Axa IM equity fund targets big dividends

walletAxa Investment Management is launching a global equity fund that will target companies with strong dividend yields and growth prospects.

The Axa WF Framlington Global High Income Fund will aim to earn between 1.5 and 2.5 times the dividend yield of the MSCI AC World index. Fund manager Anu Narula has the option to boost yield with an option overlay strategy.

The Ucits-compliant fund is only registered for sale in Luxembourg, where it is domiciled, but Axa is considering registration in other European countries.

“Ideal candidates for the fund are strong companies with a growing, free cash flow with dividend yield from global industries or sub-sectors where there are bottlenecks with a supply and demand mismatch, creating strong growth opportunities,” said Narula.

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