Title: URL Source: https://is.gd/bTcslb Published Time: Fri, 20 Jun 2025 21:17:49 GMT Markdown Content: # CT UK High Income Trust PLC # Ordinary Shares As at 31 May 2025 inv.trusts@columbiathreadneedle.com | 0345 600 3030 | ctukhighincome.co.uk Page 1 of 3 Fund manager David Moss Manager Commentary After the tariff induced turmoil of April, May was a relatively calm month and the FTSE All -Share more than re -captured the small April loss, rising over 4% in the month. As more tariffs were reduced and delayed, investors began to pay much less attention to President Trump’s pronouncements, sceptical that they would ever have much impact. While we can understand this, as the US administrati on appears ready to roll back the rhetoric every time markets panic, we must remember even the new US baseline -level t ariff of 10% represents a big shift in global trade. The UK has been a relative winner, with the outlines of a trade agreement with the US already signed (the details will require a lot more work). This certainly helped UK market returns, as did the Bank o f England cutting rates during the month. That said, expectations for future rate cuts reduced as two members of the rate -setting committee voted for no cut and as officials reiterated that future cuts would likely be gradual. Returns from the Trust were s lightly behind the strong market in May, with the net asset value (NAV) rising 3.7% versus the FTSE All - Share’s 4.1% rise, as our more defensive positioning was less helpful. Imperial Brands was the weakest performer, as the high ly regarded CEO announced h is retirement. Owning Rio Tinto over Glencore in the mining space also detracted from relative performance. More positively, the holding in UK asset manager M&G was very strong after they announced a long -term partnership with Japanese Life company Dai -ich i Life that would involve Dai -ichi taking a 15% stake in M&G. We have had positions in all the UK life companies for some time, as we believed that their very high dividend yields reflected a misunderstanding of the businesses rather than fun damental probl ems, and the Dai -ichi deal is encouraging in that it appears to represent recognition of this undervaluation by external investors. This appears to be a common theme, considering the amount of bid activity in the UK market. We made two additions to the portfolio in May, starting positions in Burberry and travel food retailer SSP. Under new management, Burberry the brand is now positioned appropriately and, as recent results show, growth is returning. Our meeting with managem ent highlighted that while a l ot of work has been done, there is still more to be done on costs, ranging and product, giving us confidence that the upside remains material. SSP has a very strong presence globally but endured an obviously difficult time during Covid and has struggled in some European markets since. The company is now taking more concrete action on underperforming businesses and, with 80% of their US travel -bookings being domestic, revenues are much less exposed to falls in international travel to the US than perceived. T hese issues have left the business looking very attractively valued with significant growth ahead, both of which factors we expect to be highlighted by the likely IPO of the Indian joint venture. These purchases were funded by selling the position i n Unile ver. Like many of its peers, Unilever is struggling to generate sales growth and, with its pricing too high and consumer demand so ft, we find it difficult to see this changing. With Unilever shares trading on a fairly demanding valuation, the potential ups ide for the two purchases appeared much more attractive Key risks Stock market movements may cause the value of investments and the income from them to fall as well as rise and investors may not get back the amount originally invested. A fund investing in a specific country carries a greater risk than a fund diversified across a range of countries. Changes in rates of exchange may have an adverse effect on the value, price or income of investments. If markets fall, gearing can magnify the negative impac t on performance. Key facts as at 31.05.2025 Trust aims: To provide an attractive return to shareholders each year in the form of dividends and/or capital returns, together with prospects for capital growth. In pursuit of this objective, the Company invests predominantly in UK equities and equity -related securities of companies across the market capitalisation spectrum. Benchmark: FTSE All -Share Index Fund type: Investment Trust Launch date: 1 March 2007 Total assets: £135. 1 million Share price: 106.00p NAV: 103.56p Discount/premium( -/+): 2.36% Dividend payment dates: Feb, May, Aug, Nov Net yield †: 5.46% Net gearing: 4.02% Management fee rate**: 0.60% Ongoing charges**: 1.04% Year end: 31 March Sector: UK Equity Income Currency: Sterling Website: ctukhighincome.co.uk **Please refer to the latest annual report for the calculation of ongoing charges and how the management fee is structured. Morningstar rating †CT UK High Income Trust PLC inv.trusts@columbiathreadneedle.com | 0345 600 3030 | ctukhighincome.co.uk Page 2 of 3 Fund performance as at 31.05.25 Cumulative performance as at 31.05.25 (%) 1 Month YTD 1 Year 3 Years 5 Years NAV 3.70 10.27 12.01 32.18 59.68 Share price 6.53 12.83 18.77 49.37 84.38 Benchmark 4.14 8.57 9.35 26.79 69.03 Discrete annual performance as at 31.05.25 (%) 2025/24 2024/23 2023/22 2022/21 2021/20 NAV 12.01 19.02 -0.85 -4.02 25.86 Share price 18.77 23.27 2.02 -0.91 24.57 Benchmark 9.35 15.44 0.44 8.27 23.13 Past performance is not a guide to future performance. Source: Lipper and Columbia Threadneedle Investments. Basis: Percentage growth, total return, bid to bid price with net incom e reinvested in sterling. The discrete performance table refers to 12 month periods, ending at the date shown. Trust codes Stock exchange code Sedol CT UK High Income CHI B1N4G29 CT UK High Income B CHIB B1N4H59 Top 10 holdings (%) Portfolio Weight Benchmark Weight Difference Sector HSBC 6.46 6.22 0.24 Financials AstraZeneca 5.39 6.41 -1.02 Health Care Shell 5.30 5.95 -0.65 Energy Rio Tinto 3.96 1.88 2.08 Basic Materials GSK 3.36 2.41 0.95 Health Care Rolls Royce 3.36 2.94 0.42 Industrials Legal & General Group 3.17 0.58 2.59 Financials Imperial Brands 3.13 0.93 2.20 Consumer Staples BAE Systems 3.00 2.30 0.70 Industrials National Grid 2.81 2.04 0.77 Utilities > All figures are subject to rounding. Not all holdings are in the FTSE All -Share Index. > 0 > 10 > 20 > 30 > 40 > 50 > 60 > 70 > 80 > 90 > 1 Month YTD 1 Year 3 Years 5 Years > % NAV Share Price Benchmark CT UK High Income Trust PLC # To find out more visit columbiathreadneedle.com All information is sourced from Columbia Threadneedle Investments, unless otherwise stated. All percentages are based on gros s assets, unless stated otherwise. †The aggregate distribution for the financial year to 31 March 2025 will be 5.79 pence per sha re. The yield is therefore calculated using a rate of 5.79 pence per share and the closing share price at the end of the relevant month. *Net gearing is total assets less cash and cash equivalents divided by shareholders’ funds and expressed as a percentag e. Net cash is net exposure to cash and cash equivalents expressed as a percentage of shareholders funds after any offset against gearing. **Ongoing charges as at 31 March 2024. Please refer to the latest annual report as to how the management fee is struc tured. Ongoing charges are calculated in accordance with AIC recommendations. The share price may either be below (at a disco unt) or above (at a premium) the NAV. Discounts and premiums vary continuously. © 2025 Columbia Threadneedle Investments. Columbi a Threadneedle Investments is the global brand name of the Columbia and Threadneedle group of companies. This financial promotion is issued for marketing and information purposes only by Columbia Threadneedle Investments in the UK . CT UK High Income Trust PLC is an investment trust and its Ordinary Shares are traded on the main market of the London Stock Exchange. English language copies of the key information document (KID) can be obtained from Columbia Threadneedle Investments, Cannon Place, 78 Cannon St reet, London EC4N 6A. Email: inv.trusts@columbiathreadneedle.com or electronically at www.columbiathreadneedle.com. Please read before taking any investme nt decision. The information provided in the marketing material does not constitute, and should not be construed as, investment advice or a recommendation to buy, sell or otherwise transact in the fund. The manager has the right to terminate the arrangements made for marketing. 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In the Midd le East: This document is distributed by Columbia Threadneedle Investments (ME) Limited, which is regulated by the Dub ai Financial Services Authority (DFSA). For Distributors: This document is intended to provide distributors with information about Group products and services and is not for further distribution. For Institutional Clients: The information in this document is not intended as financial advice and is only intended for persons with appropriate investment knowledge and who meet the regulatory criteria to be classified as a Profess ional Client or Market Counterparties and no other Person should act upon it. > †© 2025 Morningstar. All Rights Reserved. Ratings are latest available at time of publication and may be lagged 1 month. The i nformation contained herein: (1) is proprietary to Morningstar and/or its > content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible fo r any damages or losses > arising from any use of this information. Past performance is no guarantee of future results. For more deta iled information about Morningstar Rating, including its methodology, please click here . inv.trusts@columbiathreadneedle.com | 0345 600 3030 | ctukhighincome.co.uk Page 3 of 3 Total summary % of investment portfolio FTSE 100 79.44 FTSE 250 15.45 Non -Index 3.67 Overseas 0.81 AIM 0.63 Glossary Bid price Investment trust shares are sold via the stock exchange at the bid price. This price is determined by supply and demand. Dividend Income paid to shareholders by the company they invest in. Net asset value A key measure of the value of a company or trust – the total value of assets less liabilities, divided by the number of shares. Net Dividend distributions pence per share (paid) / (declared) with respect to the financial year to 31 March 2021 2022 2023 2024 2025 August 1.29 1.29 1.32 1.32 1.35 November 1.29 1.29 1.32 1.32 1.35 February 1.29 1.32 1.32 1.32 1.35 May 1.43 1.55 1.55 1.66 1.74 Total 5.30 5.45 5.51 5.62 5.79 All figures are subject to rounding.