From Morningstar: 2025-04-04 04:47:00

In the first quarter of 2025, only eight out of 28 UK-listed investment trusts with a Morningstar Medalist Rating saw growth, with the City of London Investment Trust (CTY) leading the pack with a 7.90% rise. Conversely, the Polar Capital Technology Trust (PCT) lost 16.36%, with its share price 11.47% below its NAV.

The City of London Investment Trust (CTY) emerged as the top performer, rising 7.9% over the past three months, outperforming its benchmark by 2.74 percentage points. Fidelity European Trust (FEV) and Henderson European Trust (HET) also showed positive growth, while STS Global Income & Growth Trust (STS) and Personal Assets Trust (PNL) posted gains.

Conversely, Polar Capital Technology Trust (PCT) was the worst performer, falling 16.36%, and BlackRock Smaller Companies Trust (BRSC) dropped 10.91%. JPMorgan American Investment Trust (JAM), Pacific Assets Trust (PAC), and abrdn UK Smaller Companies Growth Trust (AUSC) also experienced declines over the quarter.

Calculating investment trust performance involves tracking both daily share price and net asset value (NAV) changes. Most trusts trade at a discount to NAV, affecting overall returns. For example, the City of London Investment Trust saw a 7% gain in NAV terms, but only a 3.5% increase in share price terms for the quarter. Morningstar’s total return calculation factors in NAV changes, distributions, and reinvestments to provide accurate performance data. 1. The stock market reached record highs today, with the S&P 500 closing at 4,500 points for the first time. This surge was fueled by positive economic data, including a decrease in unemployment rates and strong corporate earnings reports. Investors are optimistic about the market’s future performance.

2. A new study published in a leading medical journal found that the Pfizer-BioNTech COVID-19 vaccine is highly effective in preventing hospitalizations among children aged 12-15. The study reported a 93% efficacy rate in this age group, providing further support for the vaccine’s safety and efficacy.

3. The United Nations released a report highlighting the urgent need for action on climate change. The report warned that global temperatures are on track to rise by 1.5 degrees Celsius above pre-industrial levels within the next two decades, leading to more frequent and severe natural disasters. Immediate action is needed to mitigate the impact of climate change.

4. The US Department of Labor reported that jobless claims fell to a new pandemic-era low last week, with 348,000 Americans filing for unemployment benefits. This marks a positive trend in the labor market as the economy continues to recover from the impact of the COVID-19 pandemic. Job creation and economic growth are expected to accelerate in the coming months.



Read more at Morningstar: How The Best Investment Trusts Performed in Q1 2025