The Association of Investment Companies (AIC) has published a list of the investment company sector’s dividend heroes, who have had a strong start to the year.
In January, Bankers Investment Trust accomplished its 48th year of consecutive dividend increases, whilst two venerable investment companies had similarly strong stories to tell in February: Brunner Investment Trust announced its 43rd consecutive annual dividend increase, whilst Witan investment Trust become the 10th investment company to achieve a 40th consecutive year dividend increase. By coincidence, the company recently celebrated its 10th anniversary of being multi-manager.
Yesterday, the Foreign & Colonial Investment Trust announced another dividend increase – its 44th year of consecutive dividend payments, and this Friday will see Alliance Trust release its final results. If Alliance Trust is able to announce another dividend increase, this will be its 48th consecutive year of dividend increases, putting it at level pegging with City of London Investment Trust and Bankers Investment Trust.
All of these companies are among some of the longest-established in the sector, but it’s not just the golden oldies with such enviable track-records: JPMorgan Claverhouse has raised its dividend each year for the last 42 years of its 52 year history. Value & Income Investment Trust has made 27 annual dividend increases in a row, out of a 34 year history.
Annabel Brodie-Smith, Communications Director, Association of Investment Companies (AIC) said: “There’s nothing more reassuring to investors than a company with a solid history of dividend increases, and the investment company sector’s track record here is second to none. Through the good times and the bad, many investment companies have been able to increase their dividend every year for decades because they have the unique ability to save some of the income they receive each year for tougher times; a facility known as dividend smoothing.”
|Company||Sector||Number of consecutive years dividend Increased||Launch date|
|City of London Investment Trust||UK Equity Income||48||01/01/1891|
|Bankers Investment Trust||Global||48||13/04/1888|
|Foreign & Colonial Investment Trust||Global||44||01/01/1868|
|F&C Global Smaller Companies||Global||44||15/02/1889|
|Brunner Investment Trust||Global||43||01/01/1927|
|JPMorgan Claverhouse Investment Trust||UK Equity Income||42||01/01/1963|
|Murray Income||UK Equity Income||41||07/06/1923|
|Witan Investment Trust||Global||40||17/02/1909|
|Scottish American||Global Equity Income||35||31/12/1873|
|Merchants Trust||UK Equity Income||32||16/02/1889|
|Scottish Mortgage Investment Trust||Global||32||01/01/1909|
|Scottish Investment Trust||Global||31||27/07/1887|
|Temple Bar||UK Equity Income||31||30/12/1926|
|Value & Income||UK Equity Income||27||31/07/1981|
*Alliance Trust final results are out on Friday, March 6 2015. If another dividend increase is announced, Alliance Trust will have a 48 year record of consecutive dividend increases.