magazine archive

magazine archive

Investment Trusts

High yielding trusts: are the rewards worth the risks?

Thursday 17 Sep 2020

Many investment trusts offer high yields which might tempt some investors in the current environment. But are they more trouble than they’re worth? Some may be worth pursuing, while others can have complex investment models and come with underappreciated risks. HOW MUCH CAN YOU GET? Data from the...

Flying the flag for best-in-class UK companies

Thursday 17 Sep 2020

The UK market remains unloved with many investors believing it to be full of old economy businesses and lacking growth. While that criticism is fair on a select basis, applying such an opinion to the whole of the market would mean missing out on some good companies. Asset manager Tellworth is...

Finding alternative sources of income in retirement

Thursday 10 Sep 2020

Investors in retirement looking for reliable income have been frustrated with large parts of the equity market in 2020 as companies defer, cancel or reduce dividend payments. This could have created a shortfall in their precious income, causing them to look at other asset classes in the search for...

Investment trusts pull lockdown borrowing levers

Thursday 13 Aug 2020

Investors are understandably preoccupied with the ongoing Covid-19 pandemic and what a potential second wave and lockdown return might mean for the economy and individual savings and investments. On 6 August the Bank of England said the economic shock triggered by the coronavirus crisis will be...

Investment trusts with the lowest charges

Thursday 06 Aug 2020

Low-cost tracker funds including exchange-traded funds have been grabbing ever more market share as investors demand value for money, but there are now an increasing number of active funds, especially investment trusts, competing on price. When talking about fund pricing, the ongoing charges figure...

The investment trusts trading at larger than usual discounts and premiums

Thursday 23 Jul 2020

Like all parts of the market the investment trusts space has been shaken up by coronavirus. As share prices and valuations have begun to settle back into place, many trusts have been left at wider and narrower than usual premiums and discounts to net asset value (NAV). In this article Shares has...

The great misconception about investment trust revenue reserves

Thursday 16 Jul 2020

Revenue reserves are often touted as a major advantage of owning investment trusts over traditional funds (also called open-ended funds). However, there can be some misunderstanding over how this feature works, which we will now explain. Investment trusts (also called closed-ended funds) are...

Growing concerns about renewable energy funds

Thursday 09 Jul 2020

Renewable energy looks to be one of the areas set to receive the greatest amount of investment over the next 10 to 20 years. However, some market commentators have argued it’s a sector not worth backing. A hard-hitting research note at the start of the year from JP Morgan claimed renewable energy...

Why Scottish Mortgage won’t go the way of Woodford

Thursday 02 Jul 2020

Shareholders in FTSE 100 member Scottish Mortgage ( SMT ) have just voted in favour of the popular investment trust increasing the maximum percentage of privately-owned businesses in its portfolio from 25% to 30%. This is an important development for the trust for several reasons, one of which is...

Why investment trusts are reconsidering their dividend policies

Thursday 18 Jun 2020

Since the onset of the Covid-19 pandemic, dividend investors have had a rough old time of it. Quoted company after quoted company has cut or cancelled the shareholder reward. Against this backdrop the investment trust sector has acted as a partial safe haven. Income seekers have long been attracted...