Diverse Income Trust plc (LON:DIVI) has announced that its Factsheet for the month ended 31 October 2024 is now available:
Manager commentary
After such a long period of elevated interest rates, investors are now becoming concerned that governments will increase expenditure to offset an economic slowdown. In the UK for example, whilst the Budget did raise significant extra tax, the government is also planning to grow expenditure at an even faster rate.
During October, the valuation of government debt fell back considerably. Alongside, stock market returns have moderated over the summer, with the UK stock market indices performance falling very slightly in October. The trust’s Net Asset Value (NAV) produced a positive return this month, in part as the share prices of smaller companies have started to outperform. To date, UK pension savings have been inheritance tax free. During October, the Budget proposed that pension savings will be liable to 40% inheritance tax in future. Companies listed on the Alternative Investment Markets (AIM listed stocks) have also been inheritance tax free, but in their case, they will be liable to a reduced rate of 20%.
