Five of the Best: Alternative sources of income

The search for income has become increasingly difficult in a world of slashed dividends and low interest rates. However, Gary Potter, co-manager of the Thames River multi-manager range, has been looking for alternative sources of income less correlated to market movements.

"In the current climate when the yields in equities and bonds are becoming increasingly correlated, we need to be prepared to look outside the box for inflation beating dividends," he said. "We have found a number of income generating sources which diversify the £313m Thames River Distribution fund away from the stock market. "The yield we are generating on this fund has been historically consistent and we are on track to yield at least the same as last year if not more. The estimated yield of the fund based on the underlying holdings is 5.5%." Here are a number of alternative, le...