In this article, Sharesify counts down the most-viewed trusts on the website of The Association of Investment Companies (AIC) in 2025, delving into the top 10 positions for the first time.
IN THE ASCENDANT
The funds occupying 10th, 9th and 8th position all offer compelling income propositions for yield-starved investors and their number includes one trust with a unique twist.
Henderson Far East Income (HFEL)
Share price: 246.5p
Premium to NAV: 4.6%
Yield: 10.1%
Shifting up from 13th to 10th spot was Henderson Far East Income, the quarterly-dividend paying trust which looks to maximise opportunities for high-income investing in Asia-Pacific. Admittedly, it has lagged AIC Asia Pacific Equity Income sector peers on a 10-year share price total return basis. Yet Henderson Far East Income offers investors a juicy 10.2% dividend yield, the highest in the sector by some margin.
Its popularity with income-seekers is reflected in a 4.6% NAV premium. An AIC ‘next generation’ dividend hero with 18 years of unbroken dividend growth under its belt, Henderson Far East Income is well-positioned to capitalise on strong Asian returns.
Manager Sat Duhra runs a portfolio of value-orientated Asia Pacific equities. He focuses on cash flow generation from companies with the ability to sustain and grow their payouts. With significant allocations to China, South Korea and Taiwan, it offers exposure to growth stocks like AI chips maker TSMC.
Learn more about the trust here: https://www.janushenderson.com/en-gb/uk-investment-trusts/trust/henderson-far-east-income-limited/
HIGHEST NEW ENTRANT
Invesco Global Equity Income (IGET)
Share price: 363p
Discount to NAV: 0.2%
Yield: 3.7%
Invesco Global Equity Income was the highest-ranked of five new entrants to the top 20 most-viewed list. It landed in 9th place as strong performance stoked interest from investors. The trust recently capped a remarkable turnaround by clinching an asset-boosting merger with the underperforming Franklin Global Trust (FRGT).
IGET has the best five-year share price total return in the AIC’s Global Equity Income sector with a 103% return versus the sector average 71%. The trust focuses on finding quality companies at attractive prices that can grow cashflows, to provide income and growth for investors.
Managed by Stephen Anness and Joe Dowling, IGET is diversified across 40 holdings with top 10 positions including private equity trust 3i (III), aero-engine maker Rolls-Royce (RR.) and software giant Microsoft (MSFT:NASDAQ). The trust’s annual dividend target of at least 4% ensures the managers are laser-focused on delivering predictable income.
Learn more about the trust here: https://www.invesco.com/uk/en/investment-trusts/invesco-global-equity-income-trust.html
DUAL INCOME STREAMS
Law Debenture (LWDB)
Share price: £11.44
Premium: 0.14%
Yield: 2.9%
As interest rates come down, investors are seeking investment trusts with long track records of dividend growth to meet their income needs. One popular option with an impressive dividend growth track record is Law Debenture, which trades at a modest premium to NAV and comes with a unique twist.
Law Debenture has two distinct-yet-complementary components: a UK equity income portfolio managed with a contrarian approach by James Henderson and Laura Foll – top holdings range from Barclays (BARC) and BP (BP.) to Balfour Beatty (BBY) – and a professional services business.
The income generated by the professional services business gives the managers greater freedom to invest in lower-yielding yet faster-growing companies. Law Debenture has increased the dividend for 15 consecutive years and increased or maintained the shareholder reward for 47 years. It moved up from 11th to 8th spot on the most-viewed list last year.
Learn more about the trust here: https://www.lawdebenture.com/
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