CT UK High Income (CHI)

CT UK High Income (CHI) is managed by David Moss, whose valuation-aware, income-focussed approach seeks high-quality UK companies with durable competitive advantages, robust cash generation and management teams committed to disciplined capital allocation. Since taking charge in July 2023, David has continued to reshape the Portfolio, with a focus more recently on its exposure to data and information businesses, rebuilding positions in LSEG and RELX and adding Experian, on the view that genuinely unique, hard-to-replicate data sets these apart from software businesses more exposed to AI-driven disruption. Elsewhere, David exited Prosus and SAP, and given the plethora of opportunities he sees on home soil, has sold much of the trust’s overseas positions from c. 10% when he took over, to its direct European exposure, for example, now effectively at zero.

Over the 12 months to 30/09/2026, CHI delivered a NAV total return of 16.4%, broadly in line with a strong UK market return of 16.9%, aided by a few key stocks (see Performance). Since David took the reins, the trust has outperformed the index, meaning that one of his priorities when taking over – improving sources of capital return and boosting performance – has, so far, borne fruit.

His other points of focus were to diversify income streams and rebuild revenue reserves, goals, we think have also been achieved. For its latest financial year, CHI increased its full-year dividend by 2.9%, which was also fully covered by earnings, these having improved in each year David has been at the helm. This marks CHI's 13th consecutive year of Dividend growth, coupled with premium yields from both the ordinary shares and the B shares (CHIB), a dual share class structure that lets investors choose between a revenue-funded dividend or an equivalent payment funded by capital, both ahead of the broader UK market and sector average.