Summary :
The ASX-listed investment companies and trusts (LICs and LITs) market was steady this week, with modest movement across both credit and equity-focused funds. Investors continue to favour income-oriented strategies amid a stable rate environment and subdued equity volatility.
Among the income-focused LITs, the MCP Income Opportunities Trust (ASX: MOT) closed at $1.885, representing a 12.3% discount to NTA of $2.1485 and delivering a running yield of 9.0%. The KKR Credit Income Fund (ASX: KKC) ended the week at $2.26, an 8.3% discount to its NTA of $2.4641, with a running yield of 8.9%. Both funds remain well-supported, with active secondary market trading volumes exceeding 400,000 units daily.
Among the equity-focused LICs, Acorn Capital Investment Fund (ASX: ACQ) finished at $0.93, a 15.6% discount to NTA of $1.1021, offering a running yield of 6.8%. Glennon Small Companies (ASX: GC1) traded at $0.515, reflecting a 34.7% discount to NTA of $0.7886 and a yield of 6.7%, while Katana Capital (ASX: KAT) traded at a slight 3% premium to its NTA of $1.335, closing at $1.375 with a running yield of 1.9%.
Overall, the LIC and LIT sector continues to display wide valuation gaps, particularly between income and equity vehicles. Yield-focused trusts remain popular due to their attractive running yields and stable distributions, while equity LICs continue to trade at deeper discounts, highlighting persistent investor caution despite stable market conditions.
LICATs Weekly Summary
Name Code Closing Price Running Yield NTA Premium/(discount) to NTA Market Capitalisation (millions) Average Daily ASX turnover (000s) Acorn Capital Investment Fund ACQ $0.93 0.07 1.10 -0.16 83.33 56 Glennon Small Companies GC1 $0.52 0.07 0.79 -0.35 24.99 31 Katana Capital KAT $1.38 0.02 1.34 0.03 43.90 7 KKR Credit Income Fund KKC $2.26 0.09 2.46 -0.08 728.93 431 MCP Income Opportunities Trust MOT $1.89 0.09 2.15 -0.12 628.10 397 MCP Master Trust MXT $1.94 0.08 2.01 -0.04 2366.69 1,087 Perpetual Credit Income Trust PCI $1.21 0.07 1.11 0.09 586.78 505 Qualitas Real Estate Income Fund QRI $1.60 0.08 1.61 -0.01 1133.78 283 WAM Alternative Assets WMA $1.01 0.08 1.19 -0.15 198.52 209
Closing price as of the end of the week.