Halifax Managed Income Fund set to break £1bn barrier

The Halifax Managed Income Fund is set to break through the £1bn barrier. The fund invests in a mix of equities, bonds and property, and aims to provide above-average income as well as capital growth over the longer term.

Matthew Merritt, Manager of the Halifax Managed Income Fund, said: "Equity markets have rallied strongly since the fund was launched and although equity yields have fallen, the outlook for dividend growth remains relatively strong and UK equity valuations remain close to fair value. Corporate balance sheets are healthy and merger activity should continue to support equities.

"Demand for corporate bonds is expected to remain relatively strong in 2007 and it is not expected that bond yields will change materially over the next 12 months. We expect UK commercial property to produce a solid return in 2007."

Phil Clements, Head of Investment, said: "The Halifax Managed Income Fund has done exactly what it is designed to do - outperform cash deposits. It will appeal to investors who want to invest in a diversified mix of shares, bonds and commercial property so that their investments can potentially produce a better return than cash while offering the prospect of capital growth over the long term."