BEYOND SHARES: unit trusts, ETFs and other investment instruments
Protect capital, beat inflation
CGT has provided consistent returns since 1973, writes Warwick Lucas
In an uncertain world with inflationary pressure and geopolitical conflict, where might you get some certainty?Capital Gearing Trust (CGT) was listed on the London Stock Exchange in 1973. Through multiple market crises and geopolitical events, the fund has only delivered one year of negative performance in its history (2013), while providing consistent inflation-beating returns.From 2000 to date, CGT has delivered an annualised return of 8.3% (in pounds) with a standard deviation of 1.7%, compared to the return of 4.1% and a standard deviation of 4% for the UK stock market. Simplistically, CGT has delivered twice the return in this period with less than half the risk.Peter Spiller has been investment manager since 1982 and founded CG Asset Management (the investment management company) in 2000. He has been joined by two fellow investment managers on CGT in recent years, providing a long-term succession plan.The trust’s objective is to first preserve capital and to grow real sharehol...
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