Royce Value Trust: Much To Like Except For One Thing

Aug. 12, 2022 11:04 AM ETRoyce Value Trust (RVT)HEI, ZD25 Comments

Summary

  • Royce Value Trust has a great management team with a long-term track record of beating the benchmark.
  • Royce Value Trust pursues an attractive strategy as the fund invests in small-cap value.
  • Very well-diversified portfolio that appears to tilt to quality value.
  • Royce Value Trust sports low fees and relatively low turnover.
  • There is one problem that's hard to overlook, which is the discount to net asset value of only ~3%.
  • Looking for more investing ideas like this one? Get them exclusively at Special Situation Report. Learn More »

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Dilok Klaisataporn

The Royce Value Trust (NYSE:RVT) is a closed-end fund ("CEF") that scours the small-cap universe for opportunities. It has a long-term track record of doing so successfully and has outperformed its benchmark in total and risk-adjusted returns. This also results in

Morningstar Sharpe ratio data

Morningstar Sharpe ratio data (Royce)

Chart
Data by YCharts

Chart
Data by YCharts

fees and expenses RVT

Fees and expenses RVT (Royce)

RVT top 20 holdings

RVT top 20 holdings (Royce)

RVT sector diversification

RVT sector diversification (Morningstar)

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This article was written by

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15 years of investing and I feel like a rookie in his first year at the academy. My roots are in the value school but over time I've learned to respect different approaches. I'm interested in what quants do, options traders do, and even what WallStreetBets is doing (keep your friends close and...)

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Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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