Hargreaves Lansdown is to launch an income fund to add to its multi-manager range of funds which will be co-managed by Lee Gardhouse and Ellen Powley.
The HL Multi-Manager High Income fund, which is due to launch on April 13, aims to achieve a yield of 4.5 per cent.
According to Hargreaves, the managers will seek to deliver a sustainable, high income, delivered monthly.
At launch the fund will have approximately 60 per cent invested in shares and 40 per cent in corporate bonds.
Hargreaves Lansdown said: “It offers the benefits of income and capital growth from a selection of the best equity income funds available, plus the long-term income and lower volatility from a selection of our favourite bond fund managers.”
The fund will sit in the Investment Association Flexible Investment sector and will have an ongoing charge of 1.33 per cent.
It added: “By blending different types of funds, constantly reviewing the portfolio, and moving between different areas of the market when more attractive opportunities emerge, we aim to deliver an impressive high income, which has the potential to grow over the long-term. Although the value of investments can rise and fall, so you could get back less than you invest.”
