Aberforth Geared Value & Income Trust PLC

Judged by the FTSE All-Share, UK equities were weak in September, falling by 1.9%. That masked the better performance of smaller companies, with the DNSCI (XIC) down by only 0.8%. The Fund did better, rising by 1.3% on a total assets basis. Style and size had little bearing this month, with returns driven by individual holdings. M&A activity continued to support performance. Vesuvius confirmed it had received takeover interest from industry peer RHI Magnesita, in a possible cash and shares deal. Elsewhere, results lifted several holdings. Hilton Food Group and Eurocell are both under new management. Hilton has been recovering from strategic missteps under previous leadership, while at Eurocell the market appears to be buying into its self-help measures despite a difficult operating backdrop. Card Factory saw a strongly positive reaction to its results statement. Confirmation of guidance for the full year was accompanied by an improved cash performance and by an 8% increase in the interim dividend. Meanwhile, Morgan Advanced Materials benefited from a broader rally in industrial stocks. Turning to the Fund's losers, MONY Group fell as investors questioned its vulnerability to AI, following the enthusiastic reception for Meta's new Muse agent. CMC Markets, a large holding, gave back a small part of its strong recent gains. Elsewhere, Rathbones and Quilter, the wealth managers, were weaker, with the former continuing to manage the aftermath of a skilled person review by the FCA that came to light in June.