Insights On Three Investment Trust Stocks – ICGT, PHI and SEC

ICG Enterprise Trust Plc

ICG Enterprise Trust Plc (ICGT) is an investment company that engages in investments in profitable and cash generative businesses which are unquoted based in Europe as well as the United States of America. The company operates through investing in companies managed by the ICG Group and other direct equity Private Equity Managers and through funds as well. The company also acts as a Global Alternative Asset Manager with €38.6 billion in third-party Assets Under management across 13 countries. The company’s primary strategy is to provide capital to companies to help them grow. The company invests across all levels of capital structure – Private Debt, Equity and Credit. The company’s approach includes investing in companies that operate less in their movements along with the Economic cycles, who are market leaders and have a track record of displaying robust and recurring revenue growth. As far as its Private Equity business is concerned, the firm focuses its approach on Buyouts of established companies as it allows them to achieve its target of achieving consistent returns with minimum risk.

ICGT Financial Performance (Interim Results for six months ended 31 July 2019)

On 3rd October 2019, the company announced interim results for six months ended 31 July 2019. The company reported a Net Asset Value (NAV) per share at GBX 1175.0 with a 12.4 per cent return during the period which exceeded the FTSE All Share Index, which displayed a return of 10.6 per cent in the same period. The company outperformed all public markets in the short term, the medium term as well as the long term. The company reported that a significant percentage of the return was a result of a number of co-investments.  The company made an investment of £118 million in eight funds and reported an H1 2020 (Q1+Q2) dividend of GBX 10.0 per share. The company also announced that Mr Oliver Gardey joined ICG to lead the investment team.

ICGT Share Performance

On 3rd October 2019, at 10:15 AM GMT, while writing, ICGT stock traded at GBX 895.50 per share; an increase of 2.69 per cent or GBX 23.50 in comparison with the previous day’s closing price at GBX 872.0 per share. While writing, ICG Enterprise Trust Plc traded 0.94 per cent below its 52-week high of GBX 904.00 set on April 25, 2019. The company’s Market Capitalisation was GBP 601.48 million.

91,230 stocks of the company have been traded by the time of writing. The average volume of trading per day for last one year has been 59,580. The stock has surged by 3.41 per cent in the previous one year from the price of GBX 864.00 per share.

The beta of the stock was at 0.4575, showing that the share price movement is less volatile compared to the benchmark market index.

 

Pacific Horizon Investment Trust Plc

Pacific Horizon Investment Trust Plc (PHI) is an Investment company, part of the Baillie Gifford group, based in Edinburgh, United Kingdom. The company’s primary strategy is to achieve capital growth by investing in the Asia Pacific (APAC) region excluding the country of Japan as well as in the Indian Sub-Continent. The company’s portfolio includes 8 countries with investments in China and Hong Kong being the largest by the portion of portfolio at 34.4 per cent as on 31st August 2019.  As on 31st August 2019, the company’s total assets before deduction of any borrowings were valued at £220.48 million and the Net Asset Value (NAV) at fair value was at GBX 335.63 as on 2nd October 2019. The company’s ownership in listed equities was topped by SEA Limited ADR at 7.7 per cent of the company’s total portfolio, seconded by Alibaba, the online retailer with 5.3 per cent of the entire portfolio followed by Li Ning, a Chinese supplier of badminton equipment and accessories at 4.1 per cent. As per the company, investors can invest in its range of funds via a number of fund platforms of the UK based banks and financial services companies as well as a number of other online platforms.

PHI Financial Performance (Preliminary results to the year ended 31st July 2019)

On 6th September 2019, the company presented its unaudited preliminary results for the year ended 31st July 2019. The company reported that the NAV per share declined by 1.9 per cent in comparison with the rise in MSCI all country Asia ex-Japan Index by 4.2 per cent in terms of Pound Sterling. The company reported that the underperformance in comparison to the benchmark happened in the first half of the year due to the cyclical economic challenges. The company reported that in the second half of the year the Net Asset Value per share increased by 15.4 per cent and in terms of the annualised return over a 3 year period, the company beat the benchmark MSCI all country ex Japan Index by returning 15.5 per cent as opposed to 12.4 per cent returned by the index. The company did not announce any dividend for the period and highlighted that the investors should avoid investing in the company if they were seeking a regular income from their investments.

PHI Share Performance

On 3rd October 2019, at 11:05 AM GMT, while writing, PHI stock traded at GBX 306.32 per share; a decrease of 0.87 per cent or GBX 2.68 in comparison with the previous day’s closing price at GBX 309.0 per share. While writing, Pacific Horizon Investment Trust Plc traded 12.23 per cent below its 52-week high of GBX 349.00 set on April 25, 2019. The company’s Market Capitalisation was GBP 182.39 million.

17,210 stocks of the company have been traded by the time of writing. The average volume of trading per day for last one year has been 45,250. The stock has plunged by 7.18 per cent in the previous one year from the price of GBX 328.00 per share.

The beta of the stock was at 0.9047, showing that the share price movement is slightly less volatile compared to the benchmark market index.

Strategic Equity Capital Plc

Strategic Equity Capital Plc (SEC) is a Exeter, United Kingdom based investment trust that undertakes funds from various individual investors and institutions such as private banks and pension funds, in order to achieve absolute capital growth, as opposed to a relative approach of beating comparative indexes in the market, in the medium-term period. The company’s target investment industries include the likes of Electronics, Media and Entertainment, Software and Software enabled services, Services supporting other industries (tertiary sector) and Financial Services. The company’s portfolio included the likes of Equiniti, the IFG group, Wilmington Plc, Tribal, Medica group, etc. as on 31st December 2018. The company’s investment manager is GVQ investment management Limited, a United Kingdom based specialist fund and asset manager.

SEC Financial Performance

On 2nd October 2019, the company announced its final results for the year ended 30th June 2019. The company reported a growth in both the Net Asset Value (NAV) and the share price during the period. The company reported that the NAV increased by 2.2 per cent, while in the same period the benchmark comparative index (“FTSE Small Cap Index”) fell by 8.6 per cent. The company has maintained sufficient cash for the perusal of any appropriate investment opportunity, and no gearing has been reported as on 30th June 2019. As a reflection of this performance, the board of the company announced a final dividend for the period at GBX 1.5 per share, an increase of 50 per cent year on year, which will be paid on 13 November 2019, with the ex-dividend date on 10th October 2019 with the contingency of shareholder approval.

SEC Share Performance

On 3rd October 2019, at 11:45 AM GMT, while writing, SEC stock traded at GBX 220.35 per share; an increase of 0.16 per cent or GBX 0.352 in comparison with the previous day’s closing price at GBX 220.0 per share. While writing, Strategic Equity Capital Plc traded 5.43 per cent below its 52-week high of GBX 233.00 set on July 05, 2019. The company’s Market Capitalisation was GBP 139.47 million.

2,390 stocks of the company have been traded by the time of writing. The average volume of trading per day for last one year has been 20,120. The stock has plunged by 5.02 per cent in the previous one year from the price of GBX 228.80 per share.

The beta of the stock was at 0.4625, showing that the share price movement is less volatile compared to the benchmark market index.