Multi-asset managers have been forced to move into specialist vehicles or even switch to open-ended funds as the number of closed-ended vehicles trading on a premium to NAV hits a post-crisis high.
A quarter of investment trusts and venture capital trusts, 95 out of the 395-strong universe, are currently trading on a premium, according to the AIC. This is the highest number since before the financial crisis, as equity markets have rallied to record highs since the start of the year. Income-focused investment trusts have seen the biggest rises, with the likes of Law Debenture and F&C Commercial Property trading on double-digit premiums. Richard Scott, chief investment officer at Hawksmoor Investment Management, is one manager taking profits on investment trusts in the view the...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
