Why we've added Europe to our investment universe

ON UK INCOME

Liontrust's James Inglis-Jones explains why he has broadened his universe to find robust companies.

Global stock markets may have suffered a turbulent couple of months, but we believe they are still not cheap in general. This is because we focus on book value and normalised earnings rather than current price/earnings to measure value. Given this, there are benefits in putting money into equity income funds where they offer a generous yield, and thus a relatively attractive total return. The key is to provide investors with an attractive income relative to other investments and an attractive capital return. We aim to achieve this balance by identifying and investing in companies that...