I own ARG, CHO, MLT and STW. An extremely boring portfolio, but...

I own ARG, CHO, MLT and STW. An extremely boring portfolio, but one which I am certain will give me at least my fair share of market returns over a lifetime. I'd also look at AUI and DUI, and possibly AFI, but that's about it.

Advantages of LICS:
- fully franked dividends which are always at least as generous as the previous year
- dividends often include a LIC capital gain amount, allowing individual investors to claim half of that as a tax deduction; not sure how this works as a company investor
- transparent investing: you know almost exactly what you're buying
- low portfolio turnover minimises capital gains tax paid by the LIC
- low management fees (and far lower than unlisted funds)
- sound capital management ensures there's always plenty of cash to pounce on undervalued stocks
- biannual or annual share purchase plans allow investors to top up shareholdings at a small discount, and without paying brokerage

Need I go on?