- In the current situation of uncertainty, taking a slightly more defensive stance with high dividend generating equities, along with higher yielding fixed income, is a good compromise.
- Instead of merely trying to participate in the reflation trade or value theme investing in the short run, income investing will likely be a less risky approach to navigate this current environment.
Investors continue to face uncertainty and volatility on multiple fronts.
Shifting to an income focused theme offers a more defensive stance that might suit investors more than merely trying to participate in the reflation trade or value theme investing in the short run.
High dividend equities offer both dividends and growth potential, with dividend opportunities existing across sectors, giving exposure to multiple themes.
Combined with higher yielding fixed income they offer diversified returns from a range of assets that will help add to returns or provide a steady source of cash.