6th Dec 2018 12:55
LONDON (Alliance News) - BMO UK High Income Trust PLC on Thursday said it was behind its benchmark in the first half of its current financial year, following a decline in net asset value per share.
The NAV total return for both ordinary and B shares was 6.4% in the six months to the end of September. By comparison, the company's benchmark, the FTSE All-Share Capped 5% Index, returned 7.9% over the same period.
The trust's NAV per ordinary and B share declined to 107.91 pence from 111.22p reported the year prior.
BMO UK High Income shares were trading 1.1% lower on Thursday at 91.50p each.
In the first half, the company's ordinary shares and B shares traded at an average discount to NAV of 7.7% and 7.1%, respectively.
BMO UK High Income paid a second interim dividend of 1.25p per each ordinary and B share. The company expects to pay a 5.04p per share dividend for the year ending in March, up 3.3% from 4.88p the year before.
"There is significant uncertainty in the market outlook, but the dividend is well underpinned by the combination of the revenue generated by the portfolio and the revenue reserve," said Chairman Iain McLaren.
"This gives the board comfort that a 'progressive dividend policy' can be sustained," added McLaren.
Related Shares:
BHI.L