St James's Place Equity Income kicked out of IMA sector

The £1.2bn St James's Place Equity Income trust, managed by RWC's Nick Purves, has been kicked out of the IMA UK Equity Income sector for failing to meet the minimum yield target.

Investment Week revealed in December the fund was one of several whose yield had fallen below the IMA's minimum yield threshold, putting their place in the sector in jeopardy. Funds must achieve the IMA's basic yield target of 110% of the FTSE All Share yield over a three-year rolling period to remain in the UK Equity Income sector. They must also run an income level of at least 90% of the FTSE All Share yield, on an annual basis. Purves' St James's Place equity income trust undershot the basic yield target in 2010-2011, yielding 3.1% at its year end, while the FTSE All Share deliv...