Ruffer Investment Share Discussion Threads

[beltd] 13/6/2022 14:36

Good luck on that call. I am definitely in the capital preservation camp at present and RICA offers more than most. Whether it can grow above inflation is a big question mind you, but i am very equity averse at present. I think we will get and we need a correction, but you never know maybe our central banks will save the day. I wouldn't bet on it

[lowtrawler] 30/5/2022 14:59

RICA were certainly positioned better for coronavirus but I believe CGT are better positioned for inflation. I believe the immediate risks are inflation based and so CGT could out-perform RICA if I'm correct. I hold both.

[jonwig] 30/5/2022 14:56

With RICA you get direct protection in a savage downturn, which is obviously why folks are buying it now. With PNL and CGT you get safety protection rather than active protection. All three have done good.

But worth remembering that RICA has pretty high charges, and their portfolio options (or whatever bespoke arrangements they use) charge a premium. Protection doesn't come free!

For myself, I hold PNL and RICA. At present CGT holds a lot of ordinary gilts, which I wouldn't.

[beltd] 30/5/2022 14:26

Indeed premium is high I agree. That said I'd prefer money in RICA than CGT in the event of a correction as history suggests they position themselves and fare better. Maybe that's why the premium is higher?

[lowtrawler] 30/5/2022 11:18

Most recently, the premium has been hovering around 6 - 8%. It will likely be managed down to around 3% and so anyone buying in the market needs to take that into consideration. IMV, it currently makes CGT a more attractive purchase.

[beltd] 30/5/2022 10:59

So most of the ytd share price growth is driven by premium, money flowing to safe havens. If you extrapolate the current nav growth it gives circa 9% return for the year if it continues at this clip.

[beltd] 30/5/2022 10:53

Growth in NAV ytd is ~ 3.8%

[beltd] 30/5/2022 10:50

Well people buying in will keep pushing the premium to nav which I'm sure the mgt will continue to sell into. Beating inflation is going to depend on positioning. The track history has been good but beating inflation at 2% is a very different proposition from 10%. I enjoy reading the monthly newsletter for what is generally a very balanced view of risk and subsequent positions

[disc0dave45] 22/5/2022 18:45

Their 3 year plus 5 year cumulative average return pa is circa 11%, but would guess more folks are now buying into the trust so hopefully will more than beat inflation.

[beltd] 22/5/2022 10:35

No problem. The fund keeps getting mentions in the financial pages and consequently more shares are being released. We are told this should reduce fees per share which to me is something to monitor. There is clearly strong demand and the releases are keeping that 3ish percent premium tethered. Given the volatility of the exchanges right now and the conservative approach to risk I do like this fund although keen to see the current strategy deliver and hope that it beats inflation as oppose to twice the bank rate, which as we all know is way too low

[beltd] 19/5/2022 22:29

About where we are now, 3ish but can get bigger at times. 4m sold at 313 and we still finish here, lots demand

[disc0dave45] 19/5/2022 18:02

HiAnyone know what their 5 year average premium to NAV is?.....I'm guessing around 3%?Thanks

[topvest] 19/5/2022 17:27

It was in their daily article email if that helps at all.

[chester] 19/5/2022 06:14

topvest - I’m with interactive investor, is the rating you refer within an article on ii ?

[topvest] 18/5/2022 20:02

I see Interactive Investor have rated this as the best performing defensive trust ahead of Capital Gearing, Personal Assets and RIT Capital Partners. Impressive.

The extra challenge at the moment though is any trust delivering >10% inflation!

[beltd] 18/5/2022 17:26

Nice to see the nav moving. Feel a bit exposed to Sunak and political pressures with 5% in BP and Shell though. Any thoughts

[beltd] 12/5/2022 16:19

I guess that's the price of the chance of making a reasonable return in these rather ugly times

[spoole5] 12/5/2022 13:59

NAV very static, quite a premium again.

[beltd] 12/5/2022 12:23

Guess the jump reflecting moves in oilers post the last nav update. I wonder if we will reduce oil company exposure given noises on windfall tax. Looking forward to reading the monthly report

[makinbuks] 28/4/2022 14:56

Agreed, investors are looking for alternative safe havens right now and RICA gets a lot of press coverage for that which is what drives the demand. Last ear they issued the maximum permissible shares allowed and launched a public offering as well with prospectus , etc. Curiously that wasn't so well supported but we may see another such exercise this year

[lowtrawler] 28/4/2022 13:10

Yes, the underlying NAV performance does not support the climb we have seen in the price, it is widening the premium. RICA tend to manage the premium by issuing additional shares and so I'm expecting us to step back a little.

[makinbuks] 28/4/2022 11:56

ATH lovely to see but that premium is getting a little toppy. None the less, pleaseing to have NAV over the £3 mark

[stevieweebie2] 28/4/2022 10:39

indeed Steve as am I. its also mine.

[steve c1] 28/4/2022 10:35

All-time high here while the rest of the market zig zags around. Very pleased that this is my largest holding together with cgt and bhmg