Dividends are one of the great things about investment trusts. During downturns or at times of market volatility, they offer certainty that at least a modicum of income will come your way.
They also demonstrate a trust’s commitment to its shareholders. The latest Association of Investment Companies’ dividend heroes table lists 18 trusts that have been raising their dividends every year for at least two decades, with the top three – City of London (CTY), Bankers Investment Trust (BNKR) and Alliance Trust (ATST) – boasting a whopping 56 consecutive years of dividend increases.