M&G Dividend A

UK equity fund targeting a yield 33% above that of the FTSE All-Share

  • 58.93p
    Price (Inc)

    These are the shares in the fund that pay out an income to clients. The income is made up of the total dividends – the money a company can pay out to its investors – from the companies in the fund.

  • 714.92p
    Price (Acc)

    These are the shares in the fund that don’t pay out an income to clients. Any dividends – the money a company can pay out to its investors – are reinvested into companies in the fund. Despite no income, the shares should be worth more over time. Good incentive, eh?

  • 4.00% 0.00%

    Initial charge

    Some funds charge you when you first invest, which is aptly known as the initial charge. They’re usually between 3-5% but at Bestinvest, we usually don’t charge you a penny!

  • 1.50%
    Annual management charge

    This is how much the fund management company charges to run the fund. It’s like paying a babysitter, dog sitter or house sitter (that makes well-informed, heavily researched changes to improve your baby/dog/house when needed).

  • 1.66%
    Ongoing charges

    This stands for Ongoing Charges Figure. It’s the cost of running a fund and includes admin fees, manager fees, administration costs, etc.

  • 5.00%
    Yield

    How much the fund is currently paying out in income to investors. It’s NOT to be confused with the overall growth of a fund – a very different thing indeed. It’s also NOT a guarantee of future pay-outs, just a snapshot. This is more what it’s not than what it is…

Prices as at 13 December 2019, fund data last updated 23 July 2009

This fund invests in high yielding UK equities, with the objective of growing income, as well as maximising total returns. The income target aims to be above the yield of the FTSE All-Share index. To achieve these targets the fund invests in a diversified portfolio across all market sectors and generally has a bias to large and mid cap stocks.

Fund summary

Sector UK Equity Income
Structure OEIC
Launched April, 1964
Size £1,129m
Yield 5.00%
Charging basis Capital
Dividends paid 28 Feb, 31 Aug

Charges

Standard initial charge 4.00%
Initial charge via Bestinvest 0.00%
Additional bid/offer spread 0.00%
Annual management charge 1.50%
Ongoing charges figure 1.66%

Allocation

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Investment process

Manager research

Average monthly relative returns

  • 14/15 0.44%
  • 15/16 -0.19%
  • 16/17 0.11%
  • 17/18 -0.31%
  • 18/19 0.00%

Bestinvest MRI

  • 3 years 0.00%
  • 5 years 0.00%
  • Career 0.00%
  • 3 years 0.00%
  • 5 years 0.00%
  • Career 81.90%

Performance figures are based on the average of monthly percentage returns relative to the benchmark index.

Phil Cliff

Cliff joined M&G in January 2012 from Occam Asset Management, an investment boutique established by Jonathan Hughes- Morgan which he joined in September 2007. Prior to this, he worked as part of the European Equity team at Threadneedle (2001-2007) and Skandia Life where he was an Investment Consultant specialising in European equities and Global bonds. Cliff graduated in 1996 with a BSc (Hons) in Economics. He is an associate member of the UK Society of Investment Professionals (UKSIP).

Track record

Phil Cliff has 9.8 years experience of managing mutual funds in this sector. Over this period the average monthly return relative to the benchmark index has been +00%. During the worst period of relative performance (from September 2015 - November 2018) there was a decline of 13% relative to the index. The worst absolute loss has been 16%. Statistically, we estimate the probability that this fund manager is adding value, rather than being lucky, is

Periods of worst performance

Absolute -16.00% (May 2007 - May 2012)
Relative -13.00% (September 2015 - November 2018)

About the MRI

Our unique indicator: the Bestinvest Manager Record Index (MRI) measures the likelihood that the fund manager is adding value through their decisions. It is based on their performance record over the course of their career, adjusted for the amount of risk taken. MRI is an important contributor to our fund rating system but it is also vital to take account of qualitative factors. It is also very important to select funds to form a cohesive portfolio with an appropriate overall risk level.

Allocation

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Top 10 holdings

Data accurate as at 31 August 2019

6.6% Bp
5% Astrazeneca Plc
4.3% Imperial Brands Plc
3.9% British American Tobacco
3.7% Rio Tinto
3.7% Hsbc Hldgs
2.6% Glaxosmithkline
2.6% Royal Dutch Shell
2.6% Compass Group
2.5% Lloyds Banking Group Plc
Source: Trustnet

Sector breakdown

Financials 29.00%
Consumer Services 15.00%
Consumer Goods 14.00%
Oil & Gas 10.00%
Health Care 9.00%
Industrials 9.00%
Basic Materials 6.00%
Utilities 4.00%
Telecommunications 2.00%
Technology 1.00%

Portfolio

A diversified portfolio of around 90 stocks.

Key Investor Information - Income

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Key Investor Information - Accumulation

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