#USA #New York #Royce Small-Cap Trust #Investment Fund #RVT

Analysis of Royce Small-Cap Trust Performance as of June 30, 2025

As one of the oldest and largest small-cap closed-end funds, the Royce Small-Cap Trust (NYSE: RVT) continues to capture the interest of investors seeking long-term capital growth through equity securities. As of June 30, 2025, the trust reported a net asset value (NAV) of $16.74 per share, while market value stood at $15.05 per share. This divergence highlights the typical characteristics of closed-end funds, where shares can often trade at a discount to NAV.

Recent Performance Metrics

The trust's average annual total return, indicating its performance over various time frames, provides a snapshot of its returns:

• - One Month: NAV at 4.56%, market at 3.31%
• - Year to Date: NAV at 2.57%, market at -0.84%
• - One Year: NAV at 10.37%, market at 13.43%
• - Three Years: NAV at 13.54%, market at 11.33%
• - Five Years: NAV at 12.18%, market at 12.78%
• - Ten Years: NAV at 9.46%, market at 9.82%

These statistics, although not annualized for shorter periods, indicate that the fund has managed to achieve solid performance in the face of market volatility. It's crucial to remember that past performance does not guarantee future results, and potential investors should keep an eye on changing market conditions.

Portfolio Diagnostics

Royce Small-Cap Trust boasts an impressive total net asset base of $2.00 billion, reflecting investor confidence and sound investment strategies. The trust's average market capitalization stands at approximately $3.06 billion, indicating a focus on small- and micro-cap companies.

The weighted average Price-Earnings (P/E) ratio is 18.1x, suggesting that the investments held are reasonably valued relative to earnings potential. Additionally, the weighted average Price-to-Book (P/B) ratio is at 2.1x, indicating valuation relative to book value. These metrics provide valuable insights into the current valuation of the trust’s portfolio holdings, enhancing investor understanding of the potential risks and rewards.

Top Holdings and Sector Allocations

Royce Small-Cap Trust's diversified portfolio includes various sectors, with the following top ten positions accounting for significant percentage shares of net assets:

• - IES Holdings - 1.8%
• - Assured Guaranty - 1.5%
• - SEI Investments - 1.4%
• - PAR Technology - 1.3%
• - E-L Financial - 1.3%
• - APi Group - 1.1%
• - International General Insurance Holdings - 1.0%
• - TMX Group - 1.0%
• - Haemonetics Corporation - 1.0%
• - Air Lease Cl. A - 1.0%

In terms of sector allocations, the trust has strategically positioned itself in the following sectors, reflecting its investment philosophy:

• - Industrials - 24.4%
• - Financials - 23.3%
• - Information Technology - 14.5%
• - Health Care - 9.9%
• - Consumer Discretionary - 9.6%

Investment Risks and Considerations

Investing in small-cap and micro-cap companies carries a higher risk than larger-cap investments. The Royce Small-Cap Trust aims to mitigate this risk through its diversified portfolio; however, it remains important for investors to understand the potential for volatility associated with such stocks. Additionally, the trust may invest in foreign securities, which carry unique risks related to political and economic stability that may differ from domestic investments.

Conclusion

In summary, the Royce Small-Cap Trust exemplifies a diversified investment approach focused on small-cap equities, suitable for investors searching for growth potential in lesser-known markets. With experienced management and a solid performance track record, the trust underscores the importance of understanding both the potential rewards and inherent risks involved. For those interested in the nuances of small-cap investing, Royce Small-Cap Trust remains a compelling option. Investors are encouraged to consult with financial advisors and analyze ongoing performance metrics to make informed decisions going forward.

For ongoing updates and detailed reports, investors can visit the official Royce Fund website at royceinvest.com.