We believe the appeal of stable income is growing in a world of macro uncertainty, policy unpredictability and rapid artificial intelligence (AI) developments.
1. Resilience and Diversification Through Steady Income Streams
In uncertain times, we believe building resilience and return consistency into portfolios is crucial. Steady income streams from public stock and bond markets provide a powerful form of diversification.
2. Corporate and Securitized Credit Have Income Appeal
Corporate and securitized credit offer attractive income potential, supported by robust credit fundamentals. In our view, active security selection will be key in generating steady income in an uncertain year.
3. Income-Focused Stocks and Equity Buy-Write Strategies
Companies consistently growing their dividends and buying back shares may enhance shareholder returns. Equity buy-write strategies may also complement traditional equity income generation methods.
