Your needs

How can I generate income in a low yield environment?

In recent years, many investors have targeted regular income and low risk by investing in qualitative bonds, such as government bonds and investment grade corporate bonds. With interest rates at rock-bottom levels, investors are having a hard time realizing those investment goals. However, the need for a regular income hasn’t changed.

You could benefit from the diversification within fixed income: income as a part of a total return

As always, you should make sure your investment portfolio is well diversified. A bond portfolio concentrated on a specific bond segment - such as European government bonds - does not only lead to a specific market risk, but probably won’t deliver the much-needed income in the current market environment.

If you want to see your wealth grow, you need to diversify your fixed income portfolio, adjusting it to reflect the market and interest-rate outlook. A strongly diversified portfolio can potentially deliver better results with the right balance between market risks and opportunities.

That balance can, for instance, be found in total return strategies that combine price-appreciation and income. Without price-appreciation, your potential wealth growth might not be satisfactory.

Benefit from different asset classes with a  flexible approach:

You should consider investing in a flexible strategy  that also targets opportunities across asset classes other than bonds.

In order to achieve higher long-term income, a stronger portfolio diversification and dynamic investment approach is needed. Financial markets offer a wide range of asset classes that offer higher or lower returns, depending on the market circumstances.

Flexible target return solutions continuously adapt their asset allocation to generate a regular income, taking into account your personal risk profile.