IMA to create Global Equity Income sector

The Investment Management Association (IMA) is to establish a Global Equity Income sector from January 1, 2012.

The move follows the trade body’s review of funds in July and will include funds with at least 80% of their assets in global equities.

Funds in the sector must be “diversified by geographical region and intend to achieve a historic yield on the distributable income in excess of 110% of the MSCI World index yield at the fund’s year end”.

It is also looking at the establishement of a European Equity Income sector, but there are currently not enough funds to populate a new sector.