Dividends as income

A friend has recommended an excellent Investment Trust, let us call it Goodfund.

Over the last five years Goodfund has returned over 149 per cent on capital invested, *with reinvestment* of dividends. I want to invest in Goodfund, but draw the dividends as income rather than reinvest them. How can I calculate the growth of the fund if I *do* withdraw income? Obviously it will be less, but by how much less? Incidentally, the Goodfund itself says it cannot supply this information.

TIA

Mr Kanalista

Reply to
kanalista
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Bitstring , from the wonderful person kanalista said

1) You can't work it out from the information provided, you need to know the dividend rates. 2) If you are ignoring dividends it is much easier to just look up the price now, the price 5 years ago, divide one by t'other. Assuming no stock splits or other strange events, of course.
Reply to
GSV Three Minds in a Can

Dividends depend on the performance of the companies being held by the trust

- if the have a bad year they might cut their dividends. So you can't predict what it'll be.

But you can look at past performance. Go to

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and look up your fund (I don't know if they do investment trusts, but try). Click on the chart section. Then the middle menu above the chart has an option to show dividends. Hover over a dividend symbol and it'll tell you when each was and how much per share. You may have to zoom in the graph a bit to see them all. Theo

Reply to
Theo Markettos

Many thanks, all

Mr K

Reply to
kanalista

The dividend data will be available from annual & interim reports, available online from -

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Daytona

Reply to
Daytona

Except, as we all know by now Shirley, past perfromance has no bearing on future performance.

Reply to
Tumbleweed

You could ask 'friend' what the ratio of dividends to cap-growth was. He must have the dividend figures because he needs to tell the taxman about the dividends.

Robert

Reply to
RobertL

If you go to Yahoo Finance

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and input the EPIC code for the investment Trust concerned, then you can get the historic prices for as long back as they are carried. The share price will give you the growth rate (or shrinkage rate) of the shares involved.

Reply to
Terry Harper

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