EQS-News: Edison issues review on The Merchants Trust (MRCH)
Dienstag, 10.01.2017 11:05 von DGAP
EQS-News: Edison Investment Research Limited / Key word(s): Miscellaneous
Edison issues review on The Merchants Trust (MRCH)
10-Jan-2017 / 10:00 GMT/BST
---------------------------------------------------------------------------
London, UK, 10 January 2017
Edison issues review on The Merchants Trust (MRCH)
The Merchants Trust (MRCH) invests in a portfolio of primarily large-cap UK
equities aiming to generate income and long-term capital growth. MRCH
differentiates itself from its peers due to its high income and dividend
growth - its dividend yield is consistently above the benchmark FTSE 100
index - and has 34 years of consecutive annual dividend growth. Near-term
investment performance has improved; this is partly a function of rising
bond yields as investors are starting to rotate away from expensive bond
proxies and towards more cyclical, higher-yielding sectors of the UK stock
market. MRCH is now outperforming its benchmark over five years. Gearing of
up to 25% of net assets is permitted.
MRCH's current 5.0% share price discount to cum-income NAV (with debt at
market value) is modestly wider than the averages of the last three, five
and 10 years (2.9%, 2.3% and 2.0% respectively). There is potential for the
discount to narrow if near-term improved investment performance is
maintained and as the date for the maturity of the first tranche of MRCH's
high-cost debt in January 2018 approaches. MRCH has a progressive dividend
policy; its annual dividend has increased for 34 consecutive years and the
current dividend yield is 5.1%.
Click here to view the full report.
All reports published by Edison are available to download free of charge
from its website
www.edisoninvestmentresearch.com
About Edison: Edison is an investment research and advisory company, with
offices in North America, Europe, the Middle East and AsiaPac. The heart of
Edison is our world-renowned equity research platform and deep multi-sector
expertise. At Edison Investment Research, our research is widely read by
international investors, advisers and stakeholders. Edison Advisors
leverages our core research platform to provide differentiated services
including investor relations and strategic consulting.
Edison is authorised and regulated by the Financial Conduct Authority.
Edison is not an adviser or broker-dealer and does not provide investment
advice. Edison's reports are not solicitations to buy or sell any
securities.
Contact details: Learn more at www.edisongroup.com and connect with Edison
on:
LinkedIn www.linkedin.com/company/edison-investment-research Twitter www.twitter.com/Edison_Inv_Res YouTube www.youtube.com/edisonitv--------------------------------------------------------------------------- Dissemination of a UK FINANCIAL NEWS, transmitted by EQS Group. The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- End of Announcement - EQS News Service 535203 10-Jan-2017