As income-producing stocks struggle to make total returns, Steven Andrew uses his fund's ability to invest in bonds to outperform his peers.
While the hunt for income remains at the forefront of investors’ minds, many of the UK’s largest and most popular income funds have come under intense scrutiny for their concentration risk. In the aftermath of the BP oil disaster, which wiped out one of the UK’s most relied upon income producers, investors are now looking further afield for dividends, investing in funds with global mandates which need not take extreme stock specific risk to hit yield targets. As well as global mandates, investors are focusing on a wider variety of assets to generate income, with inflows into M&G Inves...
To continue reading this article...
Join Investment Week for free
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes