Clive Nicholson, chairman of City Merchants High Yield, says it continued to perform well in 2016 despite persistent volatility in bond markets and the increasing difficulty of sourcing quality high yield paper. For the year ended 31 December 2016, the NAV total return was +11.8% which compares very favourably with +7.1% for the Investment Association Sterling Strategic Bond sector. The Company’s share price total return for the year was +11.6%. They were able to meet their dividend target of 10p in respect of the financial year, matching last year’s total, and aim to achieve this again in the coming year.
CMHY : City Merchants High Yield beats IA sector by 4.7%