Ecofin Global Utilities & Infrastructure (EGL)

[richfool]

I came across this interesting report on EGL, (dated 14th October 2021), which dissuaded me from top-slicing my holding in the trust:

"Ecofin Global Utilities and Infrastructure Trust plc (EGL) Hits 5-Year Mark with Strong Performance"

LONDON--(BUSINESS WIRE)--Ecofin is marking the 5-year anniversary of Ecofin Global Utilities and Infrastructure Trust plc (“EGL” or “the Company”), the closed-end fund it manages which invests in listed infrastructure securities (utilities, transportation and environmental services) globally. EGL targets a total return (including dividends) of 6-12%, and since the Company’s admission to the London Stock Exchange on 26 September, 2016, has grown net assets significantly (by 71.2%, or 11.3% per annum) and delivered a total shareholder return of 120.2%, or 17.1% per annum (to 30 September, 2021, assuming a reinvestment of dividends), significantly outperforming the returns on the sector indices (the S&P Global Infrastructure Index and the MSCI World Utilities Index) and the MSCI ACWI over the same period.

Business models in EGL’s sectors are rapidly adapting to a world which increasingly prioritizes decarbonisation, prompting a gradual re-rating of the investment universe and a narrowing of the valuation gap with equivalent privately held infrastructure assets,” said Jean-Hugues de Lamaze, EGL’s Portfolio Manager. “Companies are on the verge of substantial improvements in their growth trajectories driven by shifts in capital allocation, whether through transformational transactions (acquisitions, disposals or spin-offs) or more gradually. These corporate actions and recalibrations are offering, we believe, significant value-creation opportunities.”

https://www.businesswire.com/news/home/ ... 006075/en/

Also here: https://uk.finance.yahoo.com/news/ecofi ... 00209.html

[Shelford]

If interested in the Global renewables infrastructure market, it's worth putting this in context. Suggest using AIC sifter to compare Ecofin.

https://www.theaic.co.uk/aic/find-compa ... desc=false

I currently invest in Greencoat Wind, John Laing Environmental, Bluefield Solar, & Renewables Group (TRIG). All are quite a bit larger than Ecof in.
And with one exception, the performance charge lower.

[DavidM13]

Good stuff Shelford.

I also suggest the Screener tool. You can still sort by AIC sector but then you have far more data points that you can compare (look at the tabs). You can also then select up to five for a side by side comparison of key data.

https://www.theaic.co.uk/investment-com ... $$ALL_5549

[bruncher]

I considered Ecofin, but bought Utilico instead. Ecofin seems focused on 'mature' markets, whereas Utilico is generally not invested in USA/Canada/Europe. Utilico dividend marginally higher. Similar range of infrastructure investments although also into telecomms. Currently trades at a discount, which I think isn't the case for Ecofin, maybe there's a premium on having an 'eco' prefix to the name?

[BullDog]

Sold out of EGL taking profits from recent uptick in performance. Rotated into a small basket of renewable energy and infrastructure ITs trading at significant discounts. Yield ratchets up very nicely too, which is a big bonus.

[dundas666]

Sold out of EGL taking profits from recent uptick in performance. Rotated into a small basket of renewable energy and infrastructure ITs trading at significant discounts. Yield ratchets up very nicely too, which is a big bonus.

Out of interest, which renewable and infrastructure ITs did you buy, and which ones did you avoid?

[BullDog]

Sold out of EGL taking profits from recent uptick in performance. Rotated into a small basket of renewable energy and infrastructure ITs trading at significant discounts. Yield ratchets up very nicely too, which is a big bonus.

Out of interest, which renewable and infrastructure ITs did you buy, and which ones did you avoid?

In no special order, HEIT, NESF, ORIT, PINT.

[richfool]

Sold out of EGL taking profits from recent uptick in performance. Rotated into a small basket of renewable energy and infrastructure ITs trading at significant discounts. Yield ratchets up very nicely too, which is a big bonus.

I have held and hung onto EGL for many years now. I top-sliced to take some profit last year, but have continued to maintain an albeit smaller holding. It's SP has certainly fallen back from where it had got to, but I am still in profit and it provides a healthy dividend and yield.

I view EGL as giving me infrastructure as well as utility exposure.

I have several holdings in the renewable energy sector, including: JLEN, BSIF, NESF, and GRID.

[BullDog]

Sold out of EGL taking profits from recent uptick in performance. Rotated into a small basket of renewable energy and infrastructure ITs trading at significant discounts. Yield ratchets up very nicely too, which is a big bonus.

I have held and hung onto EGL for many years now. I top-sliced to take some profit last year, but have continued to maintain an albeit smaller holding. It's SP has certainly fallen back from where it had got to, but I am still in profit and it provides a healthy dividend and yield.

I view EGL as giving me infrastructure as well as utility exposure.

I have several holdings in the renewable energy sector, including: JLEN, BSIF, NESF, and GRID.

Yes, here EGL was nothing more than an opportunistic trade, which fortunately paid off on this occasion.

[richfool]

I have been reviewing my holding of EGL, which whilst still in profit, is down from where it has been. I am conscious that it has been providing me with a good dividend, so I set about trying to find out whether there would be an increase in the dividend from February this year. Looking through Investegate and the company's website I found this (below) which is reassuring in that the quarterly dividend will be increasing from 1.95p per share (total 7.8p pa) to 2.05p per share (total 8.20p pa) wef February 2024. (Current yield showing as 4.63% on HL). So I shall stick with my holding.

Please note that EGL released its annual report (for the financial year to 30 September 2023) just before Christmas. The
board pointed to the 9.2% growth year-over-year in revenue return per share owing to continuing strong growth in investment
income. Due to this, and to reflect the board’s confidence in the growth prospects of EGL, the quarterly dividend will increase
to 2.05p per share (8.20p per annum) with effect from the dividend to be paid in February 2024

https://uk.ecofininvest.com/media/6008/ ... r-2023.pdf

https://www.investegate.co.uk/announcem ... te/7979061