www.citlon.co.uk/

int ex 9/2. fin ex 27/11
City of London Investment Management Company Limited operates from four centers, London, Philadelphia (established 1995), Singapore (established 2000) and Dubai (established 2007), managing assets primarily for institutional investors.

In 2002 and 2003 the investment team started to delve deeper into the stages of country development from "developing" to "developed", especially China and India, and the implications thereof, namely, the rise in the consumption of natural resources.

In 2004, using our in-house equities team, we launched the Natural Resources strategy in order to capitalise on the growing demand for natural resources via a stock selection process.

In 2005, we extended our emerging markets expertise into the frontier markets by launching the Frontier Emerging Markets strategy.

In 2009, we applied our unrivaled knowledge of closed-end funds around the world to the development of a Global Closed-End Fund strategy, using the same investment process as in our Emerging Markets Closed-End Fund strategy.

In 2010, our equity team launched the Emerging Market Equity strategy which aims to achieve long term capital growth from investing in companies which derive the majority of their profits from the emerging economies. The strategy provides diversified global emerging markets exposure, although sector and country allocation will be actively managed and stock selection will reflect a strong thematic overlay.

D M. Cardale – Non-Executive Chairman
Barry. M. Olliff – Chief Executive Officer, Chief Investment Officer
Carlos. M. Yuste – Business Development Director
Tom. W. Griffith – Chief Operating Officer


In 2011, our equity team launched the Emerging Market Equity strategy which aims to achieve long term capital growth from investing in small capitalisation companies which derive the majority of their profits from the emerging economies. The strategy provides diversified global emerging markets exposure, although sector and country allocation will be actively managed and stock selection will reflect a strong thematic overlay.

Link copied - Cannacord note

Interim Management Statement

AGM Trading Update

City of London (LSE: CLIG), a leading emerging markets asset management group, provides an Interim Management Statement for the period 30th June 2014 to 30th September 2014. City of London's Annual General Meeting is being held today.

Funds under Management (FuM)

As at 30th September 2014, FuM were US$4.0 billion (£2.5 billion). This compares to US$3.9 billion (£2.3 billion) at the Company's year-end on 30th June 2014. In US dollar terms, this represents a rise of 2.5% against the MSCI Emerging Markets Index (US dollar based), which fell by 3.5% over the same period.

Investment performance across the firm's investment strategies remained strong, with first or second quartile results versus manager peers.

The Company is pleased to announce that $350 million of the $500 million targeted for the EM CEF business within this calendar year has been raised. In addition, $250m is targeted in the present financial year for Diversification products and confirmation of a potential major mandate win is awaited.

Monthly updates of FuM are available on the Company's website.

Operations

The Group's income currently accrues at a weighted average rate of approximately 85 basis points, net of third party commissions. "Fixed" costs for the quarter were under budget at a little over £0.7 million per month, and accordingly the current run-rate for operating profit, before profit-share at 30%, is approximately £1.0 million per month based upon current FuM and a US$/£ exchange rate of US$1.62 to £1. The Group estimates that post-tax profit for the first three months of the year will be approximately £1.6 million.

Having provided shareholders with both a template and assumptions via which they can determine their own estimate of CLIG's profitability, shareholders can accordingly adjust their estimates based on the recent fall in markets.

No adjustments to the assumptions are being made at this time.

Dividends

The final dividend of 16 pence per share, subject to approval at today's AGM, will be paid on 31st October 2014, bringing the total dividend for the financial year 2013-14 to 24 pence.

Remuneration Policy

The Board is aware of shareholder concerns with regard to the firm's remuneration policy.

The main components of City of London's remuneration policy are a fair base salary and an allocation from the bonus pool, which is calculated as no more than 30% of profits. In addition, all full time employees participate in the Employee Share Option Scheme and the Group provides competitive fringe benefits, principally a defined contribution pension scheme. This remuneration policy, which is unchanged since the Group first listed in 2006, has successfully motivated an exceptionally stable management team. The allocation of the bonus pool and the ESOP awards is at the discretion of the Remuneration Committee. The Group has discussed its remuneration policy with its major shareholders, who have collectively expressed support at the manner in which this discretion has been exercised. The Board acknowledges, however, some concerns have been raised regarding the policy, for example regarding the Remuneration Committee's unlimited discretion. It is intended to examine what changes to the policy can be made in order to address these concerns, without undermining its successful application to date.

As regards the firm's ESOP programme, the Board is again unanimous that it is in the best interests of CLIG. It should be noted that the shares issued are non-dilutive as they are purchased in the market, no new shares are issued, and, most importantly, our clients continue to emphasise the desirability of significant staff participation in the equity of CLIG.

Half year results for the six months to 31st December 2014 will be announced on 11th February 2015.

Share buy-back announced today.

Stan - it appears that its only 12,500 shares.

I know but it's all I could afford at the mo -):

:-)

had a few more of these earlier. good recovery stock.

I wish they would recover the only good thing about them for me has been the yield against price at 230 and the current price.

Beter day.

Volumes up today, wonder if thats good or bad.

Stan as long as it keeps to the game plan....

Yep, it seems steady around that 320-330 mark of late.

Still steady in that 320-330 range, but unfortunately traders unlikely to make anything with that silly spread.. still seems to be heading in the right direction these days maybe fundies being trickled in.

Just over 3% spread at the mo, an absolute killer for trading isn't it.

Stan, have you tried a trade to see what you get offered?

No, as I've had a sell order in for some time and the silly spread is in keeping with their norm, but point taken they might bite if I try an individual sell order.

Another B. like this one is CNCT!

I was just offered 332.5 to sell and 338 to buy for 1500.

Still not great - sit back and enjoy the dividend.

No I want to buy something with the proceeds -):