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GoWealth
25 Aug 2026

Seize income investment opportunities and keep your assets generating steady income in volatile markets

Seize income investment opportunities and keep your assets generating steady income in volatile markets

In the current market environment, yield has once again become an important component of investment returns. While seeking steady income, investors are increasingly focused on diversification of income sources and the resilience of their portfolios.


Income Funds invest across global bonds, dividend-paying equities and other income-generating assets to help build diversified sources of income. Through broad asset allocation and diversification, they aim to navigate different market conditions while offering investors a solution that balances income opportunities with long-term growth potential.

 

Why income? 1

 

  • Keep earning, even when markets don’t: Regular income from bonds and dividends may add to your overall return, even when markets move around. 
  • A buffer when markets get bumpy: Quality income assets may help soften the impact of market swings, so your portfolio keeps moving forward.
  • Turn small payouts into big progress: Reinvesting income may turn regular payouts into meaningful long-term growth through compounding.

 

Recent insights on income funds from leading fund houses:

 

  • While markets drift, carry compounds: Allianz believes that in a higher-for-longer environment, steady coupon income from credit (“carry”) has re-emerged as the primary anchor of fixed income returns and increasingly serves as the first line of defence against portfolio volatility. High-carry, non-US dollar currencies and emerging market debt can offer attractive alternative sources of income and diversification, with return drivers that are fundamentally less reliant on the continued strength of the AI-led narrative. Market pricing creates tactical selective opportunities to add core duration. We think it is best captured through a fully active, flexible, global approach. 2
  • Focusing on income quality and portfolio resilience: PIMCO believes that with geopolitical conflict, stress in private credit, and AI rapidly reshaping markets, the Income Strategy is leaning defensive, favoring quality, liquidity, and global diversification instead of reaching for incremental risk. At the same time, bonds look cheap: yields across high-quality fixed income remain near 20-year highs and attractive versus both cash and equities. 3
  • Asia is increasingly in focus: BlackRock highlights that Asian fixed income helps to offers a broader opportunity set. Investors can access income across a range of bond types, sectors and markets, from higher-quality issuers to more selective higher-yield opportunities, and across different maturities and currencies. At the same time, Asian bonds bring different drivers into the mix. Economic growth in many Asian markets is linked more closely to domestic consumption, infrastructure spending and regional policy decisions – insulating issuers from external shocks such as tariffs (Chart 1). 4

 

Chart 1: Looking beyond a single rate cycle

Change in 10Y rates, Q2 2026



Source: Bloomberg, BlackRock, 23 July 2026.


Featured Funds Service: Top-Ranked Funds by Annualized Dividend Yields

Top 3 equity funds with the highest annualized dividend yield (USD class)


Top 3 bond funds with the highest annualized dividend yield (USD class)


Top 3 mixed-asset funds with the highest annualized dividend yield (USD class)


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Sources:

1 BlackRock: Income through every market turn;

2 Allianz: While markets drift, carry compounds, July 2026;

3 PIMCO: Income Strategy Update: Where Income Meets Resilience, August 2026;

4 BlackRock: Not all bonds are equal: why Asian fixed income can do more, August 2026.


Note:

  1. Information is provided by fund houses and Morningstar Asia Limited. Data is as of 31 July 2026. Please refer to the fund’s offering documents for details.
  2. Investment involves risks. The price of an investment fund unit may go up as well as down and the investment funds may become valueless. Part of your investment may not be able to liquidate immediately under certain market situation. Past performance is not indicative of future results. This material is for information purposes only and does not constitute investment advice. It is for reference only and does not represent an offer, solicitation, recommendation, opinion, or guarantee to buy, sell, subscribe to, or transact in any investment product or service. Investment products or services are not equivalent to, and should not be regarded as substitutes for, time deposits.
  3. Schroder ISF Multi-Asset Growth and Income (USD)(Monthly Dividend) calendar year performance: 2021: 3.95%, 2022: -16.24%, 2023: 15.25%, 2024: 7.59%, 2025: 21.66%; Allianz Income and Growth (USD)(Monthly Dividend) calendar year performance: 2021: 11.66%, 2022: -19.70%, 2023: 17.32%, 2024: 9.94%, 2025: 10.53%; BGF Dynamic High Income(USD)(Monthly Dividend) calendar year performance: 2021: 9.99%, 2022: -18.55%, 2023: 13.19%, 2024: 9.45%, 2025: 11.75%; AB Global High Yield Portfolio AA (USD) (Monthly Dividend) calendar year performance: 2021: 2.82%, 2022: -12.32%, 2023: 12.96%, 2024: 7.31%, 2025: 7.42%; Fidelity Global Income Fund (USD)(Monthly Dividend) calendar year performance: 2021: 0.03%, 2022: -10.46%, 2023: 8.56%, 2024: 6.26%, 2025: 8.19%; Invesco Global Investment Grade Corporate Bond Fund (USD) (Monthly Dividend) calendar year performance: 2021: -0.84%, 2022: -16.57%, 2023: 9.46%, 2024: 4.03%, 2025: 6.98%; Value Partners Japan REIT Fund (USD Hedged) (Monthly Dividend) calendar year performance: 2021: N/A, 2022: N/A, 2023: N/A, 2024: N/A, 2025: 28.94%; BGF Systematic Global Equity High Inc (USD)(Monthly Dividend) calendar year performance: 2021: 17.01%, 2022: -14.85%, 2023: 15.70%, 2024: 16.71%, 2025: 12.63%; Allianz Global Sustainability (USD)(Monthly Dividend) calendar year performance: 2021: 34.93%, 2022: -15.03%, 2023: 21.80%, 2024: 11.20%, 2025: 2.96%.
  4. Dividend yield is not guaranteed and may be paid out from capital.


Disclaimer  

This document is for general information only. The information or opinion herein is not to be construed as professional investment advice or any offer, solicitation, recommendation, comment or any guarantee to the purchase or sale of any investment products or services. This document is for general evaluation only. It does not take into account the specific investment objectives, financial situation or particular needs of any particular person or class of persons and it has not been prepared for any particular person or class of persons. The investment products or services mentioned in this webpage are not equivalent to, nor should it be treated as a substitute for, time deposit, and are not protected by the Deposit Protection Scheme in Hong Kong.

 

The information or opinion presented has been developed internally and/or taken from sources (including but not limited to information providers and fund houses) believed to be reliable by WeLab Bank, but WeLab Bank makes no warranties or representation as to the accuracy, correctness, reliabilities or otherwise with respect to such information or opinion, and assume no responsibility for any omissions or errors in the content of this document. WeLab Bank does not take responsibility for nor does WeLab Bank endorse such information or opinion.

 

Investment involves risks. The price of an investment fund unit may go up as well as down and the investment funds may become valueless. Past performance is not indicative of future results. WeLab Bank makes no representation or warranty regarding future performance. Any forecast contained herein as to likely future movements in interest rates, foreign exchange rates or market prices or likely future events or occurrences constitutes an opinion only and is not indicative of actual future movements in interest rates, foreign exchange rates or market prices or actual future events or occurrences (as the case may be). 


You should not make any investment decision purely based on this document. Before making any investment decisions, you should consider your own financial situation, investment objectives and experiences, risk acceptance and ability to understand the nature and risks of the relevant product(s). WeLab Bank accepts no liability for any direct, special, indirect, consequential, incidental damages or other loss or damages of any kind arising from any use of or reliance on the information or opinion herein. You should seek advice from independent financial adviser if needed.


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This document is issued by WeLab Bank. The contents of this document have not been reviewed by the Securities and Futures Commission in Hong Kong.