Insights from the N-PORT Filing for Q4 2023
RBC Canadian Equity Income Fund (Trades, Portfolio), known for its diversified portfolio of dividend-paying Canadian securities, has revealed its investment activities for the fourth quarter of 2023 through the latest N-PORT filing. The fund's strategy focuses on generating monthly cash flow and tax-efficient distributions, while also aiming for modest capital growth. It limits its foreign securities exposure to a maximum of 35% of its assets.
Summary of New Buys
RBC Canadian Equity Income Fund (Trades, Portfolio) expanded its portfolio with 3 new stocks in the fourth quarter:
- Aptiv PLC (APTV, Financial) was the most significant new addition, with 115,000 shares valued at $13.67 million, making up 0.46% of the portfolio.
- Prologis Inc (PLD, Financial) followed, with 44,000 shares worth $7.77 million, accounting for 0.26% of the portfolio.
- Hydro One Ltd (TSX:H, Financial) was the third major addition, with 178,000 shares valued at C$7.07 million, representing 0.24% of the portfolio.
Key Position Increases
The fund also bolstered its stakes in 21 stocks, with notable increases in:
- Capital Power Corp (TSX:CPX, Financial), where the fund added 357,000 shares, bringing the total to 622,000 shares. This represents a 134.72% increase in share count and a 0.46% portfolio impact, with a total value of C$23.47 million.
- Canadian Pacific Kansas City Ltd (TSX:CP, Financial) saw an addition of 60,000 shares, resulting in a total of 881,189 shares and a 7.31% increase in share count, valued at C$92.38 million.
Summary of Sold Out Positions
The fund exited 4 holdings entirely in the fourth quarter:
- Boston Properties Inc (BXP, Financial) was completely sold off, with 180,000 shares liquidated, impacting the portfolio by -0.46%.
- iA Financial Corp Inc (TSX:IAG, Financial) also saw a complete exit, with all 132,812 shares sold, causing a -0.4% portfolio impact.
Key Position Reductions
Significant reductions were made in 34 stocks, including:
- AltaGas Ltd (TSX:ALA, Financial) was reduced by 930,000 shares, a -56.49% decrease, affecting the portfolio by -0.73%. The stock's average trading price was C$26.31 during the quarter, with a 9.64% return over the past 3 months and 8.66% year-to-date.
- Enbridge Inc (TSX:ENB, Financial) saw a reduction of 282,000 shares, a -9.65% decrease, with a -0.46% portfolio impact. The stock traded at an average price of C$46.75 and returned 4.66% over the past 3 months and 4.69% year-to-date.
Portfolio Overview
As of the end of Q4 2023, the RBC Canadian Equity Income Fund (Trades, Portfolio)'s portfolio consisted of 88 stocks. The top holdings were 7.58% in Royal Bank of Canada (TSX:RY, Financial), 6.65% in The Toronto-Dominion Bank (TSX:TD, Financial), 4.28% in Enbridge Inc (TSX:ENB), 4.01% in Bank of Montreal (TSX:BMO, Financial), and 3.6% in Brookfield Corp (TSX:BN, Financial). The investments span across 10 of the 11 industries, with a focus on Financial Services, Energy, Real Estate, Industrials, Utilities, Basic Materials, Communication Services, Consumer Cyclical, Consumer Defensive, and Technology.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
