BlackRock has launched an emerging markets equity income fund, which focuses on companies that are paying above average dividends.
Investors have traditionally turned to emerging markets for growth but more recently asset managers have launched funds targeting dividend paying companies.
The BlackRock Global Funds Emerging Markets Equity Income fund sits within the group’s Luxembourg-domiciled Sicav range. Dhiren Shah, the co-head of the global emerging markets team, seeks to generate a minimum yield 30% above the benchmark index yield.
Shah says a portfolio of income stocks with dividend yields of 2% or more would have outperformed the wider emerging market equity indices in nine of the last ten years.
©2011 funds europe