Barclays has opened formal coverage of two UK-listed investment trusts, RIT Capital Partners and Caledonia Investments, assigning both an "overweight" rating and publishing price objectives of 2,660 pence for RIT and 420 pence for Caledonia.
The bank noted that both vehicles were trading at substantial discounts to their net asset value (NAV) at the time of its research. RIT Capital was quoted at 2,200 pence on April 22, representing a 25.9% discount to its NAV of 2,967 pence per share. Caledonia was trading at 367 pence, a 35.3% discount to its NAV of 567.6 pence.
Analyst rationale and target assumptions
Barclays said both trusts have delivered capital preservation through market drawdowns while producing returns that exceed inflation over long periods. The bank translated those views into explicit assumptions for its price targets.
- RIT Capital's price target is based on an assumed 8% NAV total return over the next 12 months combined with an assumed 17% discount to NAV.
- Caledonia's target is derived from a 6% assumed NAV return and a forecast 30% discount to NAV.
Recent performance and portfolio composition
Through March 31, 2026, Barclays reported RIT Capital delivered a one-year NAV total return of 16.0% and a 10-year annualised NAV return of 8.4%. Caledonia recorded a one-year NAV total return of 5.4% and a 10-year annualised NAV return of 9.2% for the same period.
Private assets make up materially different shares of each trust's portfolio: 33% of RIT Capital's assets are held in private investments, compared with 64% for Caledonia. RIT's realisations from private investments amounted to
In 2025, RIT reported private-investment realisations totalling
RIT's direct private holdings cited by Barclays include stakes valued at 2.5% of NAV in SpaceX, 1.7% in Motive and 0.9% in Epic Systems. Among its largest fund positions are Thrive at 3.6% of NAV and Greenoaks Capital at 3.3% of NAV.
For Caledonia, Barclays noted a pending sale of Stonehage Fleming agreed at 3.2 times cost. Upon completion, the resulting net cash position is expected to represent 13% of Caledonia's NAV. The bank recorded Stonehage Fleming's value at
Barclays recorded Stonehage Fleming's valuation at
Balance sheet and ownership notes
Barclays highlighted that RIT Capital's net gearing was 3.2% of NAV at December 2025, a meaningful reduction from 19.9% in 2016. Caledonia, by contrast, carries no fund-level debt and had outstanding commitments of approximately covered by around
The Rothschild family was recorded as holding 22.6% of RIT Capital. Barclays also highlighted that Caledonia's Cayzer family concert party exceeded 50% during 2025, a concentration that the bank said can limit institutional demand and contribute to the share-price discount.
Downside scenarios
Barclays modelled downside cases for both trusts. For RIT Capital the downside case is set at 1,810 pence, premised on a -10% NAV return and a widening of the discount to 30%. For Caledonia the downside case is 235 pence on a -10% NAV return and a 50% discount.
These assumptions form the basis of Barclays' inaugural coverage notes and price targets for the two trusts.