- Investment group City of London Investment reported a fall in profit on unrealised investment losses related to the impact of the pandemic.

For the year ended 30 June, pre-tax profit fell to £9.4m from £11.4m on-year, while revenue rose to £33.3m from £31.9m.

The company said the dislocation from the COVID-19 pandemic had marked impact on its results for the final quarter of the year.

Funds under management stood at US$5.5bn, a 2% increase on-year.

A final dividend of 20p per share was recommended, making a total for the year of 30p, down from 40.5p last year. However the previous year's total included a 13.5p special dividend paid from accumulated cash reserves.

CLIG said completion of the proposed Merger with Karpus Management was on schedule, including KMI's client approval process, and was expected to be completed on 1st October 2020.

'In the absence of any certainty as to the course of the COVID-19 pandemic, it is impossible to predict with any confidence the outlook for the global economy in the coming year,' the company said. 'The fact that central banks appear determined to provide significant offsetting monetary stimulus will mitigate the impact of a possible "second wave" but volatility will surely remain the order of the day.'

'For CLIG, the more immediate task is to consolidate the KMI business and capitalise on the broader revenue base that the merger brings to the financial results.' At 8:03am: [LON:CLIG] City of London Investment Group PLC share price was 0p at 380p

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