FOR: CANADIAN GENERAL INVESTMENTS, LIMITED
TSX SYMBOLS: CGI, CGI.PR.D
LONDON STOCK EXCHANGE: CGI
November 4, 2020
Canadian General Investments: Investment Update - Unaudited
TORONTO, CANADA - Canadian General Investments, Limited (CGI) reports on an unaudited basis that its net asset value per share (NAV) at October 31, 2020 was $41.17, resulting in year-to-date and 12-month NAV returns, with dividends reinvested, of 13.2% and 21.3%, respectively. These compare with the -6.1% and -2.3% returns of the benchmark S&P/TSX Composite Index on a total return basis for the same periods.
The Company employs a leveraging strategy, by way of preference shares and bank borrowing, in an effort to enhance returns to common shareholders. As at October 31, 2020, the combined leverage afforded by both forms of leverage represented 20.4% of CGI's net assets, down from 22.7% at the end of 2019 and 24.2% at October 31, 2019.
The worldwide spread of novel coronavirus (COVID-19) and its impact on such factors as business operations, supply chains, travel, commodity prices and consumer confidence, and the associated impact on domestic and international equity markets and fixed income yields, is expected to continue to have a significant influence on the equity markets and could significantly impact the value of investments held by CGI. Morgan Meighen & Associates Limited, the manager of the Company, will maintain its consistent, steady, long-term approach of holding diversified, appropriate investments, while pursuing selective new opportunities.
The closing price for CGI's common shares at October 31, 2020 was $27.60, resulting in year-to-date and 12-month share price returns, with dividends reinvested, of 7.9% and 20.0%, respectively.
The sector weightings of CGI's investment portfolio at market as of October 31, 2020 were as follows:
|
Information Technology
|
27.3%
|
|
Industrials
|
19.7%
|
|
Materials
|
15.0%
|
|
Consumer Discretionary
|
14.7%
|
|
Financials
|
8.2%
|
|
Cash & Cash Equivalents
|
4.2%
|
|
Energy
|
4.1%
|
|
Real Estate
|
3.5%
|
|
Communication Services
|
2.3%
|
|
Health Care
|
1.0%
|
|
Utilities
|
0.6%
|
The top ten investments which comprised 40.5% of the investment portfolio at market as of October 31, 2020 were as follows:
Shopify Inc. | 7.5% |
Franco-Nevada Corporation | 5.1% |
Canadian Pacific Railway Limited | 4.4% |
Cash | 4.2% |
NVIDIA Corporation | 4.1% |
Amazon.com, Inc. | 3.9% |
Apple Inc. | 2.9% |
Mastercard Incorporated | 2.9% |
The Descartes Systems Group Inc. | 2.8% |
First Quantum Minerals Ltd. | 2.7% |
FOR FURTHER INFORMATION PLEASE CONTACT:
Canadian General Investments, Limited
Jonathan A. Morgan
President and CEO
Phone: (416) 366-2931
Fax: (416) 366-2729
e-mail: cgifund@mmainvestments.com
website: www.canadiangeneralinvestments.ca
