Investing for income
We initially designed the MyFolio funds to provide investors with a level of growth commensurate with their chosen level of risk. However, we also recognise that some investors may be seeking more income from their portfolio, particularly in a low growth, low interest rate environment.
Therefore, we created an additional 10 income-focused funds for clients to choose from – five in the MyFolio Managed range and five in the MyFolio Multi-Manager range. Like their growth-focused counterparts, the Multi-Manager Income funds are selected from funds across the whole of the market, while the Managed Income funds invest mainly in funds from Standard Life Investments.
We structured the MyFolio income ranges to deliver a higher level of income by adopting a slightly different asset allocation stance to that of the growth funds and by investing in underlying funds that have a bias towards generating income. For example, we include emerging market debt within the portfolios.
The income ranges complement the other MyFolio funds and, in conjunction, offer the ability to progress from growth to income over an investor’s lifetime.