27th Nov 2013 15:33
LONDON (Alliance News) - F&C Capital and Income Investment Trust PLC Wednesday said its total dividend for its last financial year is 5% up on the previous year, as it reported a net asset value total return for the year of 17.7%.
It said the total dividend for the year to September 30 will be 9.45 pence a share, inclusive of the fourth interim dividend which will be paid on December 31. It said it has now raised its dividend for 20 consecutive years.
Its share price total return for the year was 16.4%, with its shares continuing to trade at a premium to net asset value.
However, it lagged the FTSE All-Share total return of 19.9%, while beating the FTSE 350 High-Yield Index return of 16.8%.
"This sometimes happens in companies which serve two masters: the quest for income calls for some compromise in pursuing growth opportunities. This was a year in which that was the case," the trust said in a statement.
"The year ahead looks a lot brighter than any since 2008. Nevertheless, structural problems remain, with debt simply having been reshuffled from the private to the public domain. As yet, inflation remains subdued, although current policies seem designed to ignite it. Short term interest rates will be low for the foreseeable future, even as the economy speeds up a little. These are unusual times. As I said at the start of this statement, navigating these perilous waters is a serious matter and the year ahead is going to require some skilled helmsmanship," Chairman Stephen Bates said in his outlook statement.
The trust's shares were up 0.7% at 261.75 pence Wednesday afternoon.
By Steve McGrath; [email protected]; @stevemcgrath1
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