Investment Trusts for income
UK Small Caps: A reality check
UK Small Cap sentiment is out of step with reality and fears over the UK’s domestic growth may be clouding investors' judgment
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More Investment Trusts for Income
Thomas Moore: finding dividend stocks and capital growth
In this episode of the podcast, we sit down with Thomas Moore, manager of the Aberdeen Equity Income Investment Trust
Britain’s equity income investment trust revival
A rebound in share prices has lifted the fortunes of one of the City’s stalwarts: UK Equity Income investment trusts.
Fund manager view: Steering a path through global turbulence
Global equity markets have demonstrated a degree of resilience in the first half of 2025 but the US remains a source of uncertainty
Is the UK now a natural hunting ground for investors?
There is renewed interest in the UK market that holds real opportunities, with some interesting companies trading at low valuations
Emerging markets investment trust tightens discount controls
Utilico Emerging Markets Trust is introducing a package of measures to narrow the gap between its share price and net asset value.
Why choose Investment Trusts for Income?
Many investment trusts focus on generating income for investors and aim to pay out a consistent stream of dividends. These dividends can provide a regular income stream, which can be particularly beneficial for retirees or those seeking supplemental income.
- Diversification: Investment trusts typically hold a diversified portfolio of assets, which can help spread risk. By investing in a range of companies or assets, you’re less reliant on the performance of any single investment for your income.
- Professional Management: Investment trusts are managed by professional fund managers who have expertise in selecting investments. Their knowledge and experience can help in identifying income-generating opportunities and managing risk effectively.
- Dividend Growth: Some investment trusts have a track record of increasing their dividend payments over time. This can help protect against inflation and potentially enhance your income over the long term.
- Potential for Capital Growth: In addition to providing income, investment trusts also offer the potential for capital growth. By investing in assets that appreciate in value over time, your investment could grow in value alongside generating income.
- Liquidity: Investment trusts are traded on stock exchanges, which means they offer liquidity. You can typically buy and sell shares in investment trusts relatively easily, providing flexibility in managing your income and investments.
- Historical Performance: Many investment trusts have demonstrated strong long-term performance, outperforming other types of investments such as individual stocks or mutual funds. While past performance is not indicative of future results, it can provide some confidence in the trust’s ability to generate income over time.
You can invest in a range of investment trusts through most popular investment platforms. If you are a UK resident, you can take advantage of the tax advantages provided via a Stocks and Shares ISA
