Canadian General Investments Limited (CGI) is traded on the Toronto Stock Exchange and listed in the United States under the symbol (OTCPK:CGRIF). CGI was established in 1930 and has been managed by Morgan Meighen & Associates in Toronto since 1956. The fund is leveraged with - as of 12/31/10 - $648,457,000 in gross assets and net assets of $500,049,000.
The fund has prospered because of its investment in smaller Canadian metals, mining and paper companies (26.9% of assets), its oil and gas investments (24.8% of assets) and the very fact that it is denominated in Canadian dollars which has performed well against the U.S. dollar.
Morgan Meighen also manages the following closed-end funds: Canadian World Fund Limited and Third Canadian General Investment Trust Limited. CGI sells at a lower discount (18.74% as of 6/13/11) because of its performance.
Its 10 largest holdings as of May 20, 2011, were as follows:
Labrador Iron Ore (OTCPK:LIFZF) - 4.4%
BMTC Group - 4.1%
SXC Health Solutions (SXCI) - 3.2%
IMAX (NYSE:IMAX) - 3.0%
Brookfield Properties (NYSE:BPO) - 2.9%
Pacific Rubiales Energy (OTCPK:PEGFF) - 2.7%
Bank of Montreal (NYSE:BMO) - 2.6%
Enbridge (NYSE:ENB) - 2.6%
Blackpearl Resources (OTCPK:BLKPF) - 2.5%
Royal Bank of Canada (NYSE:RY) - 2.2%
CGI has always maintained a healthy dividend yield of approximately 5% per annum and has a fairly diversified portfolio, representing a broad exposure of Canadian securities. The fund has been around a very long time and has always operated on the same principals.
The closed end fund, still selling at a substantial discount, represents a fine way of obtaining a broad exposure of the finest assets that Canada offers to investors.