Lindsell Train trust dividend threatened by own asset manager's underperformance

'Core' LTL strategies struggle

Eve Maddock-Jones
clock • 4 min read

Nick Train’s Lindsell Train investment trust (LTIT) may have to reduce its dividend next year due to the underperformance of its discretionary investment manager.

According to the trust's annual report for the year ended 31 March 2024, its unchanged final dividend of £51.50 per share is proposed for the period, while revenue per share for the year was £51.07. Moving forward, however, the board said maintaining or growing its dividend in the future may be more difficult after the main driver of its income, the unlisted Lindsell Train Limited (LTL), saw its funds under management nosedive. The trust receives 80% of its income from LTL, meaning the company's dividend paying potential "could be negatively impacted" by the investment manager's under...

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