Diploma for Financial Advisers
Diploma in Accounting
Member of London Institute of Banking and Finance

---

Yes, when you invest in an FTSE 100 fund, you typically receive dividends. These funds are composed of the largest 100 companies listed on the London Stock Exchange, many of which are known for paying regular dividends.

Here’s how it generally works:

Accumulation vs. Income Shares: FTSE 100 funds often offer two types of shares: accumulation and income. If you choose accumulation shares, the dividends are reinvested back into the fund, helping your investment grow over time. If you choose income shares, dividends are paid out to you regularly, usually quarterly or semi-annually, as cash payments.

Dividend Yield: The FTSE 100‘s dividend yield (the percentage of the fund’s price paid as dividends) changes depending on the performance of the companies within the index. As of recent years, this yield has been between 3−4%, although it varies with economic conditions.

Platform & Fund Choice: Not all FTSE 100 funds are identical, so confirm with your chosen platform or fund provider how dividends are handled specifically for that fund.

---