£1.2bn Caledonia investment trust to adopt more concentrated mandate

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The manager of the £1.2bn Caledonia Investment trust is aiming to increase its yield by revamping it into a more concentrated portfolio.

Will Wyatt has restructured the trust into six distinct pools of capital – quoted, unquoted, Asia, property, funds, and income and growth – which will be run by different managers. He will also cut the number of holdings from 68 to 45, while boosting exposure to high yielding global companies, reducing the trust’s emphasis on growth picks. The manager wants to boost the portfolio’s yield, currently 1.9%, nearer to the FTSE All Share yield of 3%.  “We are one of only a handful of companies in the UK that has increased its dividend every year for more than four decades,” said Wyatt. ...

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