Income outlook: Home or abroad?

EQUITY INCOME

Katie Holliday talks to fund and wealth managers about their outlook for income in 2012 and analyses the implications of looking outside of the UK.

It has been a tough few years for income investors. In a world of low interest rates, lacklustre GDP growth and high equity market volatility, sources of yield have become increasingly difficult to find. For many years the most popular source has been UK equity income funds, alongside government bonds and commercial property. But as returns fail to set the world on fire, some investors are now looking to other regions and alternative strategies in their quest for yield.  Numerous new funds have emerged in response to this trend, offering exposure to emerging markets, Asia and the US, ...