Fidelity Global Dividend Fund

In these times of low economic growth, accessing a stable return and a growing income stream is an attractive option. With cash returns at near zero and many government bond yields at long term lows, many investors are now looking beyond traditional sources of income. One such alternative is equity income. Equity yields not only look attractive relative to bonds and cash, but dividends afford an element of protection against equity market volatility and against inflation.

The fund may be suitable for clients looking for …

  • Looking for a less volatile growth strategy over the longer term, when income is reinvested
  • Who want to diversify their equity income exposure beyond a single regional fund
  • Looking for an attractive income-paying alternative to the low rates currently on offer on cash accounts
  • Seeking an income stream which should grow ahead of the rate of inflation – a ‘real’ income

Key materials

    The Fidelity Global Dividend Fund seeks to provide a combination of capital growth and an attractive income. Dan Roberts, portfolio manager, does not target stocks just because they have a high yield if this means an increase in capital risk. He manages the yield at a portfolio level and aims to strike a balance between stocks with a high yield today and those which have a lower yield now but the potential for substantial future dividend growth.

    Dan RobertsDaniel Roberts

    Daniel Roberts has more than ten years of investment experience and joined Fidelity in November 2011.

    Prior to joining Fidelity, Daniel was a portfolio manager at Gartmore, where he managed their UK Equity Income Fund until the company was acquired and restructured by Henderson. Before that, he spent six years managing UK equity income portfolios at Aviva Investors, including the Aviva Investors UK Equity Income Fund.

    Daniel holds a BSc (Hons) in Mathematics from Warwick University. He is also a qualified Chartered Accountant and member of the Institute of Chartered Accountants. Daniel is a CFA charterholder and an Associate of the UK Society of Investment Professionals.

    * The estimated yield is based on an indicative fund portfolio. The actual portfolio at launch may be different, reflecting market movements. The estimated yield reflects an independent assessment of the dividends due to the indicative portfolio over the next 12 months, net of withholding tax and charges taken from income. As a result of the annual management charge being taken from capital, the distributable income may be higher but the fund’s capital value may be eroded, which will affect future performance. The yield is not guaranteed and will fluctuate in line with the yield available from the market. The fund should only be considered as a long term investment.

    The value of investments can go down as well as up and investors may get back less than invested.