Re-energising your income portfolio

BlackRock's Richard Davis talks to Joanna Faith about the motivation behind the recent launch of his World Resources Income fund and his outlook for the commodities sector following the recent sell-off.

What was the motivation behind launching the strategy? The main incentive was the demand for income. With interest rates so low and as you do not earn much on a bank account these days, people are looking elsewhere to generate an income. Why world resources for income? Commodity prices are at decent levels and companies in the space are earning a lot of money. One trend we have seen recently is that more of this money is being retuned to shareholders in the form of a dividend. Does the nature of the fund make it a high-risk play? This fund invests in energy, mining and agriculture...