Europe move to dividend investing

A-rated DWS manager Thomas Schüssler thinks the culture of equity income investing in Europe is changing radically, and investors will put ever greater emphasis on dividends in the coming years. His dividend fund has just been launched into the UK where the culture of investing in equities for income is far more established than in his native Germany and the rest of mainland Europe.

'Traditionally there has not been a big demand for equity income funds in Europe, but I think this is about to change,’ he said. He thinks risk averse investors, who are only now starting to dip their toes back into equities, are responsible for the rising demand for equity income. ‘People have been coming back into the market in the most defensive way possible, through equity income. It is a stepping stone back into equity markets. We would expect to see this income-seeking component being a lot more important going forward.’

Source: Citywire

Related Articles:

• Underfunded Pension Plans: The Next Shoe To Drop?
• Who is Raul Alvarez and Why Should We Listen to Him?
• Will ETFs Be The End Of Traditional Mutual Funds?
• Increasing Dividend Yield Part I: Utilities
• Five Stocks With A Low Debt To Total Capital