Giant investment trust Witan says its dividend policy will stay in line with inflation following its much-hyped relaunch.
The £1.35bn investment trust, which switched to a new mandate last month, revealed that its dividend would not change this year.
After a year-long worldwide search, Witan recently revealed a mandate with five new managers based in Asia, UK and the US, to join Henderson Global Investors in managing the portfolio.
The current Witan yield is 2.7 per cent while the average annual yield for the global growth sector is 2.2 per cent. The trust was set up in 1909 and has over 55,000 investors.
Witan chairman Harry Henderson said in in July that the board would state the trust's view on the dividend at the end of 2004.
Henderson says: “I am pleased to report that because of the way we have managed costs associated with the strategic changes and this allied to lower investment management fees means that the trust will keep the dividend policy unchanged.”