Rathbone Income Fund Institutional Inc

UK Equity Income

Rated Fund 2014-2018. A solid choice for rising income

Rathbone Income is a fund that income investors are likely to be able to put in their portfolio and forget about. That is because it has the best record among open-ended equity funds for paying rising dividends -- last year achieving its 23rd increase out of the past 24 years. Its current yield is 3.7 per cent and it pays income half-yearly. The fund can invest in dividend-paying companies of any size and has a concentrated portfolio of 30 to 50 holdings. Carl Stick, its manager since 2000, believes that adding further holdings to try to spread risk is only distracting.Stick's investment style is a mixture of both 'value' and 'growth': growth, because he wants the dividend stream to grow year on year and value because he wants to buy shares that offer the greatest value and provide a high earnings yield.He looks for the best companies he can find relying on 'simple ideas' such as earnings and dividend growth, a recognition of quality businesses, management teams and products, and also paying the right price for that. Although most of his holdings are in the FTSE 100 index, around 33 per cent of the portfolio is invested in medium-sized and smaller companies for diversification.Stick believes he often gains an edge from taking a longer-term perspective of business prospects, looking beyond short-term headwinds to a time when underlying characteristics are re-asserted. His average holding period is four to five years. The fund's volatility is low.

Narrative and ratings content all as of 01 January 2018.

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Rathbone Income Fund Institutional Inc
Rathbone Unit Trust Management Limited
Unit Trust
UK Equity Income
0.79 %
Risk Rating
3 Year Sharpe
3 Year Alpha
4.4 %
The objective of the fund is to achieve above average and maintainable income but without neglecting capital security and growth. The Manager intends to achieve the objective primarily through the purchase of ordinary shares with an above average yield. There is no restriction on the economic sectors or geographic areas in which the fund may invest. However, investments will always be predominantly in the ordinary shares of UK companies.
Holding %
GlaxoSmithKline PLC 4.59 %
Unilever PLC 4.55 %
Reckitt Benckiser Group PLC 4.29 %
BP PLC 4.06 %
Royal Dutch Shell PLC B 3.97 %
RELX PLC 3.48 %
Legal & General Group PLC 3.40 %
Bunzl PLC 3.39 %
AstraZeneca PLC 3.34 %
WEC Energy Group Inc 3.14 %
Region %
United Kingdom 87.54 %
United States 7.18 %
Sector %
Consumer Cyclical 20.33 %
Consumer Defensive 19.58 %
Financial Services 15.53 %
Healthcare 12.86 %
Energy 11.21 %
Utilities 9.31 %
Industrials 5.91 %
Rathbone Unit Trust Management Limited
W1J 5FB, London, United Kingdom
Legal Structure
Unit Trust


Alan Dobbie
Joined 10/05/2018

Mr. Dobbie joined Rathbones in October 2005, having graduated from the University of Strathclyde Business School with an MSc in Finance. He also holds degrees from the Universities of Glasgow and Edinburgh. Alan specializes in Pan-European equities, and has assisted in the management of various institutional and retail funds within Rathbone Unit Trust Management. In addition, Alan holds the Investment Management Certificate and is a Chartered Financial Analyst charter holder.

Carl Stick
Joined 01/01/2000

Mr. Stick transferred to London in August 1998, after Rathbones acquired Neilson Cobbold in 1996, where he became an assistant fund manager for the unit trust business, working alongside Hugh Priestley. Carl is a Board Director of Rathbone Unit Trust Management and plays a key role in the development of Rathbones’ investment process and business strategy. Carl graduated from the University of Southampton in 1991 with a BA Honours degree in English Literature. He is also I.I.M.R.-qualified and a Fellow of the Securities Institute.

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