Canadian General Investments, Limited (CGI) (TSX:CGI) (LSE: CGI) has announced impressive unaudited net asset value per share (NAV) returns for the year-to-date and 12-month periods ending on July 31, 2024. The company’s NAV per share stood at $65.46, resulting in returns of 18.6% and 14.7%, respectively, when dividends were reinvested.
These returns outperformed the benchmark S&P/TSX Composite Index, which recorded returns of 12.3% and 15.7% for the same periods. CGI attributes its strong performance to its leveraging strategy, which involves bank borrowing to enhance returns for common shareholders.
As of July 31, 2024, CGI’s leverage represented 12.8% of its net assets, a decrease from 15.1% at the end of 2023 and 14.5% at July 31, 2023. This reduction in leverage demonstrates the company’s commitment to managing risk and maintaining a strong financial position.
CGI’s common shares closed at $40.50 on July 31, 2024, delivering year-to-date and 12-month share price returns of 18.2% and 14.3%, respectively, when dividends were reinvested.
Diversification is a key aspect of CGI’s investment strategy, with sector weightings of its portfolio as of July 31, 2024 as follows: Industrials (22.5%), Information Technology (21.6%), Financials (13.2%), Energy (13.0%), Materials (12.2%), Consumer Discretionary (10.0%), Real Estate (4.2%), Cash & Cash Equivalents (1.8%), and Communication Services (1.5%).
Furthermore, CGI’s top ten investments, which accounted for 39.1% of the investment portfolio as of July 31, 2024, include prominent companies such as NVIDIA Corporation, TFI International Inc., Canadian Pacific Kansas City Limited, Apple Inc., The Descartes Systems Group Inc., WSP Global Inc., Franco-Nevada Corporation, West Fraser Timber Co. Ltd., Mastercard Incorporated, and Amazon.com, Inc.
For more information about Canadian General Investments, please contact Jonathan A. Morgan, President & CEO, at (416) 366-2931 or via email at cgifund@mmainvestments.com. Additional details can also be found on the company’s website at www.canadiangeneralinvestments.ca.