According to the latest report from the AIC (Association of Investment Companies), 2025 was a record year for takeovers and share buybacks in the investment trust sector.
There was a ‘frenzy’ of corporate action with 27 mergers, acquisitions and liquidations, up from the previous record of 24 in 2024.
In addition, share buybacks jumped 36% from £7.5 billion to £10.2 billion marking another record for the sector.
Meanwhile, fundraising totalled £530 million led by trusts in the loans and bonds sub-sector.
A good vintage
The average investment trust return in 2025 was 12.1%, with Commodities & Natural Resources the best-performing sector posting a 61.6% gain.
The next-best sector was China/Greater China with a 39% return, followed closely by Global Emerging Markets with a 37.2% return.
It was a good year in general in terms of discounts, with the average excluding private equity giant 3i Group (III) falling to 12.5% from 15% in 2024.
2025 trust mergers
| Date | Trusts | Continuing Trust |
| Feb | Invesco Asia/Asia Dragon | Invesco Asia Dragon (IAD) |
| May | JP Morgan Global Growth & Income/Henderson Intl Income | JP Morgan Global Growth & Income (JGGI) |
| Sep | Fidelity Europen/Henderson European | Fidelity European (FEV) |
| Oct | European Smaller Companies/ European Assets | European Smaller Co’s (ESCT) |
| Nov | AVI Japan Opportunity/Fidelity Japan | AVI Japan Opportunity (AJOT) |
Source: AIC
2025 trust acquisitions
| Date | Trust | Acquirer |
| May | Care REIT | Care Trust (US) |
| June | BBGI Global Infrastructure | BCI (Canada) |
| June | Harmony Energy Income | Foresight |
| June | Urban Logistics REIT | LondonMetric |
| Sep | Apax Global Alpha | Janus (US) |
| Oct | Warehouse REIT | Blackstone (US) |
| Nov | Downing Renewables & Infra | Bagnall Energy |
Source: AIC
Read more insights from the AIC here: https://www.theaic.co.uk/news-insights
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