19th Jun 2024 10:43
(Alliance News) - Personal Assets Trust PLC on Wednesday said it will pay an additional special dividend after earning more on its holdings of US Treasury inflation protected securities than before.
The investment trust said the 1.60 pence per share special payout will be made in addition to a first interim dividend of 1.40p per share for the financial year to April 2025.
High levels of inflation during the year, particularly in the US, meant that Personal Assets earned significantly more income on its holding of US TIPS than in previous years, the company stated.
The special dividend was declared to meet investment trust distribution requirements.
In the financial year that ended in April, Personal Assets Trust paid four interim dividends of 1.4p per share plus special dividends of 2.1p. The total dividend of 7.7p was 10% higher than the 7p per share paid in the year prior.
The company said it aims to pay as consistent and sustainable a dividend as is compatible with protecting and increasing the value of its shareholders' funds and maintaining its investment flexibility.
Personal Assets said it remains committed to paying an annual dividend of 5.60p per share in line with this policy.
Personal Assets said its net asset value per share on April 30 was 487.05p, rising 1.2% from 481.23p a year before. This is short of the rise of 3.4% in the FTSE All-Share Index, the firm noted.
Shares in Personal Assets Trust were down 0.1% to 487.48p in London on Tuesday.
By Jeremy Cutler, Alliance News reporter
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