'Why I'm buying Royal Mail shares'

With the cash generated from these sales Mr Brooke has bought Royal Mail, whose shares have fallen by 28pc so far this year. In January they peaked at 615p, but now trade at just over 400p.

“When the shares fell to £4 we felt it was time to start building a holding,” said Mr Brooke. “The yield is attractive at just short of 5pc. It is a business that will provide a good return on a long-term basis.”

He has also been buying Land Securities, the commercial property firm, and Lancashire, the insurer.

The fund tends to avoid companies whose fortunes are sensitive to the state of the economy, such as housebuilders and miners. “These companies have more patchy dividend records,” said Mr Brooke. “Instead I buy shares that are consistent dividend payers.”

Because of this stance Mr Brooke said he was not tempted to buy bombed-out shares such as Tesco.

“We did hold Tesco and sold back in 2011, but not before the first profit warning I am afraid to say. We examined the businesses and felt the UK profitability was too high and the margins were going to be vulnerable, so we sold the shares,” he said.

Mr Brooke said he would sooner stick to reliable dividend payers, such as Unilever, the consumer goods giant.

Expert views: Should you buy Troy Trojan Income and what are the alternatives?

Investment experts described Troy Trojan Income as a “buy and hold” fund.

Russ Mould, research director at AJ Bell, the fund shop, described it as a “solid option” for investors who wish to accumulate income patiently.

“Mr Brooke has a good record, outperforming his peers in seven of the past 10 years,” Mr Mould said.

“The 4pc yield will satisfy most income hunters in the current environment of low interest rates and bond yields.”

Ben Yearsley of Charles Stanley Direct, another fund shop, said Mr Brooke’s record over the past decade spoke for itself.

“The fund’s key objective of preserving capital and avoiding permanent capital loss for investors has been met extremely successfully,” Mr Yearsley said.

He said other funds with a similar philosophy included Invesco Perpetual UK Strategic Income and the Ardevora UK Income fund.

“Mark Barnett, who manages the Invesco fund, is prepared to back his judgment and deviate from the index,” Mr Yearsley said. “The Ardevora UK Income fund, run by Jeremy Lang, focuses on avoiding a permanent loss of capital but still brings home the returns.”

Mr Mould’s recommendations for alternative funds included the Royal London UK Equity Income fund and Aberdeen Smaller Companies High Income, an investment trust.

Both are “consistent performers”, he said.

- kyle.caldwell@telegraph.co.uk

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