Canadian General Investments: Investment Update - Unaudited

Thursday, February 3, 2022
 
NEWS RELEASE TRANSMITTED BY GLOBENEWSWIRE
FOR: CANADIAN GENERAL INVESTMENTS, LIMITED
TSX SYMBOLS: CGI, CGI.PR.D
LONDON STOCK EXCHANGE: CGI
 
Canadian General Investments: Investment Update - Unaudited
 
TORONTO, CANADA – Canadian General Investments, Limited (CGI) reports on an unaudited basis that its net asset value per share (NAV) at January 31, 2022 was $57.31, resulting in year-to-date and 12-month NAV returns, with dividends reinvested, of -6.6% and 16.1%, respectively.  These compare with the -0.4% and 25.0% returns of the benchmark S&P/TSX Composite Index on a total return basis for the same periods.
 
The Company employs a leveraging strategy, by way of preference shares and bank borrowing, in an effort to enhance returns to common shareholders. As at January 31, 2022, the combined leverage afforded by both forms of leverage represented 14.6% of CGI’s net assets, up from 13.7% at the end of 2021 and down from 16.7% at January 31, 2021.
 
The worldwide spread of novel coronavirus (COVID-19) and its impact on such factors as business operations, supply chains, travel, commodity prices and consumer confidence, and the associated impact on domestic and international equity markets and fixed income yields, is expected to continue to have a significant influence on the equity markets and could significantly impact the value of investments held by CGI. Morgan Meighen & Associates Limited, the manager of the Company, will maintain its consistent, steady, long-term approach of holding diversified, appropriate investments, while pursuing selective new opportunities.
 
The closing price for CGI’s common shares at January 31, 2022 was $40.80, resulting in year-to-date and 12-month share price returns, with dividends reinvested, of -7.4% and 25.8%, respectively.
 
The sector weightings of CGI’s investment portfolio at market as of January 31, 2022 were as follows:
 

Information Technology

22.1%

Industrials

19.9%

Materials

18.8%

Consumer Discretionary

11.6%

Financials

11.2%

Energy

7.3%

Real Estate

5.1%

Communication Services

2.1%

Health Care

1.3%

Cash & Cash Equivalents

0.6%

The top ten investments which comprised 35.6% of the investment portfolio at market as of January 31, 2022 were as follows:

West Fraser Timber Co. Ltd.

4.4%

First Quantum Minerals Ltd.

4.1%

NVIDIA Corporation

4.0%

Canadian Pacific Railway Limited

3.8%

Franco-Nevada Corporation

3.6%

Shopify Inc.

3.4%

Apple Inc.

3.4%

TFI International Inc.

3.1%

WSP Global Inc.

2.9%

Bank of Montreal

2.9%
 
FOR FURTHER INFORMATION PLEASE CONTACT:
Canadian General Investments, Limited
Jonathan A. Morgan
President and CEO
Phone: (416) 366-2931
Fax: (416) 366-2729