The IA Global Equity Income sector attracted net inflows of almost £2.8bn in 2022 and UK investors would appear to feel similarly positive on the fund grouping this year, with sales there totalling nearly £500m over the first four months of 2023.
If we compare investor behaviour to this time last year, however, when – perhaps influenced by surging inflation and rising interest rates – global equity income was strongly preferred over the more growth-oriented IA Global sector – fund flows are a lot more balanced today. When it comes to picking global funds, then, is it a question of one versus the other – that is, heading once again down the old ‘growth versus value’ path – or is there a case for mixing the two?
See also: Square Mile: Global equity income funds to watch
In this month’s head to head, James Sullivan, head of partnerships at Tyndall Investment Management, discusses the role global equity income funds can play in delivering consistent total returns, while Neil Denman, portfolio manager on the Sarasin Global Dividend Fund, argues there is more to the sector than consumer staples, commodities and utilities stocks.
Read James and Neil’s comments in Portfolio Adviser’s July/August 2023 magazine
