A post-pandemic recovery in dividends has helped prop up investment trusts, as their managers wrestle with widening discounts and a fall in investor confidence.
Henderson Smaller Companies this week became the 20th investment trust to be labelled a “dividend hero” by the Association of Investment Companies, a trade body, for increasing dividends each year for at least two consecutive decades.
The fund follows Athelney Trust and BlackRock Smaller Companies, which joined the list earlier this year, as dividend cover continued to recover from lows during the pandemic.
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