F & C Investments

F&C Global Smaller Companies

  • Aiming for attractive long-term returns with low volatility

  • How to Invest

    Open an F&C Savings Plan

    Call: 0800 136 420

    Invest online now

    Or contact your usual investment broker

  • Performance

    The F&C Global Smaller Companies trust aims to deliver a high total return, with a focus on capital growth. By investing a global spread of shares, the fund manager seeks to reduce the higher levels of volatility associated with smaller companies. Over five years, the trust has outperformed its benchmark (30% Numis UK Smaller Companies (ex investment companies) Index / 70% MSCI all country World ex UK Small Cap Index.

    What is Net Asset Value (NAV)?

    Each investment trust calculates the net asset value of a share by adding up the value of all the securities owned by the trust divided by the number of outstanding shares. The NAV can be viewed as the amount of money investors would receive per share if all of the securities owned by a trust were sold and distributed to the shareholders.

    Share price

    The share price of the Trust is determined by demand and supply in the stock market and does not always reflect the underlying value of the share portfolio.

  • Fund manager commentary

    Markets ended the year strongly, with investors continuing to respond positively to the US election result, and largely shrugging off the resignation of the Italian Prime Minister. European small caps were particularly strong, helped by some more positive economic data in the month, while Asian and Latin American stocks lagged, as we await confirmation over the extent to which the new US administration will be protectionist.

    The NAV and share price were both up, but lagged the rise in the benchmark in December.

    The best of the regional returns came from our European portfolio, where a number of holdings rose by double-digit percentages. Spanish broadcaster Mediaset rose amid bid speculation from French operator Vivendi for their Italian counterpart and major shareholder. Italian asset manager Azimut was strong despite the distraction of the country’s referendum result, while Norwegian bank Sparebank rose again, helped by a lifting interest rate curve.

    The UK portfolio was also well up in the month, with takeover activity boosting the share price of electronics business E2V by more than a half, while a contested bid battle developed for equipment hire business Lavendon. Faroe Petroleum shares rose strongly as the company extended its banking facilities and the oil price continued its rally, while Revolution Bars was strong after weakness earlier in 2016. On the downside, there were profit warnings from sports agency and marketing business TLA Worldwide and insurance underwriter Novae Group.

    In the US, shares built upon the November rally post the election of Donald Trump. Two of our best performers in this market were the bank, Franklin Financial, which received an upgrade, and agricultural services business The Andersons, which also benefited from a positive initiation from a broker. On the more negative side Carrizo Oil and Gas was downgraded and LKQ, the recycled car parts business failed to keep up with the rally.

    Our fund portfolios focused on Japanese and Asian small caps lagged the local indices in the month although there were no major particular underperformers.

    As at 31 December 2016

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     Global Smaller Companies - performance chart

     Source: Lipper and F&C. Basis: share price, 30.12.2016

    Performance (%) as at 30.12.2016

    Cumulative performance  1 month Year to date 1 Year 3 Years 5 Years
    NAV (diluted) 3.3 25.0 25.0 48.4 133.3
     Share price 3.4 25.8 25.8 50.2 142.6
     Benchmark 3.8 28.1 28.1 44.3 119.0
    Discrete annual performance  2016 2015 2014 2013 2012
     NAV (diluted) 25.0 10.8 7.1 31.1 19.9
    Share price 25.8 10.9 7.8 31.1 23.1
     Benchmark 28.1 6.2 6.0 29.4 17.4

     

    Source: Lipper and F&C. Basis: Percentage growth, total return, bid to bid price with net income reinvested in sterling. Basis in accordance with the regulations of the Financial Conduct Authority. Past performance is not a guide to future performance. Values may fall as well as rise and investors may not get back the full amount invested. Income from investments may fluctuate. Income payments may constitute a return of capital in whole or in part. Income may be achieved by foregoing future capital growth. Changes in rates of exchange may have an adverse effect on the value, price or income of investments.

     

  • Share price

    1225.00p-2.00p

    closed

  • Peter Ewins

    Peter Ewins

    Fund Manager

Past performance is not a guide to future results. The value of investments can go down as well as up.

The shares of the Company are listed on the London Stock Exchange. Information in this section of the website concerning the Company is directed solely at persons who are located in the UK. Nothing on this website is, or is intended to be, an offer, advice, or an invitation, to buy or sell any investments. Potential investors must read our full terms and conditions before proceeding further with any investment product referred to on this website. The information on this website may not be suitable for everyone, and retail investors unsure whether an investment product referenced on this website will meet their individual needs should seek advice before proceeding further with such product.

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