Financial advisers are increasingly turning to equity income funds because of their ability to provide income while still growing from capital appreciation, MarketWatch reports.

“This has not been a dominant theme for years, because the 1990s were the decade of the lost dividends,” said Duncan Richardson, chief equity investment officer at Eaton Vance. “People were mostly thinking about the market as a capital appreciation vehicle, and that got extreme in the 90s, when dividend yields were so low and growth so high.”

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.