Investec view: The management team led by Charles Luke has a clear and distinct investment philosophy with a focus on identifying high quality companies which are capable of strong and predictable cash generation, sustainably high returns on capital and with attractive growth opportunities. These companies typically display sound business models, robust balance sheets, good management and strong environmental, social and governance characteristics. Murray Income has increased its dividend for 48 consecutive years and dividend growth remains an integral focus of the Board and Manager. The company has significant revenue reserves to help support the dividend, although we note that the Chairman remarked that the Board hopes to again be in the fortunate position of having to decide how much of this year’s income to pay out as a higher dividend and how much to put into revenue reserves. Current revenue reserves amount to 12.9p/share or c.37% of last year’s dividend. The portfolio has performed resiliently against a challenging backdrop. Link reported that calendar year 2020 dividends for the UK market fell 44% compared to 2019 levels, while 2021 dividends (on an underlying basis) were up 22% on 2020. However given the manager’s focus on good quality companies, capable of strong and predictable cash generation, the portfolio’s experience was considerably different. Portfolio income fell 13% in 2020, followed by a recovery of 11% in 2021. The manager expects portfolio income to reach new highs in 2022, and, whilst perhaps not repeatable, this places the company ahead of its original forecasts. Murray Income provides investors with exposure to a portfolio of high quality companies with attractive growth prospects and appealing dividend characteristics via a proven investment process. Whilst there are a number of significant challenges on the horizon, not least inflation, monetary tightening and war in Ukraine, we believe the company remains well-placed to deliver attractive returns and a progressive dividend. We reiterate our Buy recommendation. Impressive long-term performance record: The NAV and shareholder total returns for the six month period were 7.2% and 7.5% respectively, ahead of the benchmark return of 6.5%. Over the longer term, the returns are impressive; over five years the NAV and shareholder total returns are 47.3% and 56.8%, significantly ahead of the FTSE All Share which has returned 30.2%. Continued overleaf