How can equities help you navigate the income maze?

In a low-rate world, generating income is more difficult than ever. With bond markets changing daily and cash rates close to zero, cash and fixed income can no longer do the heavy lifting for income-focused investors.

Against this backdrop,how can investors use equities to generate income and reduce volatility?

First Sentier Investors Equity Income Fund


Aim

To provide sustainable income over the long term by focusing on total income, not simply dividend yields.

Strategy

We use fundamental research to identify stocks that have the potential to generate long-term earnings, while minimising volatility. Additionally, an overlay of equity options aims to deliver higher income from a portfolio of our best investment ideas.

Look beyond dividend yields for better income
and total return

We believe equity income investors deserve access to some of the best investment ideas the Australian share market has to offer. We invest across the top 150 stocks on the ASX to bring our best ideas to our portfolio.
 

Who is First Sentier Investors?

First Sentier Investors is a global fund manager with over $247billion* invested across equities, fixed income, multi-asset strategies and infrastructure. It is home of investments teams FSSA Investment Managers, Stewart Investors, and Realindex Investors.




This report has been prepared by and is issued by First Sentier Investors (Australia) IM Ltd (FSI AIM) (ABN 89 114 194 311, AFSL 289017) which forms part of First Sentier Investors, a global asset management business. First Sentier Investors is ultimately owned by Mitsubishi UFJ Financial Group, Inc (MUFG), a global financial group.

It is directed at persons who are professional, sophisticated or wholesale clients and has not been prepared for and is not intended for persons who are retail clients and must not be reproduced or transmitted in any form without the prior written consent of FSI AIM. A copy of the Financial Services Guide for FSI AIM is available from First Sentier Investors on its website. This material contains general information only. It is not intended to provide you with financial product advice and does not take into account your objectives, financial situation or needs. Before making an investment decision, you should consider whether this information is appropriate in light of your investment needs, objectives and financial situation. Total returns shown for any Fund or Portfolio have been calculated using exit prices after taking into account all ongoing fees and assuming reinvestment of distributions. Past performance is no indication of future performance.

Any opinions expressed in this material are the opinions of the individual author at the time of publication only and are subject to change without notice. Such opinions: (i) are not a recommendation to hold, purchase or sell a particular financial product; (ii) may not include all of the information needed to make an investment decision in relation to such a financial product; and (iii) may substantially differ from other individual authors within First Sentier Investors.

The product disclosure statement (PDS) or Information Memorandum (IM) for the First Sentier Wholesale Equity Income Fund ARSN 129 259 552, the First Sentier Wholesale Target Return Income Fund ARSN 112 736 491 and the First Sentier Equity Income Fund ARSN 168 563 808 (together, the Funds) issued by Colonial First State Investments Limited (ABN 98 002 348 352, AFSL 232468) (CFSIL) or The Trust Company (RE Services) Limited (ABN 45 003 278 831, AFSL 235150) (Perpetual) (as applicable), should be considered before making an investment decision. The PDS or IM are available from First Sentier Investors on its website. The target market determination (TMD) for the Fund is available from First Sentier Investors on its website and should be considered by prospective investors before any investment decision to ensure that investors form part of the target market.

MUFG, FSI AIM, Perpetual, CFSIL and their respective affiliates do not guarantee the performance of the Fund or the repayment of capital by the Funds. Investments in the Funds are not deposits or other liabilities of MUFG, FSI AIM, Perpetual, CFSIL or their respective affiliates, and investment-type products are subject to investment risk including loss of income and capital invested.

To the extent permitted by law, no liability is accepted by MUFG, FSI AIM, Perpetual or CFSIL or their respective affiliates for any loss or damage as a result of any reliance on this information. This information is, or is based upon, information that we believe to be accurate and reliable, however neither MUFG, FSI AIM, Perpetual, CFSIL nor any of their respective affiliates offer any warranty that it contains no factual errors. Any opinions expressed in this material are the opinions of FSI AIM at the time of publication only. Such opinions are subject to change without notice.

Copyright First Sentier Investors (Australia) Services Pty Limited 2021

All rights reserved.






This email was sent to newsletter@newslettercollector.com
why did I get this?    unsubscribe from this list    update subscription preferences
Money Management · Level 10, 4 Martin Place · Sydney, NSW 2000 · Australia