The traditional "Sell in May and go away, don't come back until St Leger Day" adage actually "makes no sense for investors" as soon as the inclusion of dividends is considered, according to Willis Owen.
The DIY investment provider carried out analysis that indicated, where investors stayed invested, they benefitted from the dividend payouts, which had enhanced returns by approximately 40% over the last 33 summers. "The inclusion of dividends in the equation blows the 'Sell in May' adage out of the water," said Adrian Lowcock, head of personal investments at Willis Owen. "They transform what might appear at first sight to be a negative performance into a positive one." The old adage suggests it is better to sell UK equities at the beginning of May, only to re-invest on St Leger race d...
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