RIT Capital Partners' chairman, Jacob Rothschild, has around £223m invested in the trust. Part of the reason for the large holding is that the fund was originally set up to preserve the wealth of the Rothschild family. The Rothschild family owns well over a third of assets, which aligns their interests with shareholders', but also gives them considerable control over the trust.
RIT Capital trust has delivered good long-term returns, although has not done so well over one and three years. However, like Caledonia, the trust has proved its worth in mitigating downside and makes positive returns in most years (read more) and in 2008 lost considerably less than its benchmarks – the MSCI World Index and the FTSE All-Share – and the average global growth fund. Its aim is to deliver long-term capital growth and increases in capital value in excess of these indices over time while preserving capital.
The trust is included in Investors Chronicle's list of Top 100 Funds and is one of our 'buy' tips.
As a result, recent market volatility has meant that the trust has been in demand and trades at a premium to net asset value (NAV) of 1.64 per cent, albeit lower than its 12-month average.
RIT Capital invests in direct holdings and other funds, both quoted and unquoted. However, its total expense ratio (TER) of 1.55 per cent is much more reasonable than those of many multi-asset funds and funds of funds. Its investments include more unusual assets such as private equity, which can be more expensive to invest in.
RIT CAPITAL PARTNERS (GB0007366395) | |||
PRICE | 1,227p | GEARING | 114% |
AIC SECTOR | Global Growth | NAV | 1,157.5p |
FUND TYPE | Investment trust | PRICE PREMIUM TO NAV | 1.64% |
MARKET CAP | £1.88m | 1-YEAR PRICE PERFORMANCE | -3.47% |
SET-UP DATE | 15-Jun-88 | 3-YEAR ANNUALISED PRICE PERFORMANCE | 11.21% |
TOTAL EXPENSE RATIO | 1.53% | 5-YEAR ANNUALISED PRICE PERFORMANCE | 4.96% |
YIELD | 0.33% | MORE DETAILS | www.ritcap.co.uk |
Source: Morningstar.
Performance data as at 16 January 2012.
TOP 10 HOLDINGS as at 30 September 2011
HOLDING | PERCENTAGE |
Agora Oil and Gas | 2.5 |
Findlay Park | 2.5 |
Titan Partners | 2.1 |
DAX Global Mining Index ETF | 1.9 |
Tontine Overseas Associates | 1.8 |
Xander funds | 1.8 |
Baker Brothers Life Sciences | 1.7 |
Cedat Rock Capital | 1.7 |
Vallares | 1.5 |
Independent Franchise Partners | 1.5 |
Geographic breakdown
HOLDING | PERCENTAGE |
US | 31 |
European emerging | 18 |
Other | 15 |
Europe ex UK | 13 |
UK | 11 |
Japan | 6 |
Cash and equivalents | 4 |
Asia ex Japan | 2 |