MAM to launch all-cap income trust for Williams

MAM Funds is preparing to float a small and mid-cap biased equity income trust for new managing director Gervais Williams.

The Diverse Income trust will list on the London Stock Exchange in April, and will aim to raise £50m through a share issue pricing shares at 50p each. It will target an initial annualised dividend yield of 4% with a quarterly payout. The new investment trust will have a diverse portfolio with stock weightings at between 1% and 1.5%, including exposure to the full market-cap spectrum, but with a bias towards the smaller end. The trust will have a management fee of 1% and an unlimited lifespan. Williams has just landed at MAM, having left his role as head of smaller companies at Gart...