Home ETFdb.com Income Outperforming Broad Equities as Rates Rise

Income Outperforming Broad Equities as Rates Rise

With both bonds and equities off to a dismal start to the year and a growing chorus discussing the potential for a recession, income investors may be taking a closer look at their portfolio positioning as they digest recent performance amid rising interest rates. Year-to-date returns from typical income investments have been admittedly mixed, from outright strength in energy infrastructure to resilience in utilities to all-around weakness in closed-end funds. That said, income investments have generally outperformed the -12.9% decline in the S&P 500 (SPX) on a total-return basis through April. Admittedly, some of the outperformance from income investments can be attributed to avoidance of weaker sectors like tech and communication services. This note discusses year-to-date performance for income investments as interest rates have increased.

newETFs.io respects the hard work of others and gives all credit to the remarkable folks at ETFdb.com. This excerpt/article was pulled from their RSS feed; click here to view the original. Please note that on occasion, the RSS feed will not have the author. When this happens this site defaults the author to "News". Make no mistake, this excerpt/article was not created by newETFs.io, it was simply shared with you.