Equity Income in Retirement
Stable and rising absolute returns with regular income
An absolute return income equity fund combines protection, returns and regular income through all stages of the investment cycle. These funds hold a diversified portfolio of higher yielding stocks with lowest cost protection at the stock specific level always in place with upside. Regular equity income is delivered by passing through dividends. Advances in investment risk management enable cost effective protection to always be in place for a ‘hard’ defined risk parameter (say no more than 2% capital at risk). Returns are designed to increase as volatility levels increase, as this provides more opportunities to lower protection costs.