Shane Oliver, Head of Investment Strategy and Chief Economist.
The attached note looks at five great charts on investing for income (or cash flow). The key points are as follows:
The collapse in interest rates has made it harder for many relying on interest on bank deposits for income.
These five great charts help illuminate key aspects of investing for income (or cash flow): there are alternatives to bank deposits for income; the gap between yields on different assets provides a guide to relative value; shares can provide stronger growth in income with less volatility than bank deposits; a high and sustainable income yield from an investment provides security; and yield is a guide to future returns.