In a recent article by John Hancock Investment Management on jhinvestments.com, the focus is on managing market risks for income investors. The article emphasizes the importance of a multi-asset income approach to mitigate these risks. It highlights the benefits of diversification and the use of different asset classes to generate income. The author also mentions the role of active management in navigating market volatility. The article provides strategies for income investors to manage market risks and achieve their investment goals.
The article complements the previous pieces by Juliet Schooling Latter on yourmoney.com and David Thorpe in FT Adviser, which discussed the construction of a diversified income portfolio. Schooling Latter's article focused on building an income portfolio with an ISA, suggesting options beyond bonds such as equity income funds, government bonds, UK small-caps, Asian funds, and alternative income investment trusts. Thorpe's article highlighted the steep rise in yields offered on gilts and US Treasuries and emphasized the importance of an active and flexible strategy in generating strong risk-adjusted returns with a steady income stream. Both articles emphasized the importance of diversification and active management.
By considering the information from all three articles, income investors can gain a comprehensive understanding of how to manage market risks and construct a diversified income portfolio. The articles highlight the benefits of a multi-asset income approach, diversification across different asset classes, and active management in achieving strong risk-adjusted returns with a steady income stream.