Ellie Duncan is deputy features editor at Investment Adviser
Expert view
James de Sausmarez, director and head of investment trusts at Henderson Global Investors, says:
“Investment trusts are the only equity-based investment vehicle where we have the ability to maintain a revenue reserve that underpins the income stream. It means investment trusts can provide a stable and growing income over a period of time.
“From an investor’s point of view, when you are investing for income you are there for the medium to long term, so therefore the short-term volatility in the share price is not as important as the stability of the income stream. The great thing about a lot of income funds is investors get capital growth over the long term, as well as income.”
