Eight months in, 2024 is already a record year for M&A (mergers and acquisitions) in the investment trust sector.Trust boards are increasingly focused on value for money and shareholder returns amid persistently wide discounts to NAV (net asset value) and with activists nosing around. A major trend underway is mergers between sub-scale trusts with similar remits to create funds large and liquid en

At the end of last year the market was pricing in 1.7% worth of US rate cuts for 2024 but here we are in late August and the Federal Reserve is yet to pull the trigger, largely due to stickier-than-expected inflation.However, after a series of false dawns, we may finally be approaching the point where the Fed acts, with a rate cut widely expected on 18 September. The debate largely centres on whet

There's no doubt the shock departure of a star fund manager or well-followed stock picker is a red flag, but there are various reasons why successful portfolio managers choose to leave their investment management firm and therefore their funds.And, as with most aspects of investing, there are no hard and fast rules about what investors should do when their fund manager ups sticks. Much depends on

According to data from the AIC, the average investment trust discount to net asset value has widened from 12.2% at the end of 2022 to 14.5% as of 8 September 2023, while sector averages have generally widened. The exception is private equity, which narrowed from 25.1% to 4.5%, skewed by 3i's (III) dramatic swing from discount to premium.While this presents an opportunity to buy into parts of the m

It has been a tough few weeks for investors in Ecofin US Renewables (RNEW), with its share price taking a hit from unwelcome news.A tornado damaged one of its wind farms which accounts for more than a third of its net asset value. Mice eating through cables at one of its solar farms caused further interruptions, and the dividend has been cut in half temporarily.The problems in this space are not l

UK investment trusts are trading at the widest discount seen since the 2007/8 financial crisis, according to recent research from Numis and Winterflood. Against a backdrop of weak investor sentiment, the sector weighted average discount widened from 2.3% at the start of 2022 to 16.4% by the end of March 2023.For example, the Global sector is currently trading on a 9.27% discount to NAV versus a fi

The last two times the average investment trust discount went into double digits, shares in Migo Opportunities Trust (MIGO) went on to rally hard. Could we see the same again for this £82 million investment vehicle?The average discount to net asset value for investment trusts went from 2.4% at the start of 2022 to 12.6% at the end of October, according to Refinitiv. Reasons why trusts have traded

This year's market turmoil has caused many investment trusts to trade below their average discount to net asset value. It means investors can often buy £1 worth of assets for 90p or thereabouts.A popular trading strategy is to find investment trusts on wider than normal discounts and buy them in the hope the discount narrows. The trick is to understand which trusts have become cheaper due to a on

Many micro-cap funds are struggling as investors shun the very bottom part of the UK stock market. Weaker sentiment towards illiquid stocks in the wake of the Woodford fund suspension also doesn't help matters.The fund managers targeting this space remain confident there is value to be generated from buying select smaller companies. They look for valuation anomalies where stocks trade at a discoun

Good financial planning can make a big difference between a happy life and one that is more stressful due to worries about money. We all have big events in our lives that require a cash outflow and so it really helps to be financially prepared.Growing concern in the UK about rising consumer debt is particularly relevant. Too many people rely on credit to fund their lifestyles and too few people ar

Investing in a single country fund typically involves a higher degree of risk than a more diversified alternative but it has the potential to deliver some spectacular returns.Single country investment trusts are available for the main developed markets such as the US and Japan, as well as more specialist areas like Russia, India, Qatar, Vietnam, China, and Brazil.The USEmma Bird, a research analys

Global stock markets finished 2016 in a buoyant mood with the FTSE and the Dow starting the new year at or close to all-time highs. In bull markets it is easy to ignore the potential pitfalls of investing, but the list of macro events that could bring it all crashing down seems to be longer than ever.In Europe there is a real risk that Brexit could help to inspire a far-right win for Marine Le Pen

Many investors are unnerved by investment trust discounts and premiums and it's all too easy to be confused. Yet the concepts are quite simple and they shouldn't put you off these investment vehicles. Understanding the difference between discounts and premiums is important. If you do not it can cost you money.The total sum of an investment trust's holdings, minus any liabilities, is known as its n