"This past month has been a roller coaster forÂ stockmarkets. However, despite a few changes, the most commonly bought investments hardly changed between February and March.The market downturn appears to have weighed slightly on LSE:SMT:Scottish ..."
"Four investment trusts have now delivered consecutive dividend rises for at least the past 50 years, according to the Association of Investment Companies (AIC). LSE:CTY:City of London Investment Trust, LSE:BNKR:Bankers Investment Trust and ..."
"Finding a way of using your capital to provide a sustainable income, typically when you reach retirement, is becoming increasingly important. A growing number of retirees are opting for pension freedom, rather than buying an annuity or taking a ..."
I realise the market is falling significantly and this IT is no exception. However, what concerns me is the sluggish performance when the market was rising significantly and the relatively large fall in the SP in the last few days compared to other ITs which I hold which are not impacted as much. It seems to be going through a heightened period of poor performance and not displaying the stability expected of a large IT.
Sadly not intelligent enough to add a chart to the post, but since the 20% dip v USD at Brexit, (c.1.49 down to c.1.21), it has gradually climbed to c.1.28 so has climbed c.6% from there. Maybe part of the reason for the sluggish performance of UK equity funds/ITs? Other than that, perhaps it's just a perception that UK equity is currently over-valued? No where near as bad as USA, but Europe, Japan and EM appear "cheaper". I could of course be taking total rot so happy to be corrected by anyone more experienced in these matters!!
yes I am aware, but what explains recent poor performamce of virtually all UK income funds even if they are yielding 3.5 to 5.0 ? They had a boost when sterling weakened by 20% versus dollar but recently hey have regressed.
I think you'll find that the Dividned has been increased for last 50 years. That covers a fair few market corrections and downturns.
The fund also has reserves which can be dipped into to cover any shortfall in dividend payment. Plus I believe new rules in place mean, if needs be, some capital can be taken to provide a dividend. The latter I think has been used by other funds.
This is one of my long term core holdings. It's not going to knock the lights out in terms of performance, but then a growing dividend soon makes your actual yield very enticing, even if you top up now and then.
I did see this PIE EATER, but whilst this was a helpful indication, it was only a statement of intention.
It did actually say that the dividend would be "declared" in July. Perhaps I am being too picky, but we are now at 19th July, and is due to go ex div in 8(?) business days time; i think this is a bit slow?
I hold shares in 7 other Investment Trusts, and they are much more prompt with their declarations.
Important message from the Financial Conduct Authority:
Posting inside information that is not public knowledge, or information that is false or misleading, may constitute market abuse.
This could lead to an unlimited fine and up to seven years in prison.
If you have any information, concerns or queries about market abuse, click here.
The content of the messages posted represents the opinions of the author, and does not represent the opinions of Interactive Investor Trading Limited or its affiliates and has not been approved or issued by Interactive Investor Trading Limited.
You should be aware that the other participants of the above discussion group are strangers to you and may make statements which may be misleading, deceptive or wrong.
Please remember that the value of investments or income from them may go down as well as up and that the past performance of an investment is not a guide to its performance in the future.
The discussion boards on this site are intended to be an information sharing forum and is not intended to address your particular requirements.
Whilst information provided on them can help with your investment research you need to consider carefully whether you should make (or refraining from making) investment or other decisions based on what you see without doing further research on investments you are interested in.
Participating in this forum cannot be a substitute for obtaining advice from an appropriate expert independent adviser who takes into account your circumstances and specific investment needs in selected investments that are appropriate for you.