Join our community of smart investors

Can the City of London IT thrive in an era of higher rates?

The trust, and the manager, have seen it all before. But will returns be limited by the UK focus?
September 27, 2023
  • The era of cheap borrowing is gone
  • Is that a worry for this trust?

Currently, buyers of the FTSE All-Share can expect to lock in a 4 per cent dividend yield. As bond fans like to point out, that puts UK company payouts below long-term gilt yields, the BoE’s base rate and many savings accounts. Why, then, would anyone take the former trade?

To Job Curtis, along with buy-and-hold shareholders everywhere, the kicker remains the same: equities’ unlimited potential for capital appreciation.

This is subscriber only content
Start your trial to keep reading
PRINT AND DIGITAL trial

Get 12 weeks for £12
  • Essential access to the website and app
  • Magazine delivered every week
  • Investment ideas, tools and analysis
Have an account? Sign in