M&G Credit Income Investment Trust Reports Mixed Performance for 2024 Interim

M&G Credit Income Investment Trust plc (MGCI) has published its unaudited Condensed Financial Statements for the first half of 2024. The Company reported a net asset value (NAV) total return of 4.59%, closely aligning with the SONIA plus 4% benchmark. This performance outshone several indices, including the ICE BofA European Currency Non-Financial High Yield 2% Constrained Index.

Financial challenges marked early 2024, with economic data countering forecasts of aggressive interest rate cuts. Despite rising bond yields, credit markets thrived, benefiting MGCI’s portfolio through positive spread performance and hedged interest rate sensitivity.

The Company's share price traded at an average 2.3% discount to NAV, occasionally reaching a premium, facilitating share issuances. Dividend payouts continued at 2.15p per share quarterly, yielding 8.8% annually.

The portfolio, now 55% invested in private assets, aims to deploy capital in both public and private sectors, supported by an undrawn £25 million credit facility and £10 million in a high-grade ABS fund.