Bell Potter LIC Weekly: Clime Capital Cuts June Quarter Dividend

By William Gormly | More Articles by William Gormly

Clime Capital cuts June quarter dividend

Clime Capital Limited (CAM) has announced a 16% YoY cut to the fully franked June quarter dividend. The declared 1.05cps distribution is a 19% decrease from the 1.30cps fully franked March 2020 dividend. The Board referred to withdrawn and delayed dividends from the underlying companies in the CAM portfolio as a reason for the cut, whilst reassuring shareholders that the LIC retains a significant profit reserve for the declaration of future dividends. At the end of 2019, CAM had a profit reserve of $15.9m and a franking credit balance of $727k.

Golden performance in 2020

Lowell Resources Fund (LRT) provides investors with access to a diversified portfolio of Australian and international junior resources companies. The extreme volatility and equity market sell-off has benefited LRT and the heavy gold weight in the portfolio, which has increased from ~40% to ~60% over the first 5 months of 2020. As at 17 June, the LRT unit price and NAV had increased 105.6% and 69.8%, respectively, in 2020. LRT closed the week 8.4% off the high experienced on 17 June.

For full details refer to the detailed report below or click here to download your copy.

William Gormly

About William Gormly

William Gormly is an ETF/LIC Specialist at Bell Potter Securities. Will provides comprehensive coverage of the ETF and LIC sectors, producing a range of highly regarded reports covering investment fundamentals, asset class structure and cost, and the role of managed investments in portfolios.

View more articles by William Gormly →