Here’s a snippet from last year’s annual report:
“A global equity fund such as Bankers is therefore well placed to offer an attractive investment for people saving for their future. £1,000 invested 30 years ago with all dividends re-invested would today have a value of £38,951. This compares with the return from cash invested in a bank deposit account with interest over that same period of £4,145. These are difficult times for savers, as cash deposits carry negative real interest rates; whereas there are real merits of investing in a savings product offering such as Bankers. It has a superior track record of long-term capital growth and increasing dividends in real terms. The above figures showing the comparison of returns over 30 years speak for themselves.”
(Unfortunately, I have only held this for the past 3 years!).
|can you name them all?|
They have a distinguished record of having increased dividends in each of the past 46 years (that’s since England last won the World Cup!).
Geographic weighting is more focussed on Europe - UK is 41% and the rest of Europe 12.5% - other areas are US 20%, Asia/Pacific 13% and Japan 10%.
They have just released their interim report for the half year to 30 April (link via Investegate).
A well positioned portfolio and the improving confidence in equity markets has resulted in a strong performance in the first 6 months of the financial year. Net asset value per share has risen by 16.6%, compared to a rise of 12.1% in the FTSE All-Share Index during the period.
|Bankers -v- City of London 12m comparison|
(click to enlarge)
The share price has increased from 433p to 536.5p - up 24% as the discount to NAV has narrowed to 3%.
Management costs are lower than most at just 0.4%p.a. which means more of the returns are passed on to shareholders. Revenue reserves have increased and represent more than double the total dividends paid out in the past year.
“As your Company marks its 125th year, it is clear to me that Bankers has an investment style that has stood the test of time and delivered considerable returns to investors over the long term. The simple philosophy of investing in high quality companies, whilst not overpaying, remains at the core of Bankers and this should result in many more years of success.” R.D.Brewster, Chairman
Not much chance of this banker going to jail for being reckless!