Founded in Glasgow on 8 June 1923, Murray Income Trust celebrates its centenary this year and today invests for a high and growing income from a portfolio predominantly of UK equities.
For most investors, one hundred years may be beyond their time horizon, but Murray Income’s growth over this period shows what is possible. The original Trust maintained an extremely broad mandate, allowing it to invest in securities of any kind, issued by any company or corporation in the United Kingdom or in any other foreign country.
The Second Scottish Western Investment Company, as it was then known, started with initial share capital of £500,000. Fast forward to 30 June 2023 and its net asset value was £1bn.
That is quite some appreciation. In recognition of this significant achievement the Murray Income Trust were invited to celebrate this occasion by closing the market at the London Stock Exchange in a ceremony on Monday the 11th of December.
The Chair, Peter Tait (left) then provided a statement saying:
“Murray Income Trust has thrived through many economic and political crises and through a series of technological developments. What underpins its continued success is strong and patient management through successive boards and managers. As the most recently appointed Chair, I am committed to its continued success and long legacy”
Also in attendance were members of the abrdn Investment Trusts team, includng Murray Income Trust fund manager Charles Luke (middle). They were joined by three former chairs of the trust including; Neil Rogan (left), Neil Honebon (2nd from right) and Patrick Glifford (right).
The board is committed to maintaining consistent dividend growth and focused on continuing the excellent historical legacy of Murray Income Trust.
Total return; NAV to NAV, net income reinvested, GBP. Share price total return is on a mid-to-mid basis. Dividend calculations are to reinvest as at the ex-dividend date. NAV returns based on NAVs with debt valued at fair value. Source: abrdn Investments Limited, Lipper and Morningstar. Past performance is not a guide to future results.The benchmark FTSE All-Share Index returned approximately 3% in November on a total return basis. The portfolio outperformed the benchmark by approximately 1.1% on a gross assets basis.
- The value of investments, and the income from them, can go down as well as up and investors may get back less than the amount invested.
- Past performance is not a guide to future results.
- Certain trusts may seek to invest in higher yielding securities such as bonds, which are subject to credit risk, market price risk and interest rate risk. Unlike income from a single bond, the level of income from an investment trust is not fixed and may fluctuate.
- Yields are estimated figures and may fluctuate, there are no guarantees that future dividends will match or exceed historic dividends and certain investors may be subject to further tax on dividends.
- Investment in the Company may not be appropriate for investors who plan to withdraw their money within 5 years.
- The Company may borrow to finance further investment (gearing). The use of gearing is likely to lead to volatility in the Net Asset Value (NAV) meaning that any movement in the value of the company’s assets will result in a magnified movement in the NAV.
- The Company may accumulate investment positions which represent more than normal trading volumes which may make it difficult to realise investments and may lead to volatility in the market price of the Company’s shares.
- The Company may charge expenses to capital which may erode the capital value of the investment.
- Derivatives may be used, subject to restrictions set out for the Company, in order to manage risk and generate income. The market in derivatives can be volatile and there is a higher than average risk of loss.
- There is no guarantee that the market price of the Company’s shares will fully reflect their underlying Net Asset Value.
- As with all stock exchange investments the value of the Company’s shares purchased will immediately fall by the difference between the buying and selling prices, the bid-offer spread. If trading volumes fall, the bid-offer spread can widen.