Equity income was once a popular and well-established investment strategy, offering investors a chance to capture the power of compounded dividend appreciation over the long-term. In recent years, however, it has been somewhat overshadowed by the outperformance of growth stocks largely led by US technology stocks. Capital gains took a precedence during the post-Global Financial Crisis era of ultra-low interest rates and quantitative easing measures implemented by central banks. Now we find ourselves in a very different environment, we believe the forgotten art of dividend investing could be making a comeback.

The Global Financial Crisis (GFC) of 2008/9 has had a profound impact on many areas of the investment landscape, not least income investing. When central banks ushered in an era of ultra-low interest rates and quantitative easing, investors seeking yield were forced to look beyond the traditional areas of bonds and cash savings accounts.

This gave rise to the saying ‘There is No Alternative’ – or TINA – the notion that with rates at rock bottom, investors who wanted to achieve a decent return were obliged to invest in stocks.

You can now read the full whitepaper at the link below