FTSE income better than gilts

Almost one fifth of FTSE 100 companies are currently offering yields higher than those available on...

Almost one fifth of FTSE 100 companies are currently offering yields higher than those available on gilts. The 2003 gilt currently has a redemption yield of 3.77% and the 2004 gilt one of 4.02%, but many equities are delivering much higher dividends. Although the level of cover and security varies significantly, Collins Stewart, the stockbroking firm, sees opportunities to be exploited from equities that are currently offering high yields. Dan Parmar, a fund manager at Collins Stewart, said the balance of portfolios should be reviewed given the recent value shift in favour of equities...