Lindsell Train IT premium falls

[stevensfo]

Following on from the discussion about the Lindsell fund, I just looked up the Lindsell IT (LTI) on Interactive Investor and the premium is at 1.1%. I may be wrong, but I vaguely remember talk of it being above 20% at some stage in the past. What I find strange is that the drop in LTI's share price and premium is not reflected in Train's other IT, FGT.

Steve

[SalvorHardin]

Following on from the discussion about the Lindsell fund, I just looked up the Lindsell IT (LTI) on Interactive Investor and the premium is at 1.1%. I may be wrong, but I vaguely remember talk of it being above 20% at some stage in the past. What I find strange is that the drop in LTI's share price and premium is not reflected in Train's other IT, FGT.

Lindsell Train Investment Trust's premium mostly represents its 24% shareholding in the Lindsell Train management company, which is unquoted.

The premium has collapsed because thanks to Neil Woodford there are now concerns about "star" fund managers and thus the value of their management companies. Even though Nick Train's style is nothing like Woodford's.

Finsbury Growth and Income doesn't own any shares in Lindsell Train, so there's no premium to reduce.

FWIW I don't own shares in LTI but have a big holding in Finsbury Growth and Income. The collapse in LTI's premium seems a bit extreme at first glance.

[monabri]

The premium has approached 100% ( versus NAV).

https://www.hl.co.uk/shares/shares-sear ... are-charts

[jonesa1]

The premium has approached 100% ( versus NAV).

https://www.hl.co.uk/shares/shares-sear ... are-charts

and wouldn't you be gutted if you'd invested then? To be fair to LT, they have been advising against investing in LTI at a high premium.

[ffacoffipawb64]

Couldnt resist, bought at 1067 today for my SIPP.

[msantiago]

The liquidity in this trust is awful. Given the huge fall in premium I was tempted to buy but the bid/offer is close to 5%.

[onslow]

LTI quoted as down 60% this morning on both IG and HL - not sure if just a quote or actual trade at this level....could be good opportunity,,,

[SalvorHardin]

LTI quoted as down 60% this morning on both IG and HL - not sure if just a quote or actual trade at this level....could be good opportunity,,,

Looks like someone dumped a mere 55 shares before official opening. There's a trade of 55 shares recorded at £400 at 08:05:36. Then there's what I would call a more "normal" trade of 7 shares at £1,000p at 08:16:40.

https://www.londonstockexchange.com/exc ... ml?lang=en

A pity. I was looking forward to picking up £50,000 worth at a discount to NAV of around 50%. Oh, well...

[onslow]

Lol. You me both!

Neither ii or HL would not take my order - either overloaded systems or the price move was too great - though I must admit I wasnt looking to pick up anywhere near £50k!

Which broker do you use SalvorH if you dont mind me asking?

[SalvorHardin]

Lol. You me both!

Neither ii or HL would not take my order - either overloaded systems or the price move was too great - though I must admit I wasnt looking to pick up anywhere near £50k!

Which broker do you use SalvorH if you dont mind me asking?

Several, including ii whose systems haven't been at their best this morning.

[barchid]

Although no interest in LTI, but I used AJ Bell several times today, mainly morning, a bit slower than usual, though not that bad, and was easy to deal.
Phone service was good as well