Murray Income Trust, the Scottish investment company, has announced a hike in its full-year dividend despite difficult conditions in global markets.
The group's net asset value total return for the year to the end of June was 1.4%. This is a product of a decent result from income (the dividends on the stocks it holds) while the actual value of the group's holdings declined.
Total assets by the end of June were £465m, down 1.9% on the £474m figure seen at the same point in 2011.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The full year dividend has, however, been increased by 3.5% to 29.75p per share. This pushes the total return figure to 1.4%, against a 3.1% decline in the group's benchmark FTSE All-Share index.
Murray says it was able to increase dividend because of a 14.4% increase in income from its investments. A special dividend from Vodafone relating to its holding in Verizon Wireless certainly helped matters, bringing in £540,000.
The company points out demand across many important countries has been "anaemic" although shale oil and gas production in the US has managed to help balance of payment figures and push down the euro, providing some help for distressed Eurozone companies.
