Dreading going global
Article Abstract:
United Kingdom investment trusts have borrowed large amounts at rates that appear to be high after world interest rates have fallen. The market value of borrowings is often greater than the par value, and repayment of debt would be more expensive than indicated by par value, for trusts being wound up. The issue may not be important except in cases where trusts are wound up. There may also be stocks in trusts's portfolios that show losses, and this is seen as a similar issue by some analysts.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1998
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Capital into income: always a difficult swap
Article Abstract:
High levels of income from investments tend to be achieved at the expense of capital growth, and this is true for some split-capital investment trusts. This type of trust offers different stock classes, including zeros, with no income, but capital growth, and annuity income stocks, which provide an income but not a return of capital. The stocks are tradeable so there is a chance to recover some capital, though income received does not always cover losses.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 1998
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Being upbeat about depression
Article Abstract:
The problems of British manufacturing industry may not be totally negative for investment trusts.
Publication Name: Investors Chronicle
Subject: Business
ISSN: 0261-3115
Year: 2000
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