Our Capabilities

Income Investing

On this page

Income Investing approach
Income Insights

The benefits of Income Investing

To meet the different financial goals of a growing number of investors, investing for income has never been more important. In a world of shifting market dynamics and low interest rates, attractive sustainable income is also getting harder to find.

Income has always been recognised as a critical component of most investment portfolios. In addition to generating consistent income streams, the right mix of income strategies can provide investors with the potential for sustainable long-term growth.

By drawing on a diverse range of income sources, from equities and bonds to alternative investments such as real estate and infrastructure, asset managers can enhance portfolio diversification across asset classes and geographies, lowering overall volatility and providing smoother returns for investors. 

Reasons to invest in income-generating strategies

  1. Income payouts
    Potential to generate dependable cash payouts while enhancing total return over time
  2. Capital growth potential
    The right blend of income-generating assets provide ample opportunities for long-term growth
  3. Diversification benefits
    Uncorrelated sources of return can deliver important diversification benefits

Why Columbia Threadneedle Investments for Income Investing?

Columbia Threadneedle Investments is a global asset manager with a strong heritage in income investing across both traditional and alternative asset classes. Our specialist teams use tried and tested investment approaches to deliver atrractive, sustainable returns for clients.
Why CTI for income segments
More information  

PDF

Read our income brochure

Our Income Strategies

Charts

Threadneedle Equity Income Strategies

Equities continue to be a popular choice for investors. The broad range of businesses on offer and the familiarity of many of the companies make this market an attractive option for novices and highly sophisticated investors alike. However, in times of crisis, one key area of investor concern is on the ability of companies to pay a dividend.

 

As equity income investors, we prefer companies that can deliver stable and growing dividends over the medium to long term, and that can do so without compromising their balance sheet, the growth potential of the business or indeed their broader social impact. We believe that this approach will be able to deliver strong risk-adjusted returns for our clients across our wide range of global, regional and single country equity income strategies.

Fixed Income

Threadneedle Fixed Income Strategies

Across the range of fixed income markets can be found a wide array of risk and return characteristics, from traditional asset classes of investment grade and high yield credit, through to more specialist areas that include emerging markets, securitised debt and social bonds.

 

The attraction of each area can change as economic and credit cycles progress. Our portfolio managers therefore pursue a flexible and dynamic allocation approach to enable them to seize investment opportunities as they arise, while minimising downside risks. Our proprietary risk rating system enables analysts to efficiently communicate an issuer’s risk profile and supports rigorous relative value debates that help portfolio managers to determine their final portfolio positions.

Threadneedle Multi-Asset Income Strategies

Investment returns from individual asset classes can vary significantly over time, with each asset class offering a different risk and return profile depending on the economic environment. By actively allocating across a mix of assets, the strategies managed by our multi-asset experts provide a ‘one stop shop’ investment solution for investors that can deliver attractive levels of income with less volatility than equities.

 

At a time where yields across many asset classes are low, our multi-asset income strategies can provide a well-diversified, cost-effective solution for investors seeking a good level of income while keeping volatility in check, irrespective of market conditions.

Bird feeders on the tree

Threadneedle Real Estate Strategies​

UK real estate remains a compelling asset class for many investors, with its asset-backed rental income currently providing an attractive annual yield of c5%.1 Returns from the asset class are traditionally dominated by income, which in a ‘lower-for-longer’ interest rate environment presents an appealing investment proposition.

 

Our approach has been built on buying assets that offer high, sustainable income yields, and actively managing those properties to maintain and grow rental income. Our UK Real Estate team is active in all market conditions across the full risk/return spectrum. This gives us visibility on the whole market, with a network of advisers covering all disciplines and locations providing a unique insight into occupational demand patterns, enabling us to track rental trends and identify value.

4 May 2021

CIO market outlook

CIO William Davies gives his current thoughts on the shape of the recovery, what impact different levels of stimulus and the speed of vaccination campaigns may have in Europe and the US, and which structural trends have been accelerated by the pandemic.
Watch time - 4 min
15 April 2021

Adrian Hilton

Head of Global Rates and Emerging Market Debt

Edward Al-Hussainy

Senior Interest Rate and Currency Analyst

The spectre of rising inflation

With the help of Edward Al-Hussainy, Senior Interest Rate and Currency Analyst, and Adrian Hilton, Head of Global Rates and Emerging Market Debt, the Eye of the Needle team tackles the hot topic of potentially rising inflation, why it might happen, what it would mean for consumers, companies and investors, and how central banks might go about tackling it.
Read time - 2 min
12 April 2021

Fixed Income Desk

In Credit - Weekly Snapshot

In Credit Weekly Snapshot - April 2021

Our fixed income team provide their weekly snapshot of market events.
Read time - 3 min
12 April 2021

Guillaume Langellier

Credit Research Analyst

Office-working: long-term symptoms or full recovery?

With the advent of the Covid-19 pandemic, millions of office workers worldwide were forced to work from home (WFH) for the majority of 2020.
Read time - 5 min
9 April 2021

Square Mile Talking Factsheets: Threadneedle UK Social Bond Fund

Square Mile provides a snapshot overview of the Threadneedle UK Social Bond Fund.
Watch time - 4 min
31 March 2021

David Dudding

Portfolio Manager, Global Equities

Fund manager interview: maintaining a global focus

With economies looking towards a post-Covid world and concerns around inflation growing, we talk to the manager of the Global Focus strategy about what 2021 might have in store
Read time - 5 min

You may also like

About us

Millions of people around the world rely on Columbia Threadneedle Investments to manage their money. We look after investments for individual investors, financial advisers and wealth managers, as well as insurance firms, pension funds and other institutions.

Our funds

Columbia Threadneedle Investments has a comprehensive range of investment funds catering for a broad range of objectives.

Our capabilities

We offer a broad range of actively managed investment strategies and solutions covering global, regional and domestic markets and asset classes.