Looking for income? Three global funds to consider

By Joss Murphy on 16 July 2026 in Global

Equity income funds can play an important role in a portfolio, providing investors with a regular source of income alongside the potential for long-term capital growth. They can be particularly attractive for those seeking an additional revenue stream or looking to reinvest dividends to boost returns over time.

However, taking a diversified approach is sensible when the world is so volatile. Geopolitical unrest, economic uncertainty, sector-specific challenges and company issues can all affect the sustainability of dividend payments. Investing globally can help spread these risks while giving managers access to a much broader universe of dividend-paying companies.

Global dividends are rising

The good news for income investors is that global dividends have risen this year. They increased 8.2% year-on-year to a first-quarter record of $419 billion, according to Capital Group. Mining companies staged the most impressive comeback with 97% raising dividends, while general financials, semiconductors and software companies were also up. Dividends are forecast to reach $2.20 trillion in 2026, equating to core growth of 4.7%, although this is expected to be reliant on one-off special dividends*.

Where to invest?

There are thousands of dividend-producing companies around the world, but the challenge is finding which ones can provide stable – and rising – payouts. Income investors have a choice to make: buy funds focused on specific areas or opt for globally diversified portfolios that serve as a one-stop shop for their needs.

Here, we explore three globally-focused equity income portfolios run by experienced managers that we believe can improve your chances of enjoying uninterrupted income streams

Aegon Global Equity Income

It uses buckets as part of its process. A core allocation sits in the 2-4% yield range and is complemented by lower-yielding structural growth names and higher-yielding defensive positions. We like the clear, repeatable investment process that concentrates on a simple dividend screen and disciplined fundamental framework. It’s also been remarkably consistent, outperforming the sector average in nine of the past ten years**. The fund has also delivered 84% for investors, over the past five years, compared with 58% for the IA Global Equity Income sector***.

IFSL Pinnacle Life Cycle Global Equity Income

The managers embrace a life cycle process. This means they acknowledge that different fundamentals will be relevant depending on the stage of life a company has reached. We like this fund’s careful approach to risk management, while still maximising the impact from stock picking. Although it’s a young fund, launched in March 2025, it’s gotten off to a good start and we believe it’s a strong contender for anyone wanting to invest in global equity income.

Jupiter Merlin Income Portfolio

It’s also managed by one of the industry’s most respected teams, including the hugely experienced John Chatfeild-Roberts. Its investment process involves analysing the macroeconomic environment and then identifying which managers are likely to perform in these conditions. The fund has been a consistent performer for investors, beating the sector in seven of the past ten calendar years**. The fund has delivered 34.5% versus 21% for the sector over the past five years***.

*Source: Capital Group Global Equity Study, 2026 edition
**Source: FE Analytics, discrete calendar year in pounds sterling
***Source: FE Analytics, total returns in pounds sterling, 13 July 2026