Man GLG, the discretionary investment management business of Man Group, today announces that the Man GLG UK Income Fund will pay holders income earned on a monthly basis from the end of October.
The £250m fund, managed by Henry Dixon, currently pays out dividends to investors biannually. The change to its distribution policy will see investors receive their first fixed monthly payment this month, with any excess capital distributed at the end of each accounting year.
The actively managed long-only strategy, which leverages the value-focussed investment process employed by the £775m Man GLG Undervalued Assets Fund, aims to achieve an income higher than that of the FTSE All-Share Index with capital appreciation. Since Dixon took over the Income fund in November 2013 it has returned 53.86% (net), ranking it first in the IA Equity Income sector. The fund’s trailing yield is 4.6%.
Man GLG has enacted the change to its distribution policy in response to market demand as investors seek more regular access to investment income.
Commenting on the switch, Richard Phillips, Managing Director, UK Retail, says: “Investors have been seeking more regular income from their investments following the introduction of the pension freedoms and we have decided to convert the fund to monthly distribution in order to meet mounting client demand.