Five income themes for 2022

Bond opportunities

clock • 5 min read

It has been a challenging few years for income seeking investors. The relentless fall in bond yields has meant that this source of income has been under constant pressure.

The 2020 lockdown of the global economy led to many reliable equity dividends being cancelled or cut. At the same time, the best equity returns have been from areas of the market which do not typically pay much income. Looking forward to 2022, investors will face some of the same challenges but also some new ones. Rising rates and inflation may lead bond markets to fall The past couple of decades have been characterised by a trend of falling inflation and falling yields. This has been a double-edged sword for income investors. On the one hand, falling yields meant it was safe to own r...

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