Royal London Asset Management is changing the name of the £794m UK Growth fund and launching an income share class.
From 15 January the UK Growth fund will be called the Royal London UK Dividend Growth fund. Income units and quarterly distributions will be introduced from 31 July 2018.
Managed by Richard Marwood and Niko De Walden, the fund targets long-term capital growth with some income by investing in companies across the UK market cap spectrum with strong business models and the potential for long-term growth in dividend payments.
The fund’s yield over the past 12 months is 2.17 per cent. The fund has returned 19.4 per cent over one year compared to the 15.3 per cent average of the IA UK All Companies sector, FE data shows.
A spokesperson for RLAM says: “The investment style focuses on companies that should be able to grow dividends faster than the market, while maintaining an attractive yield. We therefore believe that including ‘dividend’ in the name of the fund provides more clarity on how growth is achieved.”