Which is why J.P. Morgan Asset Management offers a range of income-generating solutions, helping you build a stronger, more diversified portfolio that matches your tastes.
Income investing can be a critical tool to help investors meet different goals at different stages of their lives. Today, income investing is vital amid ageing populations, an ongoing search for yield and ever-changing market conditions.
Whether you’re retired and want to generate income, an investor who wants to manage the impact of market volatility, or simply looking for an attractive alternative to low returns on cash savings and government bonds, income investing can be for you^.
^ Investors should seek professional advice regarding the suitability of any investment products.
1 United Nations, World Population Ageing (2015) - elderly defined as 60 years and over.
Income sources can be found across emerging and developed markets. Income also comes in different forms, such as stock dividends and bond coupons. These can be captured on their own or through a multi-asset approach, which can combine different income streams within a flexible and diversified portfolio.
Investors need to consider both risks and returns when selecting their investment strategy. In general, equity investments are considered to have higher risk with greater potential for capital gains than bonds. The risk/return profile will also vary according to the asset type, with emerging market equities and high yield bonds generally considered to have a higher risk/return profile than developed market equities and investment grade credits.
A multi-asset portfolio usually sits in the middle of the spectrum, blending a diverse mix of asset classes in order to generate attractive returns along with acceptable levels of risk. Choosing one’s investment strategy is a bit like climbing a mountain or surfing - the route one takes will depend on the risks one is prepared to take and the prevailing weather conditions.
Fixed income strategies are a traditional method of providing regular income from coupon payments on bonds.
Multi-asset strategies look to generate income from a diversified mix of asset classes.
Equity income strategies target income from companies that pay sustainable and regular dividends.
Please contact your bank or financial adviser to learn more about our range of funds.