 (2021: Nil).

Shareholders may choose to reinvest their dividends using the company's Dividend Reinvestment Plan, to do this please visit www.signalshares.com or if you hold your shares through a broker please contact them. The deadline to lodge your election is 4 March 2022.

Dividend cover template

Please see dividend cover template attached here.



The dividend cover template shows the quarterly estimated cost of dividend against actual post-tax profits for last year, the current six months and the assumed post-tax profit for the remainder of the current year and the next financial year based upon specified assumptions.

[masurenguy] 06/1/2022 16:37

Given that the last published FUM had slipped by circa 4% I would probably agree with your current guesstimate on the interim dividend.

[montyhedge] 06/1/2022 12:17

18th Feb interims, what’s the guest on the dividend my feeling is 11p ?

[eggbaconandbubble] 15/12/2021 08:48

You can have a wodge at 550p if you like?

[luderitz] 14/12/2021 21:47

I set some limit buys today and none tripped so if any of you lot want to sell any just tip me the wink will you -);

[skinny] 14/12/2021 15:08

That's interesting nobbyx, I bought in 2013 @235.40p and have received 102.65% of the original capital outlay as dividends.

[masurenguy] 14/12/2021 14:54

Well nobbyx, CEO Tom Griffth has been with the Group for 20 years and has worked hand-in-glove with Barry Olliff (who remains an NXD) for a long period of time. Hopefully he will maintain the core legacy standards of ethics and transparency that he inherited from his mentor.

[nobbyx] 13/12/2021 14:11

Masurenguy, I totally agree with your estimation of Barry Olliff's character and probity. He has been a model of how a person running a public company should treat its shareholders.
I've been a shareholder since CLIG's AIM days of 2008. My cummulative dividend income now equals the amount I've invested in the shares. Taking the opportunity of today's bargain share price I bought a few more. This has marginally increased my average cost which prior to today was £2.693.
This is not a share which will allow anyone to 'get rich quick' but as I prefer to have an easy life 'getting rich slowly' it suits me.
I of course keep a close eye on CLIG as I do on all my other investments, but CLIG's sometimes significant day-to-day price swings concern me not a whit. It's what happens with small companies with low share turnovers.
If I wanted to live a thrilling life while taking the chance of losing my shirt I'd be in something like Bitcoin - or perhaps betting on horses.

[eggbaconandbubble] 10/12/2021 15:22

I suspect it is one of the smaller shareholders (less than 3% or is it 5%?) who do not need to notify the Stock Exchange.

Either way it has now reduced the share price 'ceiling' from 550p to below 500p

[masurenguy] 07/12/2021 09:47

If it is Karpus then at some point they will have to issue an RNS.

[creme de menthe] 07/12/2021 09:02

There is no shortage of shares for those who want to buy. The seller is probably Karpus who has (or had) 34m shares. Until the seller stops its looks like we are stuck at the 500p level, not at the 600p level I had hoped.

Still, firm buying by directors at 475p gives me some confidence in the company even if Oliff is simply buying to make a profit.

[masurenguy] 06/12/2021 13:45

Seller still around & their shares snapped up by another CLIG director at the discounted price of £4.75.

"Executive Director Carlos Yuste, has purchased 50,000 ordinary shares in the Company at a price of £4.75 per share. Following this purchase, Mr. Yuste's beneficial interest is 200,522 Ordinary Shares, representing approximately 0.4% of the Company's issued share capital."

[montyhedge] 06/12/2021 12:36

No one can resist a bargain. BO I reckon will be here longer where else can he get that kind of yield.

[daijavu] 06/12/2021 11:28

Isn't Oliff winding down prior to retiring?

[luderitz] 04/12/2021 23:40

No pleasing some people.