The Directors of TwentyFour Select Monthly Income Fund Limited (“SMIF”), the listed, closed-ended investment company that invests in a diversified portfolio of credit securities, have declared that a dividend of 0.5 pence per share will be paid, in line with the Prospectus, representing the regular monthly targeted dividend for the financial period ended 30 June 2025 and an additional dividend of 0.25 pence per share will be paid as follows:
How Uncle Sam + ChatGPT = 9% and 12% Dividends Brett Owens, Chief Investment Strategist Updated: July 9, 2025
A nifty dividend duo—with yields of 9% and 12%—is ready for takeoff. Thanks to Uncle Sam’s spending bender coinciding with the rise of the machines.
Big tech stocks are about to remind Wall Street why it fell in love with these shares in the first place. Think you’ve seen a tech bubble before? Just wait until tech firms report earnings later this month!
These companies are growing sales and profits by deploying robots instead of hiring humans. Their AI-driven tools are faster, more scalable, and much cheaper than carbon-based labor. Cost savings are dropping straight to tech bottom lines.
Expect proof of trend as the Nasdaq’s increasingly machine-driven companies report banner earnings in the coming weeks.
Meanwhile, Washington’s $3+ trillion fiscal “open bar” is officially flowing. Policymakers saw a negative GDP print in Q1 and have rapidly revved up the stimulus spigots to avoid a technical recession. Nothing creates market excitement like stimulus cocktails ahead of midterms.
As we approach election season, the Fed is under pressure. Will Fed Chair Jay Powell last his final 10 months? I wouldn’t bet on Jay—not when Treasury Secretary Scott Bessent stands ready to step in and potentially lower the Fed Funds Rate by 300 basis points almost overnight. Talk about bullish fuel!
This backdrop makes us contrarians bullish on stocks—with a twist. We could buy and hope for higher prices, but why? Instead, we can engineer dividend yields of 9% and 12% simply by “selling volatility.” To do this we consider covered call funds, which manufacture sweet synthetic dividends with upside price potential to boot.
Take Christopher Dyer of Eaton-Vance Tax-Managed Global Diversity Equity Fund (EXG). Chris owns significant stakes in Alphabet (GOOG), owner of Waymo, the autonomous “robot” car company. My kids couldn’t stop talking about it after our recent San Francisco trip.
Alphabet itself is becoming “autonomous.” Human hiring has halted. Yet despite flat headcount in the last year, revenues still grew by double digits—14%!
Surviving highly-paid “Googlers” are understandably anxious. They developed Gemini, Alphabet’s AI tool, now being deployed enterprise-wide to automate countless tasks. Yes, they created their own monster.
Chris’s next big holding for EXG is Amazon (AMZN). CEO Andy Jassy openly acknowledges that Amazon’s workforce will shrink over the next few years. Today may well be “peak headcount!”
Microsoft (MSFT), Chris’s largest holding, laid off 6,000 employees in May and another 9,000 just last week. Yet Microsoft isn’t downsizing. It’s upsizing efficiency by rolling out its AI-driven sales and marketing teams, creating “driverless” departments that are equally effective and far cheaper.
Tic tac toe, three AI-driven cash cows in a row. Chris is primed to enjoy an impressive earnings season.
Remarkably, EXG still trades at a 6% discount to its net asset value (NAV). Meaning, we can grab MSFT, GOOG, and AMZN shares for just 94 cents on the dollar, right ahead of strong earnings.
In the meantime, Chris boosts income by selling (writing) covered calls on broad market indexes to generate extra income. Hence EXG’s nifty 9% yield.
Global X S&P 500 Covered Call ETF (XYLD), managed by Nam To and Wayne Xie, follows a similar strategy and yields an attractive 12%. XYLD holds a substantial 40% tech allocation, capturing this automation-driven profitability boom. However, unlike closed-end fund EXG, XYLD trades at fair value—so no additional discount benefit here.
The broader automation trend clearly impacts employment numbers. Last week’s headline 147,000 job gain appeared solid. But removing 73,000 new government jobs (aside: weren’t they supposed to be cutting?) leaves only a gain of 74,000 private-sector positions, significantly below the expected 105,000.
Payroll processing firm ADP’s numbers last week were even harsher, a 33,000 private-sector job loss signaling AI’s impact already.
The machines are here for the jobs. But we, my fellow contrarians, are here for the payouts—specifically the nifty 9% and terrific 12% yields I’m calling out.
It’s big and already starting. Corporate automation plus a $3+ trillion spending bender from Uncle Sam is a powerful recipe for higher stock prices and bigger dividends.
Let’s ignore the “tariff worry” headlines. We are following the money, and it is dropping straight into the tech bros’ coffers. Let’s scrape some serious payouts and profits from this soon-to-be uncovered megatrend.
2 UK shares and funds to target a sizzling summer return! With investors buying gold again, and central banks still building their bullion reserves, I think these UK shares and funds could fly.
Posted by Royston Wild Published 9 July
AUCP SRB
When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in.
I think these UK shares and exchange-traded funds (ETFs) are worth investigating as they could deliver giant returns as gold demand rebounds. Here’s why.
Bouncing back Gold’s rise to record peaks in 2025 was driven by fears over US trade policy. At $3,500 per ounce, the precious metal surged as markets worried about crushing tariffs and their impact on global growth and inflation.
The threat hasn’t gone away, but its impact on gold prices is greatly diminished. As we’ve seen in recent hours, markets seem accustomed to tough words on tariffs from President Trump before the White House sounds the retreat.
Does this mean gold’s bull run is over ? Not in my book, as there are plenty of other factors that could drive the safe haven to new peaks. These include falling interest rate cuts, a weakening US dollar, and rising geopolitical tensions in the Middle East.
A fine fund Modern investors have a multitude of options if they want to capitalise on a rising gold price. The first option is to purchase physical gold like bars or coins. The advantage is that investors have 100% control over the asset. However, buying and selling actual metal can be more complicated than other options, and can attract storage costs.
Another possibility is to buy a price-tracking ETF. The problem here however, is that — as with owning physical bullion — individuals don’t receive an income. They only benefit from a rise in the value of the shiny commodity.
To get around this, individuals can purchase an ETF that holds a basket of gold stocks. This is a path I’ve chosen with the L&G Gold Mining (LSE:AUCP) fund, which owns shares in 38 different bullion producers.
Some of the companies it holds (like AngloGold Ashanti, Kinross Gold and Newmont) pay a regular dividend to their investors. This is then reinvested back in the fund for further growth. Another advantage is that miners’ profits can rise faster than the gold price due to the leveraged effect.
The downside is that ETFs like this expose investors to the unpredictable. Though with holdings in a spectrum of different companies, the risk associated with this is reduced (if not totally eliminated).
Another golden opportunity The final option investors have to play the gold market is to directly buy shares themselves. One that’s caught my eye is Serabi Gold (LSE:SRB).
Buying individual mining shares carries even greater risk due to a lack of diversification. But I think this could be baked into the cheapness of Serabi shares today. At 172.5p per share, the African miner trades on a forward price-to-earnings (P/E) ratio of 3.3 times. This reflects forecasts that annual earnings will rise 87% in 2025.
On top of this, Serabi’s forward dividend yield is a large 5.5%.
I think both this gold stock and the earlier gold ETF are worth consideration right now. In the case of Serabi, now could be a great time to take a look given its impressive recent operational performance.
Gold production rose 11% between January and March, to 10,013 ounces. And all-in sustaining costs (AISCs) dropped 12% to $1,636 per ounce, well below the current gold price.
34% cheaper this year, is this FTSE 100 share a classic turnaround story?
This FTSE 100 share has performed horribly so far in 2025. Our writer sees substantial risks — but is excited about the opportunities too!
Posted by Christopher Ruane
Published 19 June
Image source: Getty Images
When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in.
You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services.
It has been an impressive year for some shares in the flagship FTSE 100 index of leading companies. Indeed, the Footsie has hit new all-time highs this year, albeit with a fair bit of market volatility thrown in along the way.
But not all FTSE 100 shares have done well. One, for example, has lost around a third of its value so far this year.
There are potentially existential changes taking place in its industry that could see things get much worse even from here. On the other hand, this might turn out to be one of those turnaround situations that looks obviously like a bargain buying opportunity when seen in hindsight a few years later.
Strong position but suffering from industry uncertainty
The company in question is advertising group WPP (LSE: WPP). The holding company owns a number of leading global ad agencies, such as Ogilvy and Grey.
In general, that has been a license to print money. Performance has moved around over time, but last year the company reported £542m of net profit on revenue of £14.7bn. The company’s profits help to support a juicy dividend. The current yield of 7.2% is over twice the FTSE 100 average.
So why the share price fall? In short: artificial intelligence (AI). Investors are panicking that large amounts of the sorts of ad buying and placement currently done by agencies could be done by AI instead.
That risks cutting agency middlemen out of the transaction, leading to big falls in both revenues and profits. Ad creation could also be done by AI. Much of it already is. That is a further risk to WPP.
I think there’s a lot to like
The challenges are serious. The company announced this month that the chief executive plans to step down.
But often risk and opportunity are two sides of the same coin. I do see AI as a risk to a lot of WPP’s traditional revenue streams. But it can also be a powerful cost-cutting tool for the company to apply in its own business. From its partnership with and investment in generative AI developer Stabiity AI to integrating new AI tools into its internal platform WPP Open, the ad group has been proactively seeking to use AI to help its own business.
I also think that, in a sea of inexperienced AI start-ups that do not understand the ad market, WPP’s long, deep, global experience is a real asset that can help it stand apart. Advertising demand can ebb and flow, but it will remain substantial over the long term.
I see that as an enormous asset for WPP. It remains proven, has a large pool of creative talents and has navigated seismic shifts in the ad market before, such as a widespread move from television to digital ads.
My hope is that WPP can do the same again and ultimately turn AI from a possible risk to a driver for ongoing growth.
In my experience, turning around a business that remains solidly profitable is different to one that is slipping ever further into the red. I have bought WPP shares for my portfolio and plan to hang on to them.
Price 19 June 545p
Current price 439p
That’s why the Snowball will only ever own Investment Trusts and ETF’s
Dr James Fox explains how investors can open a Stocks and Shares ISA and aim for long-term wealth generation. Getting started can be the hardest part.
Posted by
Dr. James Fox Published 9 July
When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in.
You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Not knowing how to start is arguably one of the most common reasons Britons don’t have Stocks and Shares ISAs. It can be daunting, with a range of brokerages offering ISAs with varying trading fees and reported benefits.
And then there’s that first investment. It can be incredibly challenging to know where to put one’s hard-earned cash. Investors who elect to invest in individual companies first may experience more volatility than they were hoping for.
However, starting with a diversified approach — investing in tracker funds or even investment trusts — can mitigate some of that volatility. In turn, this can create a more reliable base from which investors can start to look at individual stocks.
One of the easiest ways to get disheartened and stop investing is to make mistakes and lose money. Some of my first investments, many years ago, were simply companies I liked. These were not the undervalued stocks that have since taken my portfolio forwards.
But once a new investor understands that making poor decisions can result in losing money, and takes steps to preserve capital by making informed decisions, the path to wealth generation becomes simpler.
What are tracker funds? Tracker funds, also known as index funds, are investment vehicles designed to mirror the performance of a specific market index, such as the FTSE 100 or S&P 500. They achieve this by holding a portfolio of securities (stocks, bonds, etc.) that closely matches the composition of the chosen index. This allows investors to gain exposure to a broad range of companies at a relatively low cost.
Tracker funds are passively managed, meaning they do not attempt to outperform the market. Instead they aim to replicate its returns. This typically keeps fees low. Among tracker funds, global trackers stand out because they invest across multiple countries and sectors. This makes them some of the most diversified investments available.
Or something a little more exciting Scottish Mortgage Investment Trust (LSE:SMT) is a well-known, actively managed fund that focuses on finding and supporting some of the world’s most innovative and high-growth companies, both public and private.
Managed by Baillie Gifford, the trust invests in sectors like technology, healthcare, and transportation, with holdings including giants such as Nvidia, Amazon, and SpaceX.
Over the past decade, Scottish Mortgage has significantly outperformed the FTSE All-World benchmark, delivering a net asset value total return of 343% compared to the benchmark’s 186%.
Unlike tracker funds, Scottish Mortgage’s concentrated portfolio and focus on disruptive businesses can make it more exciting for investors. However, this approach also brings higher risk and volatility, and the trust’s share price can trade at a premium or discount to its underlying assets.
I use this investment trusts as a core part of my SIPP, my daughter’s SIPP, and it’s in our ISAs. I certainly believe it’s worth considering.
18 REITs estimated to raise dividends in Q3, RLJ Lodging Trust expected to lead
By: Mary Christine Joy, SA NewsJul. 08, 2025
The Real Estate Select Sector SPDR® Fund ETF (XLRE), RWR, ICF, FRI, SCHH, MORT, SRET, KBWY, USRT, REIT, NURE, BBRE, SPRE, RDOG, HAUSDLR, ALEX, CTO, ADC, O, WELL, FRT, BRT, NNN, EGP, TRNO, RLJ, CHCT, IIPR, VICI, NTST, CBL, STRW A total of 18 publicly traded REITs are expected to hike their dividend payouts in the third quarter, according to a report by S&P Global Market Intelligence.
The forecast takes into account 137 public real estate investment trusts. The remaining are projected to maintain their payouts.
RLJ Lodging Trust (RLJ) is estimated to increase its distribution by about 13.3% to $0.17 per share in August, according to analysts.
The hotel REIT had declared a quarterly dividend of $0.15 per share in June. The estimated dividend hike reportedly makes this the highest potential increase in the third quarter.
The second-highest potential dividend raise could be from Alexander & Baldwin (ALEX), according to Market Intelligence.
The diversified REIT is estimated to hike its quarterly payout by 11.1% to $0.25 per share from $0.225. The announcement could come in late July, according to the report.
Welltower (WELL) follows, with a potential quarterly distribution hike of 9.0% to $0.73 per share from $0.67.
Other notable dividend increases are expected to come from:
EastGroup Properties (EGP) (8.6% quarterly hike to $1.52 per share from $1.40) Terreno Realty (TRNO) (8.2% quarterly hike to $0.53 per share from $0.49) BRT Apartments (BRT) (8.0% quarterly hike to $0.27 per share from $0.25) Strawberry Fields REIT (STRW) (7.1% quarterly hike to $0.15 per share from $0.14) CBL & Associates Properties (CBL) (6.2% quarterly hike to $0.425 per share from $0.40) CTO Realty Growth (CTO) (5.3% quarterly hike to $0.40 per share from $0.38) Digital Realty Trust (DLR) (4.1% quarterly hike to $1.27 per share from $1.22) VICI Properties (VICI) (4.0% quarterly hike to $0.45 per share from $0.4325) Innovative Industrial Properties (IIPR) (2.6% quarterly hike to $1.95 per share from $1.90) NNN REIT (NNN) (2.6% quarterly hike to $0.595 per share from $0.58) NETSTREIT (NTST) (2.4% quarterly hike to $0.215 per share from $0.21) Federal Realty Investment Trust (FRT) (0.9% quarterly hike to $1.11 per share from $1.10) Community Healthcare Trust (CHCT) (0.5% quarterly hike to $0.4725 from $0.47) Agree Realty (ADC) (0.4% monthly hike to $0.257 per share from $0.256) Realty Income (O) (0.2% monthly hike to $0.2695 per share from $0.269)
Top-performing investment trusts: Europe leads the pack in H1
European small caps have been the best-performing investment trust sector so far this year, as investors move money out of the US. Can it continue?
(Image credit: Westend61 via Getty Images)
By Katie Williams
It has been one of those years where decades happen in weeks, to misquote Lenin, and we are only halfway through 2025. From DeepSeek at the start of the year, to trade wars and an escalation in the Middle East more recently, there has been plenty to rattle markets.
Despite this, investment trust performance has been strong. The average trust (excluding venture capital trusts) is up 7% over the past six months in share price terms, according to the Association of Investment Companies (AIC).
European trusts have been a standout performer, with European small caps securing the top spot in the AIC’s performance table, up 24% in the first half of the year. European large caps came in close behind in third place, up 17%.
Get 6 issues for £1 + a free notebook
Stay ahead of the curve with MoneyWeek magazine and enjoy the latest financial news and expert analysis.
“It has been a strong six months for Europe as investors have reallocated away from the US into the European investment trust sectors. Trusts investing in the UK, China and Japan have also been beneficiaries of this tilt away from the US,” said Annabel Brodie-Smith, AIC communications director.
Latest Videos From Moneyweek
The UK commercial property sector has been another strong performer, coming second in the AIC’s rankings in the first half of 2025. It is up 18% so far this year, having rebounded after a period of weak performance. The sector is down 16% on a three-year basis.
“The sector has bounced back this year due to interest rates starting to come down, strong rental growth and an increase in M&A activity,” Brodie-Smith said.
Having struggled against a tough economic backdrop in recent years, including weak consumer sentiment and a property market slump, the Greater China sector has also shown strength in the first half of 2025.
Chinese equity trusts are up 15% over the past six months, but are still down 11% on a three-year basis and 6% over the past five years.
Sector
H1 2025
1 year
3 years
5 years
10 years
European Smaller Companies
24.41%
22.95%
53.44%
80.82%
174.32%
Property – UK Commercial
17.94%
22.29%
-15.73%
21.48%
46.00%
Europe
17.48%
7.11%
52.63%
57.39%
142.01%
China / Greater China
14.60%
25.07%
-10.93%
-6.27%
84.60%
UK All Companies
13.18%
17.24%
54.68%
70.85%
107.07%
Japan
12.28%
14.43%
42.10%
28.77%
124.36%
Private Equity
12.03%
27.30%
168.55%
291.77%
550.53%
UK Equity Income
11.62%
16.25%
36.69%
74.31%
97.21%
Debt – Structured Finance
11.42%
24.05%
54.14%
106.20%
106.42%
Global Emerging Markets
11.42%
15.09%
32.16%
34.20%
109.91%
Average investment trust ex VCTs
7.09%
12.48%
36.42%
64.72%
176.38%
Source: AIC/Morningstar. Share price total return in % to 30/06/25. Excludes VCTs. See AIC sector definitions.
Investors diversify into Europe
Europe has benefitted from inflows this year as investors question whether US exceptionalism can continue. Donald Trump’s erratic policymaking and the threat posed by tariffs (weaker growth and higher inflation) have prompted this reallocation.
Although the S&P 500 has recovered from the heavy losses suffered at the start of April, recently hitting a new high, further volatility could lie ahead.
The president’s “big, beautiful bill” was also signed into law on 4 July, and includes a range of tax cuts and spending rises. There are fears it could cause US debt to balloon by at least $3 trillion, according to figures cited by the BBC. The national debt is already at an eyewatering $37 trillion.
The dollar has weakened and US Treasury yields have risen as a result, as investor confidence in the world’s largest economy starts to ebb.
The latest figures from the Investment Association (IA), published on 3 July, show UK investors pulled £622 million from North American equity funds in May. European equity inflows accelerated over the same period, hitting £435 million.
The IA noted that “new commitments to infrastructure and defence spending” have helped support flows into Europe.
Investment trusts: can Europe’s strong performance continue?
Until recently, European equities had been unloved for some time, meaning the region offered fertile ground for bargain hunters.
After recent share price gains, research company Morningstar only sees “modest upside” for the region going forward. However, moving down the market-cap spectrum could create better opportunities.
While the overall market is currently trading at a 5% discount to fair value, the discount on small caps could be as large as 20%, based on Morningstar’s analysis. This part of the market could have further to run.
“European small caps are trading at a significant discount not only to their larger-cap peers but also to their own long-term history,” said George Cooke, manager of the Montanaro European Smaller Companies Trust.
Historically, the asset class commanded a price-to-earnings premium thanks to its “superior earnings growth”, but this relationship has since reversed.
“Small caps now trade at a double-digit discount, wider than during the depths of the global financial crisis, the Eurozone debt crisis, or even the Covid-19 shock. This dislocation cannot be explained by fundamentals alone,” Cooke said.
Once investors realise the scale of the discount, the market could undergo a re-rating. Lower inflation and falling interest rates could help matters, given small caps are generally more interest-rate sensitive than their large-cap counterparts.
Of course, investing in the region isn’t without risk. If the US and EU fail to achieve a trade deal, European markets are likely to fall as investors price in higher trade barriers and weaker growth. However, some investors believe small and mid caps could be more sheltered from Trump’s tariffs given their domestic focus.
“Their higher exposure to domestic revenues provides a degree of insulation from ongoing global trade tensions, while allowing them to benefit more directly from regional stimulus measures,” said Jules Bloch, co-manager of the JPMorgan European Discovery Trust.
“Falling interest rates, improving real wages, and infrastructure-led fiscal policy – particularly in Germany – create a supportive environment for smaller, locally-focused businesses.”
If you are going to invest, you may need to grasp the nettle and re-invest the dividends back into the Trust when the price has fallen, maybe when it’s near to it’s high, re-invest into a Snowball higher yielder.
A UK share, an investment trusts and an ETF to consider for a £1,185 second income.
By harnessing a range of different dividend stocks, I’m confident this mini portfolio might pay a large long-term second income.
Posted by Royston Wild
Published 7 July
Image source: Getty Images
When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in.
You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services.
Investing in UK dividend shares can never deliver a guaranteed second income. However, holding a portfolio of stocks — whether through direct ownership, or via an investment trust or exchange-traded fund (ETF) — can substantially reduce the risk of dividend disappointment.
A mix of the following London Stock Exchange assets would currently give investors exposure to 169 different dividend-paying companies. And if broker forecasts are accurate, a £15,000 lump sum invested equally across them will provide a £1,185 passive income this year alone.
Here’s why I feel they’re all worthy of consideration.
The dividend share
FTSE 100-listed M&G generates enormous amounts of cash it pays out to investors through a large and growing dividend.
For 2025, its dividend yield is 7.9%, more than double the Footsie average of 3.4%. This is underpinned by the company’s robust balance sheet — its 223% Solvency II capital ratio as of December gives the company ample scope to absorb shocks while still paying a market-beating dividend.
Reflecting this, M&G formally implemented a progressive dividend policy earlier this year. Over time, I’m optimistic this will create great returns as demand grows in the retirement and asset management sectors.
Be mindful, however, that the business will have to paddle hard given high levels of market competition.
The dividend trust
With a focus on fast-growing markets, the JPMorgan Asia Growth & Income (LSE:JAGI) aims to provide better-than-normal returns. Today its forward dividend yield is 5.5%.
On the one hand, investing in emerging markets can sometimes be a wild ride. Political and economic turbulence can be common, impacting regional profitability. But then the long-term rewards can also be considerable thanks to breakneck population growth and increasing disposable incomes.
In total, this trust holds shares in 68 companies including Taiwan Semiconductor Manufacturing Company, Alibaba, HDFC Bank and Samsung. And it’s focused on Asia Pacific’s regional heavyweights China, India, Taiwan and South Korea.
As for dividends, the trust’s board voted in March to raise its enhanced dividend to between 1% and 1.5% of net asset value (NAV) per quarter. This could significantly boost the amount of long-term dividend income it provides.
The dividend ETF
The Global X SuperDividend ETF (LSE:SDIP) does exactly what it says on the tin. What makes it so good is its focus on businesses with turbocharged dividend yields — more specifically, it “invests in 100 of the highest dividend yielding equity securities in the world.”
Another benefit is that it pays dividends out monthly, allowing investors the chance to reinvest their cash earlier for improved compound returns.
I like the fund because it’s well diversified by geography and sector. The US is currently its largest single region, though this still accounts for less than 25% of its portfolio. And in terms of industry, well represented areas include financial services, energy, real estate and basic materials.
This GlobalX fund has greater exposure to cyclical sectors than some other ETFs, however. This could cause it to underperform its peers during economic downturns.
But I believe the positives of holding it still make it worth considering. The dividend yield here is an enormous 10.2%.
