Bell Potter LIC Weekly: LICs Or ETFs?

By William Gormly | More Articles by William Gormly

Traditionally, the main differentiating factor between Exchange Traded Funds (ETFs) and Listed Investment Companies (LICs) was the employed style of management.

However, with a growing suite of rule-based Exchange Traded Products this is now much less pronounced. Given the persistence of discounts, many actively managed closed-end funds are also now opting to restructure through the appointment of market makers and by disclosing all holdings on a daily basis.

Bell Potter’s Indicative NTA tracks the ‘indicative’ movement of a LIC’s underlying NTA each month by monitoring the percentage movements of the disclosed holdings and using an index to track the movement of the remaining positions.

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.

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