Investment trusts raised more money last week than they did in the whole of last year, with the industry remaining on course for a record-breaking year.
During the week, five trusts raised a gross total of £1.6 billion whereas during the whole of 2012 a total of £1.4 billion gross was raised through new issues and placings.
Last week, it was confirmed that Riverstone Energy had attracted £760 million in its initial public offering, while the Foresight Solar fund reaped £150 million on its stock market debut. The NB Global Floating Rate Income fund netted £425 million in a share placing, the Battle Against Cancer Investment Trust £200 million – twice what it had sought – alongside the MedicX fund which attracted £49 million. These figures are based on gross numbers and new issues and placings only and do not include the standard issues of shares from trusts that hold some in treasury and release them to manage their premia.
Over the year to the end of September, the investment trust sector had already enjoyed net inflows of £1.7 billion, with the Association of Investment Companies (AIC) tipping 2013 as a record year. The previous peak for net inflows was 2008, the industry attracted £2 billion.
Until last week the largest new launches of the year were CVC Credit Partners European Opportunities and the Renewables Infrastructure Group, which both secured £300 million each, followed by Greencoat UK Wind on £260 million.