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BLACKROCK UK INCOME A

Bestinvest LogoA focused barbell approach to UK equity income investing, with an emphasis on large and mid cap companies.

PRICE (INC)

417.7833p

PRICE (ACC)

1936.3021p

INITIAL CHARGE

5%

0%

ANNUAL MANAGEMENT CHARGE

1.5%

ONGOING CHARGE

1.56%

YIELD

3.9%

1 YEAR
6.66%
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Prices as at 04 Dec 2023.

Fund commentary last updated 02 Oct 2023.

Past performance is not an indication of future performance.

Capital at risk.

The aim of the Fund is to provide a return on investor's investment (generated through an income received from Fund assets) (gross of fees) with an above-average and growing income compared to the income produced by UK equity markets (as defined by the FTSE All Share Index) without sacrificing the benefits of capital growth (i.e. the value of the assets held by the Fund) over the long term (5 or more consecutive years beginning at the point of investment). In seeking to achieve its investment objective, the Fund will invest at least 70% of its total assets in the equities (i.e. shares) and equity related investments (i.e. other investments whose value is related to equities) of companies incorporated or listed in the UK.

Fund summary

SectorUK Equity Income
StructureUNIT TRUST
LaunchedMarch 1984
Size£518m
Yield3.9%
Dividends paidJanuary, April, July, October

Charges

Standard Initial Charge5%
Initial Charge Via BestInvest0%
Additional Bid/Offer Spread0.52%
Annual Management Charge1.5%
Ongoing Charges Figure1.56%

Investment Process

The fund invests at least 70% of assets in UK equities from the FTSE All-Share index, retaining the flexibility to invest the remainder outside the UK if the managers believe there are best in class companies or want access to a sector not represented in the UK. The managers take a top-down economic view as well as using bottom-up stock selection, helped by BlackRock’s huge team of analysts. They invest in resilient companies with sustainable free cash flow, good management, and strong balance sheets. The managers also place a big emphasis on the quality of a company’s management team and its ability to correctly allocate capital. Most of the fund is invested in high quality stocks growing their dividends year-on-year. Around 30% is invested in those with the potential to produce attractive free cashflow and grow dividends in the future. This gives the managers flexibility to not just focus on traditional income names but invest in stocks where they can see a road map to strong cashflow performance. The managers are benchmark aware on a sector level, but run a relatively concentrated and high conviction portfolio of 35-40 names. Positions are sized according to risk and potential return. The fund’s highest weighted sectors are financials, consumer discretionary and consumer staples.

The information on this website is not intended to be advice or a recommendation to buy, sell or hold any investment mentioned. The value of investments and the income from them can go down as well as up and you may not get back the amount invested.

Past performance is not a guide to future performance. View full risk warning