The key attraction is a thumping 5p a share dividend which is paid quarterly to shareholders. This means at the current share price the dividend yield is an eye-catching 8.3 per cent. And because the company’s policy is to target an annual return on equity in the range of 10 to 15 per cent, and its shares trade on a modest premium to net asset value, then that payout generating the bumper yield looks safe as long as investment returns fall into the target range. Last year, GLI produced an annual return of 12 per cent and the 6p a share of post tax earnings covered the payout 1.2 times over. There are prospects for growth too because, as I noted when I initiated coverage last month (‘Funded for growth’, 25 February 2014), the company has changed its investment strategy.