Thornber looks to commodities sector for special dividends

Threadneedle's Stephen Thornber is looking to the commodities sector for special dividend payouts as he prepares to cut certain income payers in his quarterly portfolio review.

Thornber has joined other income managers in placing stocks on watchlist for removal as he undertakes a review of his portfolio. However, the manager said special dividends could provide a fillip for investors. Thornber said the use of special dividends was a "slow trend" he sees as gaining traction among firms looking to reward shareholders without committing to longer-term payouts. The use of a special dividend among commodities players is of particular interest. "Resources players are reluctant to pay through ordinary dividends because they leave themselves exposed to falling commo...