F&C Investment Trust (FCIT) Investor update summary

Portfolio Overview and Strategy

• Maintains a diversified global portfolio focused on listed and private equity, with a market cap around £6 billion and a long-term growth and income objective.

• Shifted from a UK-biased to a global approach since 2013, resulting in strong shareholder returns and outperformance versus UK indices.

• Top holdings are dominated by US technology stocks, including NVIDIA, Microsoft, Alphabet, Apple, and Amazon; moderately overweight NVIDIA, underweight other major tech names.

• Uses low-cost, fixed-rate debt (average 2.4%) to enhance returns, with debt well diversified across maturities.

• Ongoing charges figure is 0.45%, emphasizing value for money and cost efficiency.

Performance and Peer Comparison

• Delivered a 14.6% shareholder return last year, outperforming its benchmark and ranking second quartile among global peers.

• Achieved 12.0% NAV growth in 2025, with strong long-term performance and shareholder returns consistently above UK equities.

• Over longer periods, typically first quartile in shareholder returns and leading in NAV returns over five years.

• Performance against UK value trusts is mixed in the short term but strong over a 10-year horizon.

Market Outlook and Macro Themes

• Global growth remains resilient, with expectations for further rate cuts in the US and UK, while Japan and Europe are likely on hold or may hike further.

• AI and technology investment are major themes, driving capital expenditure and market differentiation.

• Geopolitical risks, government debt, and fiscal deficits are noted as sources of volatility, but fundamentals for equities remain constructive.

• Corrections are normal; timing the market is challenging, and long-term investment is emphasized.