Royce Value Trust (NYSE: RVT) as of Dec 31, 2023

Rhea-AI Summary

Royce Value Trust (RVT) is the oldest and largest small-cap closed-end fund with an average weekly trading volume of approximately 1,536,789 shares. The fund's adviser has more than 50 years of small- and micro-cap investment experience. As of 12/31/23, the closing prices show a Net Asset Value (NAV) of 16.42 and a Market Value (MKT) of 14.56. The average annual total return as of 12/31/23 for NAV and MKT are 10.91% and 10.90% respectively for one month, and 21.62% and 18.83% respectively for one year. The fund primarily invests in securities of small-cap and micro-cap companies with an average market cap of $2874.0M and net assets of $1.86B. The top 5 sectors in its portfolio are Industrials, Financials, Information Technology, Health Care, and Consumer Discretionary. Royce Value Trust is listed and traded on the New York Stock Exchange under the symbol RVT with the primary investment goal of long-term capital growth by investing at least 65% of its assets in equity securities primarily of small- and micro-cap companies.

Positive

• None.

Negative

• The fund may involve considerably more risk than investing in larger-cap companies due to its primary focus on small-cap and micro-cap companies.
• The fund's market price will fluctuate, and shares may be worth more or less than their original cost when sold.
• The fund may invest a significant portion of its net assets in foreign securities, which may involve political, economic, currency, and other risks not encountered in U.S. investments.

Market Research Analyst

The average annual total return figures for Royce Value Trust present a robust performance, particularly in the one-year and five-year time frames. This indicates a strong track record in managing small-cap and micro-cap investments, which often carry higher risk due to their size and market volatility. Investors may interpret these returns as a sign of the fund's adeptness at navigating the complexities of this market segment.

However, the three-year and ten-year returns are more modest, suggesting that while the fund has experienced periods of significant growth, it also faces challenges inherent to the small-cap sector. This could include market cyclicality and sensitivity to economic downturns. The fund's performance should be viewed in the context of the broader small-cap market trends, which can be more erratic than those of larger-cap companies.

Financial Analyst

The disclosed Net Asset Value (NAV) and Market Value (MKT) provide insights into the fund's valuation. The disparity between NAV and MKT reflects a discount in market valuation, which could signal investor sentiment or liquidity concerns. It's important for investors to consider why the market may be pricing the fund's shares below their NAV, as this could indicate a perception of risk or a lack of confidence in the fund's future performance.

Furthermore, the fund's expense information, highlighting the net of the Fund's investment advisory fee, is critical for assessing the true cost of investment. While past performance is commendable, fees can erode returns over time and investors should weigh these costs against potential gains.

Risk Management Expert

The investment risks associated with small-cap and micro-cap companies are particularly noteworthy. These investments are generally more volatile and less liquid compared to larger-cap companies, making them more susceptible to market fluctuations. The fund's strategy of diversification is a common risk mitigation technique, but it does not eliminate the risk of loss.

Additionally, the fund's occasional investment in foreign securities introduces foreign investment risks, including currency fluctuations and geopolitical uncertainties. Investors should be cognizant of the fund's exposure to these risks and how they may affect the overall risk profile of their investment portfolios.

NEW YORK, Jan. 29, 2024 /PRNewswire/ -- 

• Oldest and largest small-cap closed-end fund
• Average weekly trading volume of approximately 1,536,789 shares
• Fund's adviser has more than 50 years of small- and micro-cap investment experience

CLOSING PRICES AS OF 12/31/23
NAV	16.42
MKT	14.56

AVERAGE ANNUAL TOTAL RETURN AS OF 12/31/23	NAV (%)	MKT (%)
One-Month*	10.91	10.90
One-Year	21.62	18.83
Three-Year	4.75	5.35
Five-Year	12.81	13.52
10-Year	8.16	8.23

*Not Annualized

Important Performance and Expense Information

All performance information reflects past performance, is presented on a total return basis, net of the Fund's investment advisory fee, and reflects the reinvestment of distributions. Past performance is no guarantee of future results. Current performance may be higher or lower than performance quoted. Returns as of the recent month-end may be obtained at www.royceinvest.com. The market price of the Fund's shares will fluctuate, so that shares may be worth more or less than their original cost when sold.

The Fund invests primarily in securities of small-cap and micro-cap companies, which may involve considerably more risk than investing in larger-cap companies. The Fund's broadly diversified portfolio does not ensure a profit or guarantee against loss. From time to time, the Fund may invest a significant portion of its net assets in foreign securities, which may involve political, economic, currency, and other risks not encountered in U.S. investments.

PORTFOLIO DIAGNOSTICS
Average Market Cap1	$2874.0M
Weighted Average P/E2	16.0x
Weighted Average P/B2	2.1x
Net Assets	$1.86B

¹Geometric Average: This weighted calculation uses each portfolio holding's market cap in a way designed to not skew the effect of very large or small holdings; instead, it aims to better identify the portfolio's center, which Royce believes offers a more accurate measure of average market cap than a simple mean or median.

²Harmonic Average: This weighted calculation evaluates a portfolio as if it were a single stock and measures it overall. It compares the total market value of the portfolio to the portfolio's share in the earnings of its underlying stocks.

The Price-Earnings, or P/E, ratio is calculated by dividing a company's share price by its trailing 12-month earnings-per-share (EPS). The Fund's P/E ratio calculation excludes companies with zero or negative earnings (20% of portfolio holdings as of 12/31/23). The Price-to-Book, or P/B, Ratio is calculated by dividing a company's share price by its book value per share.

The Price-to-Book, or P/B, Ratio is calculated by dividing a company's share price by its book value per share.

Portfolio Composition

TOP 10 POSITIONS	% OF NET ASSETS (SUBJECT TO CHANGE)
Enovis Corporation	1.4
Alamos Gold Cl. A	1.4
Fabrinet	1.2
SEI Investments	1.1
MKS Instruments	1.1
Assured Guaranty	1.1
IES Holdings	1.0
APi Group	1.0
Arcosa	1.0
Ziff Davis	1.0

 

TOP FIVE SECTORS	% OF NET ASSETS (SUBJECT TO CHANGE)
Industrials	23.8
Financials	18.6
Information Technology	16.5
Health Care	10.8
Consumer Discretionary	10.0

Recent Developments
Royce Value Trust is a closed-end diversified management investment company whose shares of Common Stock (RVT) are listed and traded on the New York Stock Exchange. Its primary investment goal is long-term capital growth, which it seeks by investing at least 65% of its assets in equity securities primarily of small- and micro-cap companies.

Daily net asset values (NAVs) for Royce Value Trust are now available on our website and online through most ticker symbol lookup services and on broker terminals under the symbol XRVTX. For more information, please call The Royce Funds at (800) 221-4268 or visit our website at www.royceinvest.com.

An investor in Royce Value Trust should consider the Fund's investment goals, risks, fees, and expenses carefully before investing.

Important Disclosure Information
Closed-End Funds are registered investment companies whose shares of common stock may trade at a discount to their net asset value. Shares of each Fund's common stock are also subject to the market risks of investing in the underlying portfolio securities held by the Fund. Royce Fund Services, LLC. ("RFS") is a member of FINRA and has filed this material with FINRA on behalf of each Fund. RFS does not serve as a distributor or as an underwriter to the closed-end funds.

View original content:https://www.prnewswire.com/news-releases/royce-value-trust-nyse-rvt-as-of-dec-31-2023-302047100.html

SOURCE Royce Value Trust, Inc.

FAQ

What is the ticker symbol for Royce Value Trust?

The ticker symbol for Royce Value Trust is RVT.

What are the closing prices of Royce Value Trust as of 12/31/23?

As of 12/31/23, the closing prices show a Net Asset Value (NAV) of 16.42 and a Market Value (MKT) of 14.56.

What are the average annual total returns as of 12/31/23 for Royce Value Trust?

The average annual total return as of 12/31/23 for NAV and MKT are 10.91% and 10.90% respectively for one month, and 21.62% and 18.83% respectively for one year.

What is the primary investment goal of Royce Value Trust?

The primary investment goal of Royce Value Trust is long-term capital growth, which it seeks by investing at least 65% of its assets in equity securities primarily of small- and micro-cap companies.

What are the top 5 sectors in the portfolio of Royce Value Trust?

The top 5 sectors in the portfolio of Royce Value Trust are Industrials, Financials, Information Technology, Health Care, and Consumer Discretionary.