Philosophy
City of London Investment Management (CLIM) is an active value orientated equity manager specializing in Closed-End Funds. It should be emphasized that CLIM’s investment strategy differs from that of a traditional manager, in that we capitalize on the very real and identifiable inefficiencies Closed-End Funds offer. A Closed-End Fund has a fixed capital structure, which is comprised of shares that are listed and traded on a stock exchange via a stock broker. These shares trade at whatever value the stock market puts on them. In effect, a Closed-End Fund trades at a price that reflects demand. Demand, or the lack of it, is reflected in shares trading at a premium or a discount to Net Asset Value (NAV). Our excess return, or alpha, is generated by purchasing Closed-End Funds at a discount to NAV. Further benefits of Closed-End Funds include lower transaction costs and more flexible and faster asset allocation and access to some markets that are effectively closed to direct investment.
City of London Investment Management Company Limited (“CLIM”) is authorised and regulated for the conduct of investment business within the UK by the Financial Conduct Authority (FCA) and is registered as an Investment Advisor with the United States Securities and Exchange Commission (SEC). Registered in England and Wales No. 2851236. Registered Office: 77 Gracechurch Street, London, EC3V 0AS, England.
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