UK income

The trend of slowing dividends from the blue chip income stalwarts is well underway, and Tesco is next in line. The business faces 'significant' cuts to its margins and the dividend may be slashed too, predicts EEA FM's David Urch.

Dividend growth has slowed in recent months, dragged down by FTSE heavyweights. But do not be fooled: some FTSE players are preparing for dividend increases, explains OMGI's Stephen Message.

Following a bumper season for special dividends, capex growth has picked up substantially. The era of special dividends could be drawing to a close, explains AXA IM's Jamie Forbes-Wilson.

Since the financial crisis in 2008, the FTSE All-Share has been on a steady upward trajectory.

There are three main actors driving the irrational behaviour we so often see in equity markets; company management, analysts and investors. Each group can fall into bias, but the circumstances and the types of biases are different.

Many managers are expecting a correction in the UK market. But with prices at current levels, market rotations could continue without much change in the overall level of the All-Share, argues Premier Asset Management's Chris White.

Following last year's spectacular market rally, market cap diversity and non-cyclical businesses will be key to achieving growth, explains James Henderson, manager of the Henderson UK Equity Income and Growth fund.

Ciaran Mallon on UK Income

ON UK INCOME

The consumer staples sector has long provided a solid building block for many income portfolios, but F&C's Phil Doel says there are better options in unloved financials now.