#USA #New York #Closed-End Fund #small-cap fund #Royce Trust

An In-Depth Look at Royce Small-Cap Trust (NYSE: RVT)

As of September 30, 2026, Royce Small-Cap Trust continues to solidify its position as the oldest and largest closed-end fund focusing on small-cap investments. With an average weekly trading volume of approximately 869,338 shares, this fund has become a noteworthy option for investors seeking exposure to the small and micro-cap sectors, areas often overlooked by larger investment portfolios.

Investment Philosophy and Goals

Royce Small-Cap Trust is driven by its primary objective of achieving long-term capital growth. To pursue this, the fund strategically allocates at least 65% of its assets into equity securities chiefly from small-cap and micro-cap companies. With the management team boasting over 50 years of experience in this segment, investors can expect informed decisions backed by historical insight.

Recent Performance Metrics

A glance at the fund’s performance reveals:

• - Net Asset Value (NAV): $19.37
• - Market Price: $17.13
• - Average Annual Total Return as of 09/30/26:

- NAV (%): One-Month: -3.57, Year to Date: 15.61, One-Year: 18.36
- Market (%): One-Month: -6.00, Year to Date: 12.34, One-Year: 15.90

These figures highlight the fund's volatility, particularly in the short term, while still demonstrating strong returns over longer periods. For instance, over three years, the average annual return has been 18.97% on NAV and 19.58% on the market, suggesting a robust performance trajectory even amidst market fluctuations.

Portfolio Analysis

The fund's assets reflect a diverse range of investments aimed at minimizing risk while maximizing return. As of the last reporting period, here are some of the critical stats regarding the portfolio:

• - Average Market Cap: $377.11 million
• - Weighted Average P/E Ratio: 17.2x
• - Weighted Average P/B Ratio: 22.4x
• - Net Assets: $2.43 billion

The top ten positions within the portfolio represent a significant portion of assets, with the largest sector being Industrials at 25.7%, followed closely by Financials (18.7%) and Information Technology (15.5%). This balance indicates strategic sector investments to harness growth in different market conditions.

Risks and Considerations

Investing in small-cap and micro-cap companies typically comes with higher risks compared to larger companies. These can include greater volatility and susceptibility to economic shifts. Moreover, a portion of the fund's assets might be invested in foreign securities, exposing it to additional uncertainties stemming from political and economic factors outside the U.S.

Conclusion and Forward-Looking Statements

Royce Small-Cap Trust provides an intriguing opportunity for investors interested in the potential of small-cap equities. With a seasoned management team, a well-structured investment strategy, and resilient historical performance, the fund positions itself as a viable option for those looking to diversify their portfolios. However, prospective investors are advised to carefully consider the inherent risks before making any commitments.

For more information on the fund's performance or investment strategies, you can visit Royce's official website or contact their investor services at (800) 221-4268.