Managers call for UK Equity Income yield hurdle rate review

Groups are urging the IMA to review its yield hurdle rate for UK Equity Income funds as the authorit...

Groups are urging the IMA to review its yield hurdle rate for UK Equity Income funds as the authority attempts to enforce manager compliance with the 110% FTSE All-Share target. PSigma and Credit Suisse are calling on the Association to temporarily change the yield requirement as managers worry about companies cutting dividends next year. Neptune agrees the calculation should be reviewed. The IMA wrote to members in October asking if managers expected to meet the 110% yield target by 31 December. According to research carried out by Investment Week, 20 out of the 90 funds in the UK ...