City of London Investment Group PLC Trading Update (0986C)

TIDMCLIG

RNS Number : 0986C

City of London Investment Group PLC

11 April 2017

City of London Investment Group PLC

11 April 2017

CITY OF LONDON INVESTMENT GROUP PLC

("City of London", "the Group" or "the Company")

INTERIM MANAGEMENT STATEMENT

QUARTERLY FUNDS UNDER MANAGEMENT ("FUM") UPDATE

City of London (LSE: CLIG), a leading emerging markets asset management group, provides a third quarter trading update for the period 1 January 2017 to 31 March 2017.

Funds under Management

As at 31 March 2017 FuM were US$4.4 billion (GBP3.5 billion), up approximately 8% from US$4.1 billion (GBP3.3 billion) at 31 December 2016. The MSCI Emerging Markets TR Index (NDUEEGF) in USD terms rose c11% over the same period.

Investment Performance

Investment Performance improved significantly during the quarter with over 90% of CLIM exposure outperforming relevant benchmarks YTD. The recent narrowing of our Size Weighted Average Discount has aided recent performance.

Business Development

With regards to business development, although the Group has seen net redemptions of cUS$140 million during the quarter, it continues to maintain an active pipeline across all of its major CEF offerings, in particular the diversification CEF strategies. The active pipeline is in excess of US$350 million.

Operations

The Group's income accrues at a weighted average rate of approximately 84 basis points, net of commissions and custody charges. "Fixed" costs are cGBP1.0 million per month, and accordingly the current run-rate for operating profit, before profit-share at 30%, is approximately GBP1.5 million per month based upon current FuM and a US$/GBP exchange rate of US$1.25 to GBP1.

Dividends

The interim dividend of 8 pence per share was paid on 17 March 2017. The Board will announce the final dividend on Monday 17 July 2017 in its pre-close trading update.

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For further information, please visit www.citlon.co.uk or contact:

Barry Olliff (CEO)

City of London Investment Group PLC

Tel: 001 215 313 3774

Martin Green

Zeus Capital Limited

Financial Adviser & Broker

Tel: +44 (0)20 3829 5000

This information is provided by RNS

The company news service from the London Stock Exchange

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