Investors have been concerned about the sustainability of listed investment vehicles dividends, as a range of large companies cut their payouts due to the global economic downturn.
In this video, Chief Investment Officer Paul Moore says the hit to yields is likely to be temporary, and that the +6% gross dividend yield on the PM Capital Global Opportunities Fund (ASX: PGF) shows there are attractive yields on offer in the global space – particularly given some of the current buying opportunities in quality industrial and cyclical stocks that he expects to provide very good returns over the next three to five years.
This communication is issued by PM Capital Limited (ABN 69 083 644 731, AFSL No. 230222) as responsible entity for the PM Capital Global Companies Fund (ARSN 092 434 618, the ‘Fund’) and investment manager for the PM Capital Global Opportunities Fund Limited (ACN 166 064 875, ‘PGF’). It contains general information only and does not constitute an offer, invitation, solicitation or recommendation with respect to the purchase or sale of any securities of either PGF or the Fund. The information herein seeks to provide an insight into how and why we make our investment decisions, and is subject to change without notice. The communication does not constitute product or investment advice, nor does it take into account any investors’ investment objectives, taxation situation, financial situation or needs. All investors should seek their own financial advice, and must not act on the basis of any matter contained in this communication in making an investment decision but must make their own assessment of PGF and/or the Fund and conduct their own investigations and analysis prior to making a decision to invest. Past performance is not a reliable indicator of future performance and no guarantee of future returns, unit/ ASX prices, or liquidity is implied or given. All values are expressed in Australian currency unless otherwise stated. The communication is not intended for any person outside, or non-resident, of Australia or New Zealand. It contains Paul Moore’s perspectives on PGF’s dividends in his capacity as the portfolio manager and a major shareholder. These perspectives in no way pre-empt the nature or quantum of PGF’s actual future dividends, and are not indications of actual, nor forecasts of future, performance of either PGF or the PM Capital Asian Opportunities Fund Limited (ASX: PAF). PGF’s and PAF’s dividends and dividend policy are determined by the Boards of PGF and PAF (which is majority independent from the Investment Manager). The Index is the MSCI World Net Total Return Index in Australian dollars, net dividends reinvested. See www.msci.com for further information on the MSCI indices. See the company announcements platform at www.asx.com.au, and www.pmcapital.com.au, for further information.