Man GLG has moved Henry Dixon’s £250m UK Income fund from biannual to more frequent dividend payouts.
From the end of October, Man GLG UK Income will pay holders income earned on a monthly basis.
The change to its distribution policy will see investors receive their first fixed monthly payment this month, with any excess capital distributed at the end of each accounting year.
The group said the move comes in response to investor demand for regular access to investment income.
The fund is an actively managed long-only strategy which uses the value-focused investment process also used on the £775m Man GLG Undervalued Assets fund.
Mr Dixon’s fund aims to achieve an income above that of the FTSE All-Share, with capital appreciation. The fund’s trailing yield is 4.6 per cent.
Richard Phillips, the group’s managing director of UK retail, said: “Investors have been seeking more regular income from their investments following the introduction of the pension freedoms and we have decided to convert the fund to monthly distribution in order to meet mounting client demand.”